After an extended sunset period, time to replace the “old” SCCs runs out on Dec. 27, 2022. After that date, the old SCCs will no longer legalize data transfers to countries outside the European Economic Area (EEA). To avoid compliance risks associated with illegal transfers of personal data, any old SCCs should be updated to
CFPB Warns Insufficient Data Security Measures May Violate Consumer Financial Protection Act
On Aug. 11, 2022, the U.S. Consumer Financial Protection Bureau issued guidance indicating that financial institutions and service providers that fail to adopt sufficient data security measures to protect consumer financial data may violate the Consumer Financial Protection Act provision prohibiting unfair acts and practices.
OFAC Sanctions Cryptocurrency Mixing Service for Allegedly Facilitating Money Laundering
On Aug. 8, 2022, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) imposed economic sanctions on Tornado Cash, a popular cryptocurrency mixing service that allows customers to obscure the original source of virtual currency transactions by “mixing” multiple transactions and then redistributing them. While mixing may have legitimate benefits in some transactions,…
Businesses Beware: Proposed Amendments to the CCPA Regulations Will Increase Cost of Doing Business in California
On July 8, 2022, the California Privacy Protection Agency (CPPA) issued proposed amendments to the California Consumer Privacy Act (CCPA) regulations to harmonize them with the California Privacy Rights Act of 2020 (CPRA), which will go into effect on Jan. 1, 2023. Individuals or companies have until Aug. 23, 2022, at 5 p.m. to submit…
DOJ Limits Application of Computer Fraud and Abuse Act, Providing Clarity for Ethical Hackers and Employees Paying Bills at Work Alike
On May 19, 2022, the Department of Justice announced it would not charge good-faith hackers who expose weaknesses in computer systems with violating the Computer Fraud and Abuse Act (CFAA or Act), 18 U.S.C. § 1030. Congress enacted the CFAA in 1986 to promote computer privacy and cybersecurity and amended the Act several times, most…
DOJ’s Cyber-Fraud Initiative: Increased False Claims Act Scrutiny of Contractor Cybersecurity Compliance
Accuracy in contractor proposal representations and cybersecurity compliance remains pressing, as demonstrated by an April 2021 settlement under the False Claims Act (FCA). In a previous alert, we noted that contractor representations of cybersecurity compliance/capabilities represent a fertile ground for bid protests. In this GT Alert, we highlight how the Department of Justice (DOJ)…
Congress Passes 72-Hour Federal Breach Reporting Law for Critical Infrastructure
As part of a larger spending bill signed by President Biden on March 15, 2022, Congress passed the Cyber Incident Reporting for Critical Infrastructure Act (CIRA) to increase funding for the federal Cybersecurity and Critical Infrastructure Agency (CISA). CIRA requires companies considered to be in a “critical infrastructure” sector to notify CISA within 72 hours…
SEC Continues Rolling Out Cybersecurity Rules, this Time Targeting Public Companies
Continuing its focus on cybersecurity, on March 9, 2022, in a party-line vote, the SEC proposed rules and amendments governing cybersecurity reporting requirements for public companies subject to the Securities Exchange Act of 1934.
SEC Issues Proposed Cyber Rule, Including 48-Hour Breach Reporting Requirement
On Feb. 9, 2022, the SEC released its long-awaited proposed cybersecurity rule, and there’s a lot to unpack. As GT reported previously, the SEC increased enforcement of cybersecurity compliance in 2021. As recently as Jan. 24, 2022, Chair Gary Gensler made cybersecurity the focus of his speech at Northwestern Law School’s Securities Regulation
EU Commission Confirms Adequate Level of Data Protection in South Korea
With its adoption of an adequacy decision pursuant to Art. 45 General Data Protection Regulation (GDPR) for the Republic of Korea on Dec. 17, 2021, the European Commission has declared that the country provides an adequate data protection level comparable with GDPR standards.