Earlier in April, the U.S. National Institute of Standards and Technology (“NIST”) published Special Publication (“SP”) 800-61, Incident Response Recommendations and Considerations for Cybersecurity Risk Management, Revision 3 (“NIST SP 800-61”). NIST SP 800-61 Revision 3 (“Revision 3”) is a significant change, as it not only represents the first update of the document since 2012, but also now maps the document’s recommendations and considerations for incident response to the six functions outlined in the recently-updated NIST Cybersecurity Framework 2.0—Govern, Identify, Protect, Detect, Respond, and Recover. As a result, Revision 3 includes significant new recommendations and guidance for incident response, and entities should consider reviewing and updating their incident response plans and procedures to incorporate these recommendations, particularly if an entity has aligned its cybersecurity program with the NIST Cybersecurity Framework or used the prior versions of NIST SP 800-61 as a basis for existing incident response plans or procedures.Continue Reading NIST Publishes Updated Incident Response Recommendations and Considerations
New York Adopts Amendment to the State Data Breach Notification Law
On December 24, 2024, New York Governor Kathy Hochul signed into law an amendment to New York General Business Law § 899-aa modifying the state’s data breach notification requirements. The amended law, which is effective immediately, imposes new requirements businesses must follow when providing notifications following a data breach affecting New York residents. Specifically, businesses now must disclose data breaches affecting New York residents within thirty days from the discovery of a breach. Additionally, the amendment adds the New York Department of Financial Services (“NYDFS”) to the list of state regulators that must be notified whenever a breach requiring notification to New York residents occurs. Continue Reading New York Adopts Amendment to the State Data Breach Notification Law
CISA and FBI Publish Product Security Bad Practices
On October 16, 2024, the U.S. Cybersecurity and Infrastructure Security Agency (“CISA”) and the Federal Bureau of Investigation (“FBI”) published guidance on Product Security Bad Practices (the “Guidance”) that identifies “exceptionally risky” product security practices for software manufacturers. The Guidance states that the ten identified practices—categorized as (1) Product Properties, (2) Security Features, or (3) Organizational Processes and Policies—are “dangerous and significantly elevate[] risk to national security, national economic security, and national public health and safety.”
The Guidance offers recommendations to remediate each of the identified practices and states that adoption of the recommendations indicates software manufacturers “are taking ownership of customer security outcomes.” Provided below are the ten practices and associated recommendations.Continue Reading CISA and FBI Publish Product Security Bad Practices
NYDFS Issues Industry Guidance on Risks Arising from Artificial Intelligence
On October 16, 2024, the New York Department of Financial Services (“NYDFS”) issued an industry letter (the “Guidance”) highlighting the cybersecurity risks arising from the use of artificial intelligence (“AI”) and providing strategies to address these risks. While the Guidance “does not impose any new requirements,” it clarifies how Covered Entities should address AI-related risks as part of NYDFS’s landmark cybersecurity regulation, codified at 23 NYCRR Part 500 (“Cybersecurity Regulation”). The Cybersecurity Regulation, as revised in November 2023, requires Covered Entities to implement certain detailed cybersecurity controls, including governance and board oversight requirements. Covered Entities subject to the Cybersecurity Regulation should pay close attention to the new Guidance not only if they are using or planning on using AI, but also if they could be subject to any of the AI-related risks or attacks described below. Continue Reading NYDFS Issues Industry Guidance on Risks Arising from Artificial Intelligence
CISA and FBI Publish a Secure by Design Alert to Eliminate Cross-Site Scripting Vulnerabilities
On September 17, 2024, the U.S. Cybersecurity and Infrastructure Security Agency (“CISA”) and the Federal Bureau of Investigation (“FBI”) published a Secure by Design Alert, cautioning senior executives and business leaders to be aware of and work to eliminate cross-site scripting (“XSS”) vulnerabilities in their products (the “Alert”). XSS vulnerabilities allow “threat actors to inject malicious scripts into web applications, exploiting them to manipulate, steal, or misuse data across different contexts.” Continue Reading CISA and FBI Publish a Secure by Design Alert to Eliminate Cross-Site Scripting Vulnerabilities
CISA Issues Notice of Proposed Rulemaking for Critical Infrastructure Cybersecurity Incident Reporting
On March 27, 2024, the U.S. Cybersecurity and Infrastructure Security Agency’s (“CISA”) Notice of Proposed Rulemaking (“Proposed Rule”) related to the Cyber Incident Reporting for Critical Infrastructure Act of 2022 (“CIRCIA”) was released on the Federal Register website. The Proposed Rule, which will be formally published in the Federal Register on April 4, 2024, proposes draft regulations to implement the incident reporting requirements for critical infrastructure entities from CIRCIA, which President Biden signed into law in March 2022. CIRCIA established two cyber incident reporting requirements for covered critical infrastructure entities: a 24-hour requirement to report ransomware payments and a 72-hour requirement to report covered cyber incidents to CISA. While the overarching requirements and structure of the reporting process were established under the law, CIRCIA also directed CISA to issue the Proposed Rule within 24 months of the law’s enactment to provide further detail on the scope and implementation of these requirements. Under CIRCIA, the final rule must be published by September 2025.
