Cybersecurity and the Public Company: Keeping Your Disclosures Safe and Sound After Cyber Monday


Click here if you would like to have your personal financial information compromised and your credit card numbers shared with criminals around the world. Such are the implicit invitations many of us receive on a regular basis from emails purporting to represent our credit card companies, financial institutions, customers and business partners. Unfortunately, too many unsuspecting individuals do “click here” and too many criminals are trying to compromise the digital technology we have all faithfully put our trust in over the last two decades.

For many public companies, the risks associated with cybersecurity have increased, and the attendant disclosure of those risks has become an important area of focus in periodic reports filed under the Securities Exchange Act of 1934, as amended (the Exchange Act). As companies begin the preparation of their year-end periodic reports, they are cautioned to closely review the Securities and Exchange Commission’s (SEC’s) recent guidance on disclosure obligations relating to cybersecurity risks and cyber incidents.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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