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The California IoT Security Law is the first of its kind in the nation and pushes device manufacturers to adopt cybersecurity standards during the product development and design stages where none have existed before.
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Here are some of the key issues of which law firms and companies need to be aware and steps that should be considered to minimize the risk to keep everyone — and client data — safe.
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In their consideration of possible worst-case cyber attack scenarios, organizations often focus on the various types of attacks and their relative severity. But, the worst-case scenario is not the breach, it's the reputational damage, regulatory enforcement action, the business interruption, and the inevitable litigation that follows a poorly handled breach from an unprepared organization. Given this reality, it is important to adjust planning assumptions and response scenarios to focus on addressing these drivers of post-breach exposure.
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Technology allows attorneys to keep informed so they can help their clients understand the potential impact on their company.
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The Pennsylvania Supreme Court enlivened the Thanksgiving holidays of privacy lawyers in 2018 with its decision in Dittman v. UPMC, which held that an employer has a legal duty to exercise reasonable care to safeguard employees' personal information. While the scope of the decision technically was confined to the employer-employee relationship, the court's reasoning implies that such a duty of reasonable care may arise in any scenario where one party engages in the collection of personal information.
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Florida lawmakers have introduced companion bills in the Florida House (HB 963) and Senate (SB 1670) that would create limited online privacy rights and obligations in the state. The legislation appears to be very similar to the Nevada Online Privacy Protection Act, which was amended last year to add a right to opt-out of sales of covered information.
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On Data Privacy Day last month, Gibson Dunn released the eighth edition of its United States Cybersecurity and Data Privacy Outlook and Review. The report details trends that the privacy industry saw in 2019 from a legislative, regulatory and judicial perspective.
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Cybersecurity Law & Strategy partnered with our ALM sibling Legaltech News to ask cybersecurity and e-discovery experts what they thought the key trends were in 2019 and what they expect to see in 2020.
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Rather than trying to institute changes to comply with every new privacy law as it emerges, a better approach is to view data privacy as an overall framework and adopt a holistic response to compliance with the built-in flexibility to constantly adapt to an ever-changing legal landscape.
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Although no company was hit with the maximum GDPR fine of 4% of the company's worldwide annual revenue, GDPR fines issued in 2019 were still a force to be reckoned with.
