The recent convictions of two traders for using hacked press releases and the settlement of SEC insider trading charges against a former Equifax manager highlight the significant insider trading risks companies face when dealing with a cyber event.  These risks come in two forms.

First, there is the risk that
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On February 21, 2018, the Securities and Exchange Commission (“SEC”) issued a statement and interpretive guidance on issuers’ cybersecurity disclosures.   For a general discussion of the guidance, see Davis Polk’s recent Client Memorandum.  Although the guidance does not impose any new requirements on issuers, the SEC’s emphasis on Board
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Companies that experience a cyber breach face several immediate and difficult challenges: quickly getting a handle on the scope of the breach, making sure that the intruder is out of their system, remediating any vulnerability, assessing what data was accessed (if any), deciding whether to reach out to law enforcement,
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The Davis Polk Financial Regulation Reform Team recently blogged about the breach of the SEC’s EDGAR database and how that breach impacts the Consolidated Audit Trail (“CAT”)

“In the wake of a highly-publicized cybersecurity breach involving the SEC’s EDGAR system, SEC Chairman Jay Clayton has been in the hot seat


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In a statement issued on Wednesday, September 20th, the U.S. Securities and Exchange Commission (SEC) revealed that it was investigating a 2016 data breach of its Electronic Data Gathering, Analysis, and Retrieval (EDGAR) database.  The SEC does not believe that personally identifiable information was exposed, but the investigation is still
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