Category Archives: Data Security

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New York Federal Court Dismisses Nationwide Class Action Arising Out of Alleged Spying by E-Commerce Retailers

In a victory for online retailers, a New York federal court recently dismissed three putative class action lawsuits brought on behalf of website visitors whose mouse clicks, keystrokes, and electronic communications were tracked by a third-party marketing company. The cases were filed against three e-commerce retailers—Casper (a mattress manufacturer and retailer), Tyrwhitt (a men’s clothing … 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

DOJ Report Suggests Direction For Addressing Cyber Threats

As many of you have no doubt seen, the Justice Department recently released the report of the Attorney General’s Cyber Digital Task Force, a body the Attorney General had created in February. In the report, the Task Force, chaired by Deputy Attorney General Rod Rosenstein, seeks to answer the question: “How is the Department responding … Continue Reading

Vermont Is First Mover Regulating Data Brokers

Vermont recently enacted a data broker security law, one of the first of its kind. The law, which went into in May, requires data brokers to develop and implement a comprehensive security program. The program needs to include administrative and technical safeguards to protect personal information. Data brokers are defined as businesses that collect and … 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

Colorado Joins States in Passing Data Protection Requirements

Colorado’s recently passed breach notice law, which goes into effect on September 1, includes a data security requirement. This mirrors the change to the Louisiana breach notice law we reported about yesterday. Under the law, companies will need to have “reasonable” security practices and procedures that protect personal information. Personal information is defined as social … 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

Louisiana Adds Data Security Requirements to Breach Notice Law

Louisiana’s breach notice law has been amended to require companies to protect personal information. The definition of personal information matches that which -if breached- would give rise to a duty to notify. This includes name combined with social security numbers, drivers’ license (and state ID/passport numbers) or financial account numbers. The law applies to companies … Continue Reading

FTC Outlines Expected Privacy Program Elements in BLU Settlement

The FTC recently settled with the mobile phone company BLU Products, Inc., over allegations that the company was letting one of its vendors pull extensive and detailed personal information off of users’ phones. According to the FTC, BLU phones were pre-loaded with firmware updating tools made by ADUPS Technology. ADUPS, through its software, was then … 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

Crypto-Crime: The SEC and DOJ Go After BitFunder and Its BitFounder

Taking further steps into the world of cryptocurrency, two entities of the federal government recently took legal action against BitFunder, a now-defunct Bitcoin exchange, and its founder, Jon Montroll. The Securities and Exchange Commission filed civil charges against BitFunder and Montroll, and the U.S. Attorney’s Office in Manhattan brought criminal charges of perjury and obstruction … 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 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

Privacy, Data Security, and Your Board: Day Two

In our continuing series about privacy, data security and your board, we next turn to how to best educate a board. Yesterday we mentioned about how board members have a duty of care. Part of that duty includes effectively overseeing matters relating to privacy and data security (or the often-used buzzword “cybersecurity”). How can board … Continue Reading

SEC Takes Baby Steps on Cyber, but Signals Greater Vigilance

On February 21, the Securities and Exchange Commission issued new Interpretive Guidance regarding disclosures of cybersecurity-related information by publicly traded companies. This guidance comes in the context of public pressure on the SEC to update its 2011 Division of Corporation Finance guidance regarding cybersecurity risks and incidents. According to SEC Chairman Jay Clayton’s statement, this … Continue Reading
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