In this month’s legal update on privacy and cybersecurity, we focus on some significant developments in legislation and federal actions. Both the Biden administration and the National Institute of Standards and Technology (NIST) have proposed changes to various aspects of cybersecurity that could have far-reaching consequences for law firms and corporations. Meanwhile, the states of California and Colorado have continued to forge ahead with new data privacy law updates.
One of the major national initiatives under investigation is the Biden administration’s cybersecurity labeling program for smart devices. While the specifics are yet to be released, the proposal could introduce a system of labels that helps consumers understand the security capabilities of smart devices. It will no doubt be of interest to corporations manufacturing or dealing with these devices, and to the legal teams supporting them.
In addition, the NIST is considering an extensive overhaul of its cybersecurity framework. The framework, widely adopted as a best practice guide for managing cybersecurity risk, has been influential not just domestically, but around the globe. An overhaul could result in significant changes to the way corporations manage digital threats, and the repercussions for cybersecurity-related disputes could be significant.
On the state level, data privacy is an ongoing area of development. Both California and Colorado have fostered meaningful changes to data privacy laws, which could affect the way businesses handle and protect consumer data. Given the constantly evolving landscape of data privacy regulation, legal professionals will need to stay abreast of these changes to ensure their practices and advisement remain compliant.
The update for August 2023 continues to highlight the changing landscape of privacy and cybersecurity. As these areas evolve, legal professionals will need to keep pace and consider the potential impacts on their clients and firms.