New York

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

On August 1, 2024, the Office of the New York State Attorney General (OAG) released two Advanced Notices of Proposed Rulemaking (ANPRM) for the SAFE for Kids Act and the NY Child Data Protection Act. These ANPRMs solicit input that will help the OAG promulgate regulations in three areas: (1) identifying “commercially reasonable and technically feasible methods” to determine if a user is a minor; (2) identifying methods of obtaining verifiable parental consent; and (3) promulgating any needed language access regulations.

The two laws forming the basis for the rulemaking were enacted on June 20, 2024. The Stop Addictive Feeds Exploitation (SAFE) For Kids Act and the New York Child Data Protection Act contain broad requirements applicable to some companies offering services to children, as explained further below.Continue Reading New York Begins Rulemaking for Two Children’s Data Privacy Laws

The New York Office of Attorney General (OAG) recently published guidance for website privacy controls. Although New York does not have a comprehensive privacy law, business’ privacy-related practices and statements may be subject to New York’s consumer protection laws, which generally prohibit businesses from engaging in deceptive acts and practices. Accordingly, the OAG noted that “statements about when and how website visitors are tracked should be accurate, and privacy controls should work as described.”Continue Reading New York AG Issues Guidance on Website Privacy Controls

The New York Department of Financial Services (“NYDFS”) published the latest draft of its Proposed Second Amendment to its landmark Cybersecurity Regulation (23 NYCRR 500) on November 9, 2022.  The proposed second amendment comes after an initial comment period on an earlier-released draft amendment released on July 29, 2022.  NYDFS is accepting comments on the proposed second amendment through January 9, 2023. Continue Reading New York Department of Financial Services Proposed Second Amendment to Cybersecurity Regulation – Comments Close January 9, 2023

On November 8, 2021, New York Governor Kathy Hochul signed a new electronic monitoring law (S2628) requiring New York businesses that monitor or intercept employees’ e-mails, telephone calls, or internet usage to notify employees in writing of these practices.  The new law amends the state’s civil rights law and takes effect on May 7, 2022.
Continue Reading New York Requires Businesses To Notify Employees of Electronic Monitoring

On March 21, 2020, the data security requirements of the New York SHIELD Act became effective.  The Act, which amends New York’s General Business Law, represents an expansion of New York’s existing cybersecurity and data breach notification laws.  Its two main impacts on businesses are:

  1. expanding data breach notification requirements

…
Continue Reading New York SHIELD Act’s Reasonable Safeguard Requirements Became Effective on March 21st —Is Your Company Ready?

With less than two months until it goes into effect, many practitioners are focused on bringing their programs into compliance with the California Consumer Protection Act (“CCPA”) by January 1, 2020.  But the rapid pace of privacy legal developments could continue next year.  This past year, five states established studies or task forces to study privacy laws and report back to the legislature before their next session begins. Bills in Washington and Illinois passed one legislative chamber before failing, and their proponents have promised a renewed effort in 2020.

This is the first of a series of blog posts on what states other than California were considering to help you anticipate and prepare for 2020.  In total, at least eighteen states considered comprehensive privacy bills this year.  This initial blog post — on the heels of Halloween last week — focuses on some of those that are the scariest: bills in New York, Massachusetts, and Maryland.
Continue Reading State Privacy Laws Have the Potential to Haunt Industry

On July 25, New York Governor Andrew Cuomo signed two data security and breach notification bills into law.  The first bill, the “Stop Hacks and Improve Electronic Data Security Act” or “SHIELD Act,” will impose specific data security requirements on businesses that own or license private information of New York residents, in addition to amending New York’s data breach notification statute to broaden the circumstances under which notification may be required.  The second bill, meanwhile, will require consumer reporting agencies to offer identity theft prevention and mitigation services.  Both bills are described in further detail below.
Continue Reading New York Passes New Data Security and Breach Notification Requirements

As our readers know, New York’s Department of Financial Services (“NY DFS”) released a draft of its new Cybersecurity Regulations on September 13, 2016, and the final version of the regulations went into effect on March 1, 2017 (23 NYCRR 500).  Among other things, the regulations require regulated entities to conduct cyber risk assessments and to develop and implement cybersecurity programs to manage their cyber risk.

Notwithstanding the fanfare surrounding the announcement of these “first-in-the-nation” regulations, there has been significant uncertainty about precisely how the regulations will be interpreted and enforced.  That uncertainty has been increasing with the approach of the August 28 deadline for compliance with the first round of requirements (Section 500.22(a)).

On June 29, 2017, NY DFS took steps to reduce that uncertainty by posting a “Frequently Asked Questions” section about the regulations on its website.  The FAQs seek to clarify some key provisions of these regulations, including provisions regarding reporting requirements and consumer notification triggers.  Some highlights below:
Continue Reading New York DFS Publishes FAQs on New Cybersecurity Regulations

As we approach the May 2018 effective date of the EU General Data Protection Regulation (“GDPR”), there have been a number of global developments over the last few months with respect to the so-called “right to be forgotten,” which will be codified under Article 17 of the GDPR.

European Developments

In the EU, we previously reported on a Court of Justice of the EU (“CJEU”) decision that limits the right to be forgotten with respect to public records.  And in February, A French high administrative court raised several questions to the CJEU relating to the right to be forgotten in light of the Google v. Costeja Gonzalez decision.  The questions address whether and in what circumstances search engines must delist links to websites in response to requests from data subjects, and arose in the context of a pending dispute between Google and CNIL, the French data protection authority.

A decision by a Circuit Court in Ireland recognized the right of a former election candidate to request the removal of information posted about him on Reddit under the right to be forgotten.  And the UK recently solicited views on its own implementation of the GDPR, including input regarding the interplay between the right to be forgotten and freedom of expression in the media.
Continue Reading Developments in the Right to Be Forgotten