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New Year, New Cyber Law

By Sheila Millar & Tracy Marshall on January 4, 2016
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In the rush of holidays and storms around the country (and weirdly warm weather here in D.C.), it was easy to miss that Congress finally approved the Cybersecurity Information Sharing Act (CISA).  The bill was included in the middle of its omnibus spending package, the Consolidated Appropriations Act, 2016, Pub. L. 114–113 (Dec. 18, 2015), which Congress approved just before shutting down for the break.

The law encourages companies to share cyberthreat information with the federal government and each other.  They are explicitly authorized to monitor their own information systems, those of other non-federal entities (with authorization and written consent), and to share information about “cyber threat indicators” and defensive measures.  The Department of Homeland Security (DHS) is the designated portal through which information can be shared, and through which companies can receive liability protections for sharing cyberthreat information with the government.  Companies are obligated to review and remove any personally identifiable information “known at the time of sharing” and unrelated to cyber threats before sharing information with DHS.  DHS is similarly directed to implement privacy protections before sharing with other agencies.

These privacy protections were adopted partially in response to criticisms from non-governmental organizations (NGOs) such as the American Civil Liberties Union (ACLU) and the Electronic Frontier Foundation (EFF), who argued that the privacy protections were inadequate and worrisome in light of liability limitations.  These opponents remained opposed to the legislation even with these protections.

Many businesses, on the other hand, have favored legislation that offers an appropriate incentive structure to motivate companies to share information that could help them combat cyberthreats from private groups and state actors, while protecting them from liability.  Notably, however, the tech industry itself has vacillated on support for CISA.  One software trade association has variously supported, been neutral toward, and finally opposed the version of CISA passed last month.

The broader business community’s support has only grown in the wake of cyberattacks and subsequent public recriminations.  The logic of CISA is relatively simple: The information sharing will give companies the incentive to share the information that will redound to their benefit and benefit other companies as well.  In the absence of legal authorization and protections, they assert that businesses have been reluctant to share information.  In turn, malicious actors have exploited weaknesses that might have been known had information been shared.  At the same time, when breaches occur, companies have faced both regulatory investigations and class action lawsuits for allegedly failing to implement appropriate and adequate security measures necessary to protect the information of their proprietary information, and the information of their customers and employees. The business community hopes that CISA will facilitate cyberthreat-sharing while limiting liability exposure.

Some critics continue to assert that the bill does not accomplish enough to promote better cybersecurity while offering too little in the way of privacy protections for consumers. Only time will tell if CISA will both improve the cybersecurity environment and strike the right balance of protecting privacy once it is implemented.

Photo of Sheila Millar Sheila Millar

Sheila A. Millar is a partner at Keller and Heckman LLP, where she represents businesses and trade associations on a variety of public policy and regulatory issues, including privacy, data security, cybersecurity and advertising matters, as well as product safety issues. She has…

Sheila A. Millar is a partner at Keller and Heckman LLP, where she represents businesses and trade associations on a variety of public policy and regulatory issues, including privacy, data security, cybersecurity and advertising matters, as well as product safety issues. She has been involved in a variety of audit and compliance projects, including, among other issues, privacy and data security audits, and is experienced in providing crisis management legal support to a variety of national and international companies and associations.

Ms. Millar is a frequent speaker on regulatory and public policy matters, and has authored many articles. Ms. Millar is one of the vice chairs of the International Chamber of Commerce (ICC) Marketing and Advertising Commission, and chair of its Working Group on Sustainability, where she spearheaded the development of the ICC Framework Guides on Environmental Marketing Claims.

Ms. Millar is AV® PreeminentTM Rated by Martindale-Hubbell and for the eigth consecutive year was selected by her peers for inclusion in The Best Lawyers in America® 2018 for her work in practicing Advertising Law. She has also received the distinguished honor of Advertising Law “Lawyer of the Year” 2014 in Washington, DC by Best Lawyers®, and was awarded Advertising and Marketing Lawyer of the Year USA by Finance Monthly for their Finance Monthly Global Awards 2017.

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Photo of Tracy Marshall Tracy Marshall

Tracy Marshall counsels international and domestic for-profit and non-profit clients on a range of privacy, data security, advertising, promotions, and intellectual property matters. She also advises on general corporate and transactional matters.

Tracy assists clients with compliance and advocates on their behalf. She …

Tracy Marshall counsels international and domestic for-profit and non-profit clients on a range of privacy, data security, advertising, promotions, and intellectual property matters. She also advises on general corporate and transactional matters.

Tracy assists clients with compliance and advocates on their behalf. She is a Certified Information Privacy Professional (CIPP/US) through the International Association of Privacy Professionals (IAPP) and helps clients implement privacy, data security, and security breach response programs, develop internal and public-facing privacy policies to comply with applicable laws, respond to cyber and data security incidents, and manage relationships with service providers and third parties. Tracy advises on structuring and conducting email and text messaging campaigns, sweepstakes, contests, and other promotions, and she helps clients protect and enforce their intellectual property rights.

In addition, Tracy counsels clients on corporate matters and assists with structuring and negotiating a variety of transactions, including licensing, marketing, and outsourcing arrangements.

Tracy is frequently invited to speak at privacy, data security, telecommunications, and advertising conferences and is a contributor to Keller and Heckman’s Consumer Protection Connection blog and Beyond Telecom Law Blog.


To learn more about Tracy’s practice areas, click here.
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  • Posted in:
    Privacy and Cybersecurity
  • Blog:
    Consumer Protection Connection
  • Organization:
    Keller Heckman
  • Article: View Original Source

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