On February 28, 2024, President Biden announced an Executive Order directing the Department of Justice to promulgate regulations that restrict or prohibit transactions involving certain bulk sensitive personal data or United States Government-related data and countries of concern or covered persons. The DOJ’s initially identified countries are China (including Hong Kong and Macau), Russia, Iran
Security may not be the first word that comes to mind when thinking about GDPR and UK GDPR compliance, but recent matters indicate it should certainly be near the top of any compliance checklist.
Security of personal data is fundamental to every organization, and its significance scales depending on the type of data processing that takes place. Of the penalties issued for data protection infractions across the EU and UK in 2022 so far, over 70 include security, which is almost 20% of the total fines issued. Specifically, these fines were issued due to a breach of Article 32 of the GDPR/UK GDPR: failing to have appropriate technical and organizational measures in place to protect personal data. A breach of Article 32 of the GDPR or UK GDPR technically only attracts the “standard maximum” fine of €10/£8.7 million or 2% of global annual turnover, however the offence is often coupled with other transgressions, which has led to fines over €20 million.Continue Reading Data Protection: The Increasing GDPR/ UK GDPR Focus on Security
On March 15, 2022, President Biden signed into law significant new federal data breach reporting legislation that could vastly expand data breach notice requirements far beyond regulated entities or entities processing personal data. Unceremoniously tucked as Division Y into the H.R. 2471 Consolidated Appropriations Act, 2022, the Cyber Incident Reporting for Critical Infrastructure Act of…
On February 9, 2022, the SEC published a release addressing Cybersecurity Risk Management for Investment Advisers, Registered Investment Companies, and Business Development Companies (“Release”). The Release contained proposed new rules under the Advisers Act (Rules 206(4)-9 and 204-6) and the Investment Company Act of 1940 (Rule 38a-2) and amendments (collectively, the “Proposals”), which would require…
As 2021 comes to a close, so does our 12 Days of Data series, but we will see you on the other side in 2022 with more posts on the top privacy and data protection issues. 2021 was an interesting year. While vaccinations spread and some sense of normalcy started to return, new strains of COVID-19 led to additional waves of shutdowns that stalled many of the debates. In 2022, we anticipate that the move toward a new normal will continue, and we will once again start to see traction on some of these data, privacy, and cybersecurity issues. As a preview, here are some of the key areas where we expect to see potential developments in 2022.
Continue Reading Closing out the 12 Days of Data: What to Expect in 2022
In the wake of major cybersecurity incidents, it is becoming increasingly common for shareholders to bring derivative lawsuits alleging that the officers or board members failed to exercise proper governance over cybersecurity. Some companies have paid settlements to resolve such matters, but few derivative actions have ended in judgment on the merits in favor of plaintiffs, largely because plaintiffs are rarely able to show that directors failed to execute their oversight responsibilities. A recent ruling by the Delaware Court of Chancery dismissing a derivative lawsuit against Marriott International, Firemen’s Ret. Sys. of St. Louis v. Sorenson, No. 2019-0965-LWW (Del. Ch. Oct. 5, 2021), reiterates that directors who monitor cybersecurity governance, work to mitigate cyber risks, and seek outside advice on data protection issues will usually not face liability.
Continue Reading Marriott Data Breach Ruling Puts Corporate Boardrooms on Notice
Recognizing the persistent and increasingly sophisticated nature of cyber incidents threatening the safety and security of the U.S., the Biden administration is launching a new bureau focused on cybersecurity and digital policy. On October 27, 2021, Secretary of State Antony Blinken formally announced a plan to establish a Bureau of Cyberspace and Digital Policy, which includes appointing a special envoy to address critical and emerging technologies. The new bureau and special envoy will address issues such as cyber threats, digital freedom, and surveillance risks, and will coordinate with the U.S.’s allies to establish international standards on emerging technologies.
Continue Reading State Department Makes Cybersecurity a Priority
Private employers in New York will now need to notify and obtain employee acknowledgement prior to engaging in any electronic monitoring under the provisions of S2628, signed by Governor Kathy Hochul on November 8, and effective May 7, 2022. With this law, New York joins Connecticut and Delaware in mandating that employers provide employee notice of monitoring, which, in practice, can be integrated into the sort of employee privacy notice required under the California Consumer Privacy Act.
Applicability and Obligations for Businesses
S2628 applies to any private employer with a place of business in New York that electronically monitors employees’ communications and internet activity. The law’s core provisions require that upon an employee’s hiring, the employer must provide prior written notice alerting the employee that their telephone conversations, e-mails, and internet access or usage may be monitored using any electronic device or system such as a computer, telephone, wire, radio, or electromagnetic, photoelectronic, or photo-optical systems. The notice must be in writing or electronic form and acknowledged by the employee in writing or electronically. Employers must also post the notice describing the electronic monitoring in a conspicuous place that is readily available for employees to view.Continue Reading New York Law Will Require Employee Notice and Acknowledgement Prior to Electronic Monitoring by Employer
As we stand at the beginning of 2021 and a new presidential administration, we look back on the year behind us. Hindsight is always 2020, and 2020 may be best viewed in hindsight. We saw rapid changes in the privacy space, prompted in part by the global COVID-19 response. Infrastructure and services across multiple sectors continue to rely on data and digital platforms to function. Five prominent developments shaped the data privacy environment in 2020.
Continue Reading Privacy Year in Review: 2020’s Hottest Topics
On Friday, December 4, 2020, H.R. 1668, the Internet of Things (IoT) Cybersecurity Improvement Act of 2020, was signed into law. The bipartisan bill was sponsored by Senators Mark Warner (D-VA) and Cory Gardner (R-CO) in the Senate and Representatives Robin Kelly (D-IL), and Will Hurd (R-TX) in the House. The new law will require IoT devices “owned or controlled” by the federal government to meet minimum security standards that address network vulnerabilities, and it may have significant implications for government contractors. It was introduced in response to a series of distributed denial of service (DDoS) attacks in 2016, in which the Mirai malware variant was used to compromise tens of thousands of IoT devices, causing a severe disruption in commercial web services.Continue Reading Meet the US’s New Federal IoT Cybersecurity Law