Eye On Privacy

Timely Updates and Analysis on Privacy and Cybersecurity Issues

Latest from Eye On Privacy

Connecticut recently enacted cybersecurity legislation that provides a safe harbor for businesses that implement a written cybersecurity program. Under the legislation, set to go in effect on October 1, 2021, punitive damages will not be assessed on a business that has suffered a data breach, in the event that there are causes of action alleging a failure to implement reasonable cybersecurity controls, which failure resulted in the breach.…
Colorado recently joined Virginia and California in passing a more comprehensive privacy law. The Colorado Privacy Act (CPA) will go into effect July 1, 2023. This is six months after Virginia’s law (CDPA) and California’s Privacy Rights Act (CPRA), which amends the existing CCPA, go into effect. The law does not have a private right of action, and the AG is to adopt regulations on certain aspects by July 1, 2023.…
The New York State Department of Financial Services recently announced new guidance addressing ransomware attacks, and highlighting cybersecurity measures to significantly reduce the risk of an attack.  The guidance comes as ransomware rates have been increasing, and builds on the post SolarWinds guidance from NYDFS about supply chain management. It was released just prior to the most recent large attack, namely the July 2nd supply-chain ransomware attack centered on the U.S. information technology firm Kaseya.…
The Georgia Supreme Court recently concluded that Georgia’s equivalent of the CFAA should be viewed narrowly, similar to the US Supreme Court’s recent, similar decision in Van Buren. In Kinslow v. State, the Georgia Supreme Court held that even if there is unauthorized use of a computer or computer network, there must be enough evidence to prove that the defendant used the computer network knowingly without authority and with the intention of obstructing or interfering with the use of data.…
The European Commission announced today a long-awaited decision that the UK data protection standards are adequate under the meaning of GDPR’s Article 45, providing a mechanism to enable transfer of data from the EU to the UK without the need for additional authorisation or putting in place additional safeguards. This decision will be in force for four years but can be withdrawn if the UK were to lower its standards and no longer provide EU citizens adequate protection for their personal data. The decision excludes personal data that is transferred for purposes of United Kingdom immigration control.…
MoviePass, a movie subscription service, has agreed to a proposed settlement with the FTC over alleged deception and lack of security allegations. The now-defunct company not only allegedly marketed its service as a “one movie per day” service – yet took steps to actively deny subscribers such access – it also failed, according to the FTC, to secure subscriber’s personal data. The company also was alleged to have violated the Restore Online Shoppers’ Confident Act, which impacts the offering of “negative option” (subscription) services.…
New York City recently enacted a biometric ordinance that is set to come into effect July 9, 2021. With this ordinance, NYC joins other cities (like Portland) in regulating the use of biometric information. The ordinance may impact retailers, restaurants, and entertainment venues in the city that use security cameras with facial-recognition technology or otherwise collect biometric identifiers from their customers.…
Starting this fall, companies transferring personal data from the European Economic Area (EEA) will likely begin to see a flurry of contract renegotiations. On June 4, 2021, the European Commission adopted long awaited new Standard Contractual Clauses (SCCs) for transfers out of the EEA. SCCs have been one of the more popular ways for Companies to transfer personal data from the EEA to third countries whose privacy laws have not been deemed “adequate” (like the US). The prior SCCs pre-date GDPR (see our discussion here), and have been updated to (1) more directly address GDPR and (2) because of…
Nevada’s governor recently approved an amendment to their privacy law. As we covered previously, generally, this law affords consumers a right to opt out of the “sale” of their data to third parties.  The amendment broadens (1) the scope of the law to also apply to “data brokers” and (2) consumers right to opt-out of sale. The changes are expected to go into effect October 1, 2021.…
The Supreme Court’s recent decision in Van Buren addressed the meaning of the term “exceeds authorized access” under the Computer Fraud and Abuse Act (CFAA). The Court held, in a criminal case that alleged that the person used information for an improper purpose, that the law’s definition of this term does not include situations when people have improper motives for obtaining computerized information they are otherwise authorized to access.…
The Department of Labor recently issued cybersecurity guidance to retirement plans. The department’s Employee Benefits Security Administration (EBSA) issued guidance in three areas: (1) hiring and working with vendors and service providers; (2) implementing an internal cybersecurity program for the plan; and (3) online security for plan participants and end-users.…
The Supreme Court recently dealt a potential blow to the FTC’s enforcement tool chest.  In particular, the decision impacts its ability to seek monetary relief under a theory it has used in a wide variety of cases, included privacy and security ones, that monetary relief constitutes a “permanent injunction” on consumers’ behalf. In AMG Capital Management, LLC v. Federal Trade Commission, the Supreme Court held that while the FTC should be able to obtain injunctive relief to stop unfair practices, that power does not extend to seeking monetary relief for injured consumers.…
NYDFS Issues Supply Chain Management Guidance The New York State Department of Financial Services recently issued recommendations to financial institutions in the aftermath of the SolarWinds cyberattack. In that attack, hackers inserted malware into SolarWinds software which was then distributed to SolarWinds’ customers (many of which were financial institutions). After discovery, SolarWinds released a series of hot fixes to address vulnerabilities in their software associated with the attack. Although NYDFS found that most companies responded quickly to patch the vulnerabilities, it did identify additional steps to reduce supply chain risk:…