New York recently enacted a law governing employee monitoring. The law applies to New York employers who monitor employees through electronic devices. This includes monitoring of telephone, emails, and internet access or usage. The law takes effect May 7, 2022.
Continue Reading New York Imposes New Requirements for Employee Monitoring

New York City recently amended its law governing third party delivery services, with the changes going into effect December 27, 2021. The revised law specifically permits restaurants to ask for customers’ personal information from the delivery service. The delivery service, in turn, must tell consumers about the potential sharing “in a conspicuous manner” on its website and give people the ability to opt-out of such sharing.  That notice needs to indicate that the person’s information will be shared with the restaurant, and needs to identify the restaurant.
Continue Reading Impact of NYC’s New Delivery Service Data Sharing Requirement

The New York Department of Financial Service recently clarified security incident notification requirements and the use of multi-factor authentication. On its FAQ page, the NYDFS added two new questions and answers for financial services companies subject to 23 NYCRR Part 500.
Continue Reading NYDFS FAQ Provides Clarity on Breach Notification and Security Requirements

New York City recently enacted a biometric ordinance that is set to come into effect July 9, 2021. With this ordinance, NYC joins other cities (like Portland) in regulating the use of biometric information. The ordinance may impact retailers, restaurants, and entertainment venues in the city that use security cameras with facial-recognition technology or otherwise collect biometric identifiers from their customers.
Continue Reading New York City Biometric Ordinance Effective July 9, Are You Ready?

NYDFS Issues Supply Chain Management Guidance

The New York State Department of Financial Services recently issued recommendations to financial institutions in the aftermath of the SolarWinds cyberattack. In that attack, hackers inserted malware into SolarWinds software which was then distributed to SolarWinds’ customers (many of which were financial institutions). After discovery, SolarWinds released a series of hot fixes to address vulnerabilities in their software associated with the attack. Although NYDFS found that most companies responded quickly to patch the vulnerabilities, it did identify additional steps to reduce supply chain risk:
Continue Reading NYDFS Issues Supply Chain Management Guidance

The operator of CafePress, an online retailer that sells customizable mugs and other products, has reached an agreement with New York State Attorney General Letitia James and six other State Attorneys Generals to settle claims related to a 2019 data breach.  The breach stemmed from a cyberattack that the company suffered in early 2019. Upon learning of the attack, the company engaged a third-party investigation firm that identified a vulnerability in the company’s Structured Language Query (SQL) protocols. As a result, CafePress looked at its database and two weeks of logs but did not find evidence of any data breach.  Regardless, CafePress released a security patch to fix the vulnerability and automatically reset the passwords of all customer accounts, requiring all users to reset their passwords upon logging in.
Continue Reading New York and Others Settle with CafePress Over 2019 Data Breach

Late this summer the New York Department of Financial Services (NYDFS) announced its first enforcement action since the cybersecurity rules went into effect in March 2017. The action was brought against First American Title Insurance Co. as a result of a 2018 data breach exposing 850 million customer records containing sensitive personal information.
Continue Reading What the First Enforcement Action under NYDFS Cybersecurity Reg Means to Companies

During COVID-19, in certain areas of the law, we have seen significant flexibility from regulators and government agencies in how they are addressing typical approval processes and/or compliance requirements. In the context of privacy and cybersecurity regulations, largely, regulators are emphasizing that personal privacy and data security are important now more than ever. New information is being collected and used in new ways. Certain data security vulnerabilities may be more prevalent in this work-from-home environment.
Continue Reading Privacy and Data Protection Enactment and Enforcement Timelines During COVID-19

Businesses collecting personal information from New York residents will soon be expected to apply enhanced data security requirements. The New York SHIELD Act, signed into law in July 2019, expanded breach notice requirements in October 2019. Now, On March 21, 2020, the remaining provisions related to data security will also come into effect. As we wrote previously, businesses subject to the law must implement data security programs that include at least the following:
Continue Reading NY SHIELD Act Data Security Requirements Effective This Month