Data Security Laws and Penalties: Pay IT Now or Pay Out Later

    December 2013
    Plaintiffs’ lawyers, as well as federal and state governments, are likely to file “unjust enrichment” claims against organizations that do not ensure safe transmission and storage of personal data. Whether your organization handles financial or medical data, the price of IT compliance may be high, but the price of non-compliance is even higher. Whether your organization handles personal information now, or may do so in the future, federal and state laws are likely to set the standard by which unjust enrichment claims will be made and damages calculated. In this article, Squire Sanders of counsel Thomas E. Zeno and healthcare fellow Lindsay Holmes provide examples of what is expected.