Data Theft

News & Analysis as of

David Nosal, Employee Data Theft, and Why Employment Lawyers Should Understand Their Clients' IT Infrastructure

Earlier this month, a federal judge in San Francisco sentenced David Nosal to a year in prison, three years’ supervised release, 400 hours of community service, and $60,000 in fines. His crime? Nosal violated the Computer...more

CFPB issues data breach advisory for consumers

In the wake of the recent publicity about data breaches at several major retailers, the CFPB has issued a consumer advisory. Written in easy to understand language, the advisory describes steps consumers can take to protect...more

"Cybersecurity: Amid Increasing Attacks and Government Controversy, a Framework to Reduce Risk Emerges"

2013 likely will be considered a watershed period in the role of cybersecurity in corporate strategy and management. While there were few significant legislative developments, a marked increase in cybersecurity attacks...more

Restarting the Federal Data Privacy Law Engine

The recent data security breaches at Target, Niemen Marcus, and a few other retailers has been a catalyst to Congress restarting talks about a federal data privacy law. Currently, there are pending bills in both the House and...more

On a Collision Course: How Domain Name Collision Could be Your Biggest Security Threat

We are barely a month into 2014 and one of the news stories that is likely to be most memorable for the year is the Target security breach that resulted in upwards of 70 million customers’ personal information being...more

FTC and Accretive Health Settle Unfair Business Practice Complaint Centered on Data Security Measures

Accretive Health recently agreed to settle a Federal Trade Commission (FTC) complaint that stems from a July, 2011 incident in which an Accretive employee’s laptop was stolen from his car. As a medical billing and revenue...more

A Weapon Against Hackers on Home Front

Over the past year the national press has repeatedly reported on the vulner­ability of our intellectual property to nation-state hackers like China, which have reportedly accessed and stolen highly con­fidential data by...more

On the 11th Day of Privacy, class counsel served on me……

. . . a data breach class action. Hackers and plaintiffs’ lawyers could combine to make 2014 the year when class actions concerning theft of sensitive information proliferate. On this 11th Day of Privacy, we look...more

Willful Blindness on Trade Secrets: Employers Could Pay a Heavy Price

A recent trial experience provided an extraordinary lesson on the significant legal exposure employers face when hiring away employees from a competitor. I recently completed a jury trial in which my client obtained a $22.7...more

Visa Loses Motion to Dismiss in Genesco Case - Are the Days for PCI Assessments Numbered?

In a highly anticipated decision, a federal court in Tennessee let stand a retailer’s claims against Visa for violation of California’s Unfair Competition Law (UCL) and for common law claims for unjust enrichment and...more

Recent California Decision Demonstrates Challenges Faced By Plaintiffs In Data Breach Litigation

On July 11, 2013, the U.S. District Court for the Central District of California granted a motion for judgment on the pleadings with respect to the majority of claims brought against Blizzard Entertainment, Inc. (“Blizzard”)...more

Smoking Gun Or Blowing Smoke? Five Tips To Make Sure That Computer Forensic Evidence Of Trade Secret Theft Is What You Think It Is

Today’s hackers and ex-employees steal secrets with USB drives, personal email accounts, and computer networks, making computer forensics critical in detecting trade secret theft....more

The Conflicting Rules on Employee Data Theft

In all jurisdictions the Computer Fraud and Abuse Act (CFAA), 18 U.S.C. 1030, the federal computer crime statute, applies to former employees who steal data from the company computer, but in two federal circuits it does not...more

The Conflicting Rulings on Employee Data Theft

Employers should include access restrictions in agreements, limit access with technology and consider the jurisdiction. In all jurisdictions the Computer Fraud and Abuse Act (CFAA), 18 U.S.C. 1030, the federal computer crime...more

The Short Arm Of The Law: U.S. Problems Prosecuting Foreigners For Trade Secret Theft

They say politics stops at the water’s edge. Increasingly, so does the power of the United States to thwart trade secret theft....more

Historic Patent Act Whets Washington's Appetite

On March 16, the most significant provisions of the America Invents Act (AIA) came into force. The AIA was seen as the most extensive alteration to patent law in half a century, and was hotly debated over nearly a decade. The...more

California Attorney General Issues 2012 Data Breach Report – Announces Investigating Breaches of Unencrypted Personal Information...

In 2012, for the first time, companies and government agencies subject to California’s Breach Notification Law were required to submit copies of their data breach notices to the California Attorney General when the breach...more

FCC: Carriers Must Protect Certain Data Collected on Mobile Handsets

Aiming to “address the real privacy and security risks that consumers face when telecommunications carriers use their control of customers’ mobile devices to collect information about their customers’ use of the network,” the...more

Texas Makes It Easier To Protect Trade Secrets

Many years ago, in the days of cheap oil and cheaper natural gas, The Superior Oil Company often hired geologists and engineers away from Mobil Oil. ...more

Does The Alabama Trade Secrets Act Limit Remedies For Theft Of Information?

Alabama enacted the Alabama Trade Secrets Act (the “ATSA”) in 1987. However, since that time, there have been relatively few reported court decisions analyzing the impact of the ATSA on common law claims. A federal district...more

Is data security your organization’s greatest worry? If not, it should be…

I recently had the pleasure of spending time with a partner and client at the largest law firm on the planet. During our conversation, he asked me a question that I have not been able to stop thinking about since. “What do I...more

The Computer Fraud And Abuse Act, And Protecting Employer’s Electronic Data

The Southern District of New York recently joined a number of other jurisdictions in foreclosing one avenue of recovery for employers seeking to recover against employees who steal company information for competitors. In...more

FTC Obtains Settlement From Cord Blood Bank In Data Theft Action

On February 5, a federal district court in California approved a settlement recently obtained by the FTC, which (i) requires a California-based firm that operates a cord blood bank to establish a comprehensive information...more

The 9th Circuit: Employees Are Free to Steal from the Company Computers

Yesterday the 9th Circuit Court of Appeals issued an opinion holding that limiting an employee’s access to the company computers solely for business purposes, i.e. not stealing the data for a competitor, cannot be the...more

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