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If your company does any business in New York or New Jersey, it can be difficult to know what laws pertain to your business.
We’ve outline the two main laws that you need to concern yourself with: The NYS Information Security Breach and Notification Act, and the New Jersey Identity Theft Prevention Act.
New Jersey
The New Jersey Identity Theft Prevention Act is a law that any company doing business in the state of New Jersey is subject to follow. When a data breach occurs, business in New Jersey are required to respond to a data breach swiftly through a number of steps:
- You must notify the Division of the State Police in the Department of Law and Public Safety.
- Affected consumers must be alerted through email or written notice. This will most likely include customers, vendors, partners, and any organization or individual that can be found in your databases.
- If the data breach affects more than 1,000 people, you must notify all consumer-reporting agencies.
If you fail to carry out these steps properly, you will be subject to the Consumer Fraud Act, which may land penalties three times the standard damages.
New York
The NYS Information Security Breach and Notification Act is a law that any company doing business in the state of New York is subject to follow. When a data breach occurs, business in New York are required to respond to a data breach swiftly through a number of steps:
- You must notify the NYS Attorney General; the NYS Division of State Police; and the Department of State’s Division of Consumer Protection.
- Affected consumers must be alerted through email or written notice once cleared by law enforcement. This will most likely include customers, vendors, partners, and any organization or individual that can be found in your databases.
- If the data breach affects more than 5,000 people, you must notify all consumer-reporting agencies.
If you fail to carry out these steps properly, you will be subject to the NYS Attorney General who may seek an injunction.
It’s important to have a comprehensive Cyber Security plan in place in order to protect your business from harm and avoid having to deal with the fallout of a data breach.
DATA BREACHES CAN HAPPEN TO BUSINESSES OF ANY SIZE
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