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Security Negligence: Threat Of Liability
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06-10-02
(Philadelphia & Conshohocken, PA)
Published April 29, 2002
According to this recently released Giga Information Group report, awareness of liability from security negligence needs to be at the forefront of any business security strategy. U.S. companies should protect themselves by adopting and complying with information-security best practices and standards to validate due diligence. Use this report to better understand the fundamental components of this liability.
Source: Information Week
The topic of security has been elevated to board meeting agendas. Legal teams have been assigned to point out risk and advise on liability. Yet, many enterprises adopt security policies in words only, not in action, which may only further their liability exposure.
Giga Information Group
Awareness of liability due to security negligence needs to be at the forefront of any business security strategy. Organizations in the United States should protect themselves by adopting and complying with information security best practices and standards to validate due diligence. Tort law in the US requires four fundamental components: duty, negligence, damage and cause. Relative to information security, this raises fundamental questions:
Duty: Does the defendant have a responsibility to protect information?
Negligence: Is there evidence that the defendant did not fulfill his or her duty of care?
Damage: Did the plaintiff suffer quantifiable harm?
Cause: Can the breach of duty related to the damages be considered a primary cause? Many enterprises adopt standards in words only, not in action, which may only further their liability exposure. Organizations must show due diligence through compliance to standards and best practices to demonstrate a best-effort attempt to protect information.
Order the GIGA report.
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