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Playing "The Blame Game": Data Breach Liability in Organizations

Data security is a hot global topic right now. New laws that closely regulate data security practices seem to be popping up everywhere in order to account for all of the data people transmit electronically daily. Attorneys have been tightening their practices to protect confidential data and advising their clients to do the same. However, some organisations may not be aware that they could be liable for data breaches perpetrated by their employees – even in seemingly unrelated situations. 

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SEC Remains Focused on Cybersecurity

After a long silence since guidance was last issued a year ago, there’s now widespread expectation that the Securities and Exchange Commission will get much more specific this year about new cybersecurity disclosures for public companies. Recent actions also signal the commission is paying close attention not just to disclosures, but to weaknesses that create cybersecurity risks at companies.

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Increased Vigilance Needed Against Ransomware Attacks

In late 2018 the U.S. District Court of New Jersey indicted two Iranian men for allegedly running a hacking scheme that hit local and state governments as well as transportation agencies and hospitals across the U.S. The scheme involved infecting corporate networks with SamSam malware, which encrypted data on computers in the networks, then blackmailing the institutions by requiring a ransom payment in return for the decryption keys. 

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Australia Takes Steps to Tighten Data Security Laws

Australia has recently taken significant action in the realm of data security that will potentially have global impact. In December 2018, the Australian Competition and Consumer Commission (“ACCC”) released recommendations on ways big technology companies can improve data security.
 

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The Epiq Angle brings you our thinking on topical issues in eDiscovery, bankruptcy, corporate restructuring, data breach response, global business transformation solutions, class action, and mass tort administration.

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