Monthly Archives: September 2015

US-China Cyber Deal Big on Promises, Short on Action

In the aftermath of recent cyberattacks attributed to China’s government and citizens, many observers prepared for a rather uncomfortable state visit by Chinese President Xi Jinping last week.  Then, as President Xi began his visit, the White House announced on September 25 what appeared to be a significant victory for corporate data security in America.  “We have agreed that neither the U.S. or [sic] the Chinese government will conduct or knowingly support cyber-enabled theft of intellectual property, including trade secrets or other confidential business information for commercial advantage.  In addition, we’ll work together and with other nations to promote international rules …

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Just Like Neiman Case, FTC v. Wyndham Decision Not All It’s Cracked Up to Be

Back on July 20 this year, the Seventh Circuit Court of Appeals decided Remijas v. Neiman Marcus, leading a chorus of pundits to declare that case changed everything when it comes to data breach cases, signaling a “new tilt towards victims.” In our August 6 blog post, we took a different view, emphasizing the importance of the procedural posture in that case, and noting that all the appellate court had done was decide that the allegations made by the plaintiffs in their complaint were sufficient to withstand a motion to dismiss and send the case back to the trial court …

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Cybersecurity: How Much is Enough?

The year 2015 may go down in history as the year of the hacker. Though not a new phenomenon, high profile hack-related stories have managed to capture headlines almost every month of 2015. On the eve of the New Year, the world was abuzz with news that hackers had committed an unprecedented attack on Sony Corporation that culminated in the publication of thousands of sensitive e-mails. Shortly thereafter, hackers compromised the personal information of nearly 100 million Anthem customers and employees. The United States government also came under attack when hackers managed to steal information from both the IRS and …

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Are Your Directors Talking Enough About Privacy and Data Security?

The number of companies suffering data breaches, and the average cost associated with each incident, continues to rise. According to the Ponemon Institute’s 2014 Cost of Data Breach Study: Global Analysis, the average consolidated total cost of a data breach rose to $3.8 million in 2014, which is a 23 percent increase compared to 2013. With the number of and costs associated with data breaches on the rise, corporate fiduciaries–directors and officers–need to be attuned to their company’s privacy and data securities policies and controls. Good corporate governance, meaning the system of rules, practices, and processes by which a company …

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