What’s the News?
A US Bankruptcy Judge recently approved the sale of a package of RadioShack’s intellectual property assets—including consumer data obtained from RadioShack customers—to General Wireless Inc., the hedge fund affiliate that acquired over 1,700 RadioShack stores in February. The sale was not without controversy.
Privacy & Security
Arent Fox is on the cutting edge of cybersecurity and data protection laws and has experience assisting clients with all aspects of privacy, cybersecurity, and data protection. Our group serves clients in regulated spaces such as health care and telecommunications and sophisticated industries including retail, gaming and entertainment, and media.
Arent Fox’s interdisciplinary team of cybersecurity and data protection attorneys handle the full scope of data security and protection issues. We regularly advise clients on how to protect their data at every stage, from advice and counseling to investigations, incident planning and response, litigation, and even securing insurance policies to mitigate risks and liabilities. We work with companies to develop internal security and governance programs; advise businesses on the collection of data in retail locations as well as in online including via social media marketing and e-commerce platforms; and conduct internal investigations in response to critical data breaches. We also work with companies to implement privacy and data security protection by using IT agreements to control data access by their employees, reconfiguring data security when moving IT operations to the cloud, and protecting against cyber risks that can arise from third party IT vendors.
We routinely advise on the biggest trends in privacy and data security such as: handling ransomware incidents; cyber threat and new technology systems; NIST, ISO, PCI-DSS, and other security standards; payment security and mobile payment trends; aggregate and anonymized data collection in advertising; FTC guidance and enforcement; the Internet of Things; cross-border data transfer issues; the EU General Data Protection Regulation (GDPR); health information privacy, security, and breach notification; as well as federal- and state-level regulatory compliance.
What’s the News?
On March 17, 2015, Arent Fox LLP secured a summary judgment of more than $69 million for SD-3C, LLC when a federal judge ruled that two Chinese companies and four of their executives were guilty of fraud, trademark infringement, and breach of contract after underreporting sales and royalties on the sale of memory card technology licensed by SD-3C.
On March 19, 2015, a Minnesota federal judge granted preliminary approval of Target Corporation’s (Target) proposed $10 million settlement of a class action lawsuit, which arose out of a 2013 data breach that compromised personal information of roughly 110 million of Target’s customers. The proposed settlement would pay out $10 million to the plaintiffs and up to $6.75 million in attorney fees. Consumers affected by the breach could be awarded up to $10,000 in damages each if they can prove damages.
Last week, the Footwear Distributers and Retailers of America (FDRA) hosted a briefing on cybersecurity trends in the retail industry. In light of the high-profile data breaches in 2014 — including many at the retail level — the briefing aimed to inform the footwear industry on the nature of today’s cyber threats and the way to most effectively secure private information.
The Federal Trade Commission (FTC) released a report this week examining the privacy and security implications of the so-called “Internet of Things.” The Internet of Things (IoT) refers to the ability of everyday objects to connect to the Internet and to send and receive data. As the number of connected devices has surged in recent years, the FTC has signaled a strong interest in the IoT and repeatedly warned businesses to be mindful of consumer privacy and security when developing new products.
Recent guidance from Hong Kong’s Privacy Commissioner suggests that Hong Kong may be on the verge of implementing major new restrictions on the cross-border transfer of personal data. The recent guidance concerns a law known as the “Personal (Data) Privacy Ordinance” (PDPO) that has been on the books for 20 years but has never been implemented.
Arent Fox is pleased to announce the expansion of its Government Relations practice with the addition of Senior Government Relations Director Alex Manning. Alex is joining the firm’s Washington, DC office and will advise clients on issues surrounding cybersecurity, privacy, data breaches, tax, trade policy, and immigration.
This week, as part of a strategic effort to build momentum toward next week’s State of the Union address to Congress, President Barack Obama announced legislative proposals and executive actions to improve cybersecurity. The Obama Administration’s broad array of policy proposals could have a significant impact on how companies and other entities across all sectors of the economy collect and monetize customer data, share threat information, and notify consumers in the event of a data breach.
On January 6, 2015, Federal Trade Commission (FTC) Chairwoman Edith Ramirez delivered a speech discussing best practices for companies in the emerging market of the “Internet of Things,” which refers to the wireless interconnectivity of everyday devices, from home appliances to medical devices. Such devices are quickly becoming pervasive: In 2015, the number of interconnected devices worldwide is expected to reach 25 billion.
ABOUT ARENT FOX LLP
Arent Fox LLP, founded in 1942, is internationally recognized in core practice areas where business and government intersect. With more than 350 lawyers, the firm provides strategic legal counsel and multidisciplinary solutions to clients that range from Fortune 500 corporations to trade associations. The firm has offices in Los Angeles, New York, San Francisco, and Washington, DC.