Over the last few years, the creation of new cybersecurity regulations has been robust, but actual enforcement has been tepid. This is understandable in any new regulatory regime, especially one where the standards are vague, the conduct is evolving, and therefore, there is considerable uncertainty on the part of the
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The Cybersecurity Law Report recently published an article by Davis Polk titled Lessons from Equifax on How to Mitigate Post-Breach Legal Liability.  The article analyzes the July 2019 settlement between Equifax and the Federal Trade Commission, Consumer Financial Protection Bureau, and 50 state and territorial attorneys general and uses
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2018 was another busy year for lawyers in the privacy/cybersecurity world – GDPR, CCPA, Marriott, New York Department of Financial Service’s cybersecurity rule deadlines, increased SEC enforcement, more data breach lawsuits, more companies doing table top exercises and risk assessments, etc. But 2019 is looking to be even busier. Below
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A recent SEC Order should be a reminder to registered entities, including small- and medium-sized firms, that the SEC is monitoring the reasonableness of their cybersecurity policies and procedures, and that it may take action in the event of a breach, even in the absence of economic harm.

The SEC’s
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We had previously predicted that the Equifax data breach could lead to increased state-level cybersecurity enforcement. On June 27, the NYDFS announced that Equifax has agreed to take corrective action for its 2017 data breach, as set forth in a consent order reached with the NYDFS and seven other
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One of many difficult decisions that companies face following a cyber breach is whether to disclose it to law enforcement.  There are several advantages to involving the FBI in a breach response: they may (1) have seen this kind of hack before; (2) know the malware or persons involved; (3)
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Plaintiffs in data breach cases have tried many theories of recovery, including negligence, negligence per se, violations of state data protection statutes, violations of the Fair Credit Reporting Act, breach of fiduciary duty, and violations of the constitutional right to privacy, with mixed results.

Courts have rejected many of these
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The $1 million fine that was recently levied against Yes Bank shows the increasing risks of failing to provide timely breach notification.  On October 23, 2017, the Reserve Bank of India (“RBI”) announced that it was fining India’s Yes Bank $1 million USD for failing to comply with RBI’s breach
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