Category Archives: Data Breach

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Ohio Gives Breach Safe Harbor for Companies with Written Data Security Program

Effective November 2, 2018, companies that suffer a breach may have certain defenses in Ohio if they have a written cybersecurity program in place. Under this new law, companies can use as an affirmative defense the existence of a cyber program in rebuttal to an argument that they failed to implement reasonable information security controls, … Continue Reading

DealerBuilt Settles with New Jersey Over Data Breach

The New Jersey attorney general recently announced its settlement with software company LightYear Dealer Technologies, LLC- doing business as DealerBuilt- over a 2016 data breach. The company provides its clients, car dealerships, software to organize and manage both customer and employee information. That information includes drivers’ license numbers, Social Security numbers, and financial account information. … Continue Reading

Two Cyber Laws Go Into Effect Over US Labor Day Weekend

On September 1, the Colorado breach notification statute update became effective, the first of two developments that occurred over the weekend. As we wrote about when the modification was passed, Colorado’s updated statute expands the definition of “personal information” to include ID numbers, medical information, and biometric information and places a proactive obligation on companies … Continue Reading

Unixiz Settles COPPA Allegations with NJ AG

Unixiz, operator of the i-Dressup site, reached an agreement with the New Jersey Attorney General to settle charges that the company had violated the Children’s Online Privacy Protection Act and the New Jersey’s Consumer Fraud Act. The New Jersey AG claimed that Unixiz violated these statutes by collecting information about children without first getting parental … Continue Reading

Arizona’s Notice Law Now In Effect

As we wrote when the law passed, Arizona has expanded its data breach notification law. The law’s effective date was July 20, and now includes several new elements. Included is a requirement to notify the state attorney general if more than 1,000 individuals have been impacted, and gives an expanded ability to notify by email. … Continue Reading

Texas Hospital Order to Pay $4.3M for Failure to Implement its HIPAA Security Policies

A Texas hospital was recently ordered by an administrative law judge to pay a $4,300,000 penalty for three data breaches over the course of 2012 and 2013 that exposed the personal health information – including social security numbers, patient names and treatment records – of more than 33,000 individuals in violation of HIPAA. The specific … Continue Reading

Colorado Enacts Stringent Data Breach Notification Law

Colorado’s governor recently signed into law an update to the state’s breach notice law.  As we reported yesterday the new law takes effect on September 1, 2018. As amended, the definition of “personal information” now also includes student, military or passport identification numbers, medical information, health insurance identification numbers, biometric data, and a resident’s username … Continue Reading

Louisiana Joins the Breach Notice Update Law Fray

Louisiana has joined the growing list of states updating their data breach notification law in 2018.  Others include, as we have reported, Arizona and Oregon. The law has now been amended to include biometric information, state ID number, and passport number in the definition of personal information. It also adds a 60-day notice timeline from … Continue Reading

You Might Be an Inside Trader If: Insider Trading and Data Breaches Part II

As we wrote yesterday, the CIO of Equifax is currently facing civil and criminal liability following trading he made after his employer suffered a major cybersecurity breach. As we indicated in our prior blog post, the SEC has filed a complaint alleging liability because he independently figured out that his employer was the victim of a … Continue Reading

You Might Be an Inside Trader If…: Insider Trading and Breaches Part I

Earlier this year, the SEC released cybersecurity guidance addressing, among other things, the risk of insider trading in the event of a data breach.  The insider trading risk includes risk that the intruder will trade on stolen information and risk that insiders will trade on the knowledge of the breach itself.  In this manner, the … Continue Reading

More Breach Law Changes: Arizona Updates Notice Law

Arizona’s Governor recently signed HB2154, which expands Arizona’s data breach notice law. The law will go into effect July 20, and will require companies to notify the state attorney general when more than 1,000 individuals have been impacted. It also allows email notice if the company has the individual’s email address.  This removes the need … Continue Reading

And Then There Was None: Alabama Becomes 50th State With Breach Notice Law

Alabama is the final US state to enact data breach notification legislation. The new law takes effect on June 1, 2018 and applies to electronic “sensitive” data. This includes full Social Security and government-issued identification numbers, account and payment card numbers (in combination with security or access codes or PIN numbers), health information, and a … Continue Reading

And Then There Was One: South Dakota Passes Breach Notice Law, Alabama May Not Be Far Behind

South Dakota recently became the 49th US state to enact data breach notification legislation. The new law takes effect July 1, 2018 and mirrors other states’ breach notice laws. Information that if breached, gives rise to a duty to notify is defined to include Social Security and government-issued identification numbers, account and payment card numbers … Continue Reading

Privacy, Data Security, and Your Board: Day Five

In our final installment on privacy, cyber security, and your board, we look at privacy and cyber issues in M&A. So you are thinking about acquiring a new entity? Divesting of current one? Due diligence will need to be conducted to best understand and evaluate privacy and data security issues and risks. Your board will … Continue Reading

Privacy, Data Security, and Your Board: Day Four

In our fourth installment of privacy, data (cyber) security, and your board, we look at crisis management and data breach issues. As part of providing appropriate duty of care and oversight, board members will want to ensure that the company has an incident response plan in place. They should review and understand the plan. They … Continue Reading

Privacy, Data Security, and Your Board: Day Three

In our ongoing conversation about privacy, data security and your board, we turn next to cyber insurance and vendor management. Boards, when executing their duty of care, should keep in mind that while there may be some coverage for data incidents under a company’s CGL and D&O policies, there may be significant gaps in coverage … Continue Reading

There’s a Form for That? Breach Notices and State Reporting Portals

The recent launch by Massachusetts Attorney General of an online data breach reporting portal is a reminder that many states have such online reporting mechanisms. In Massachusetts, companies that have suffered a data breach and are required to provide notice to the MA AG can either continue to submit a hard copy notice to MA, … Continue Reading
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