January 2010

Less than one month into 2010 the trend to address data security, destruction, and encryption has continued among state lawmakers. Specifically, Florida, Michigan, Kentucky, Kansas, Pennsylvania, and New York all have introduced, reintroduced, or amended legislation of this kind. 

  • The Florida and Michigan laws would amend personal data destruction rules for companies.
  • The New York law would mandate data security and encryption measures.
  • The Kentucky bill would require government agencies to protect all personal data under the Gramm-Leach-Bliley Act.
  • The Michigan bill includes a state version of the Federal Trade Commission’s Red Flags Rule and would require creditors in the state to implement programs aimed at spotting “red flags” of possible identity theft and put in place mitigation measures. Michigan is also considering a number of other measures. 
  • The Kansas law would require state agencies to engage in periodic network security reviews.
  • The Pennsylvania bill would require public agencies to notify state residents of a breach of their personal information within seven days of the discovery of the breach.

While 5 states remain without data breach notice bills (Alabama, Kentucky, Mississippi, New Mexico, and South Dakota), Congress is considering legislation, the Data Accountability and Trust Act (DATA) (H.R. 2221), that would preempt all state notification laws and instead establish a national breach notice standard.

As we have previously mentioned, we anticipate data privacy and security legislation and case law to be at the forefront of legal issues in 2010. Employers should begin by reading the Data Security Primer and consider implementing comprehensive data security policies and procedures that would allow them to comply with the various state laws that may impact their business. Continue Reading Data Security, Destruction and Encryption Leads the Way for States in 2010

As reported by the December 23 Rochester, Minnesota Post Bulletin, the Mayo Clinic has terminated two medical professionals, a physician and another staff member, after determining that they had inappropriately accessed a patient’s confidential electronic health records (EHRs).

The access highlights what should be a growing concern for health care industry employers: the

 According to the newly revised Federal Trade Commission (“FTC”) Guides, employers may face liability for employees’ commenting on their employer’s services or products on “new media,” such as blogs or social networking sites, if the employment relationship is not disclosed. Potential liability may exist even if the comments were not sponsored or authorized by the

Like individuals, businesses have resolutions/goals for 2010, perhaps even this new decade. As information risk, such as HIPAA or the occurrence of a data breach, continues threaten companies and put individuals’ personal identities, finances and medical information in jeopardy, addressing this issue in the coming years is a worthy resolution for any business. With this