Chief Lawyers Playing Greater Role in Corporate Cybersecurity and Data Use
"It's an unfortunate reality that the biggest threat to an organization's cybersecurity is the employees themselves. It's important that the legal department and the IT department work closely to educate employees on how to prevent something like a phishing attack," Susanna McDonald, chief legal officer and executive vice president of the ACC in Washington, D.C, said.
July 29, 2020 at 04:12 PM
3 minute read
In addition to helping make strategic business decisions, general counsel and chief legal officers are now often tasked with playing a leading part in a corporate cybersecurity and data privacy plan, according to the Association of Corporate Counsel's 2020 State of Cybersecurity Report.
The report shows that 71% of chief legal officers and general counsel play a leading role in crafting policy for how the company collects consumer data and its cybersecurity infrastructure.
Susanna McDonald, the chief legal officer and executive vice president of the ACC in Washington, D.C., said earlier in her career those responsibilities were solely dedicated to the information technology department. The shift in giving more digital responsibility to the general counsel and the legal department has been caused by a patchwork of evolving regulation.
"More and more business is being conducted online. It is every company's primary engagement with their suppliers, customers and employees," McDonald said.
The legal department as a whole is becoming more involved with data privacy and cybersecurity. Forty-nine percent of respondents indicated their legal departments take on additional responsibilities when it comes to data privacy and cybersecurity. Less than 1% of respondents said their legal departments would decrease their role over the next 12-24 months.
Those increased responsibilities for the legal department would be keeping an eye on changes in the regulatory environment and following how decisions by the regulatory agencies impact how the organization collects and uses data.
McDonald said in-house counsel are also becoming increasingly responsible for educating employees on best practices.
"It's an unfortunate reality that the biggest threat to an organization's cybersecurity is the employees themselves. It's important that the legal department and the IT department work closely to educate employees on how to prevent something like a phishing attack," McDonald said.
Just over 43% of legal departments with over 50 employees have at least one dedicated in-house cybersecurity counsel. Sixty percent of those respondents indicated that they have at least one lawyer who is responsible for coordinating cyber law strategy across the entire enterprise.
The remaining 40% of those respondents said they have a lawyer who focuses on one small aspect of cybersecurity, but on one who is responsible for an enterprisewide view of cybersecurity.
While general counsel and chief legal officers may play a leading role in cybersecurity and data privacy planning, they often do not have the final say, according to the report. Only 17% of respondents indicated the general counsel or chief legal officer oversees their company's cybersecurity and data privacy functions.
Many of the respondents indicated their companies have separate data privacy and cybersecurity functions. In those situations, 45% of respondents indicated the general counsel or chief legal officer oversees the data privacy function but not the cybersecurity function. The inverse of that is rare with only 1% of general counsel or chief legal officers overseeing cybersecurity and not data privacy.
The report surveyed 586 law departments across 36 countries and 20 industries.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllGC With Deep GM Experience Takes Legal Reins of Power Management Giant
2 minute readUS Reviewer of Foreign Transactions Sees More Political, Policy Influence, Say Observers
'Unlawful Release'?: Judge Grants Preliminary Injunction in NASCAR Antitrust Lawsuit
3 minute readEx-Red Robin CLO Joins Norton Rose Fulbright After Helping Sell Latest Employer for $4.9 Billion
Trending Stories
- 1Call for Nominations: Elite Trial Lawyers 2025
- 2Senate Judiciary Dems Release Report on Supreme Court Ethics
- 3Senate Confirms Last 2 of Biden's California Judicial Nominees
- 4Morrison & Foerster Doles Out Year-End and Special Bonuses, Raises Base Compensation for Associates
- 5Tom Girardi to Surrender to Federal Authorities on Jan. 7
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250