The Proposed Rule addresses various elements of CIRCIA, which will be covered in a forthcoming Client Alert. This blog post focuses primarily on the proposed definitions of two pivotal terms that were left to further rulemaking under CIRCIA (Covered Entity and Covered Cyber Incident), which illustrate the broad scope of CIRCIA’s reporting requirements, as well as certain proposed exceptions to the reporting requirements. The Proposed Rule will be subject to a review and comment period for 60 days after publication in the Federal Register. Continue Reading CISA Issues Notice of Proposed Rulemaking for Critical Infrastructure Cybersecurity Incident Reporting
NIST Publishes the Cybersecurity Framework 2.0
On February 26, 2024, the U.S. National Institute of Standards and Technology (“NIST”) published version 2.0 of its Cybersecurity Framework. Originally released in 2014 and updated in 2018 and now 2024, the NIST Cybersecurity Framework (“CSF” or “Framework”) “offers a taxonomy of high-level cybersecurity outcomes that can be used by any organization — regardless of its size, sector, or maturity — to better understand, assess, prioritize, and communicate its cybersecurity efforts.” Globally, organizations, industries, and government agencies have increasingly relied upon the Framework to establish cybersecurity programs and measure their maturity. NIST had proposed some potentially significant updates to the Framework in a Concept Paper published on January 19, 2023, which this Version 2.0 follows. Continue Reading NIST Publishes the Cybersecurity Framework 2.0
New York Department of Financial Services Finalizes Second Amendment to Cybersecurity Regulation
Earlier this month, the New York Department of Financial Services (“NYDFS”) announced that it had finalized the Second Amendment to its “first-in-the-nation” cybersecurity regulation, 23 NYCRR Part 500. This Amendment implements many of the changes that NYDFS originally proposed in prior versions of the Second Amendment released for public
Continue Reading New York Department of Financial Services Finalizes Second Amendment to Cybersecurity RegulationCISA, NSA, and NIST Urge Critical Infrastructure and Others to Prepare for Quantum Computing Cyber Threats
On August 21, 2023, the Cybersecurity and Infrastructure Security Agency (“CISA”), National Security Agency (“NSA”), and National Institute of Standards and Technology (“NIST”) issued a joint quantum-readiness factsheet (the “Factsheet”) to inform organizations—particularly those that support critical infrastructure sectors—about quantum computing threats and to urge these organizations to begin
Continue Reading CISA, NSA, and NIST Urge Critical Infrastructure and Others to Prepare for Quantum Computing Cyber ThreatsCompliance Dates for SEC’s New Cyber Disclosure Rules Confirmed
On August 4, 2023, the Securities and Exchange Commission’s (“SEC”) final rule on Cybersecurity Risk Management, Strategy, Governance, and Incident Disclosure was published in the Federal Register, confirming the dates on which these new requirements will enter into force. Covington has previously published a detailed summary of this rule, which imposes significant new disclosure requirements for publicly traded companies and, in certain instances, foreign private issuers. As discussed in greater detail in that alert, the new rule requires U.S. public companies to report material cybersecurity incidents on Form 8-K within four business days of their determination that a material cybersecurity incident has occurred. Foreign private issuers will be required to furnish information on Form 6-K about material cybersecurity incidents that they disclose or otherwise publicize to any stock exchange or to security holders in a foreign jurisdiction. Continue Reading Compliance Dates for SEC’s New Cyber Disclosure Rules Confirmed