A Potential Trend in the Making? Utah Becomes the Second State to Enact Data Breach Safe Harbor Law Incentivizing Companies to Maintain Robust Data Protection Programs

Blank Rome LLP

Today, the question is no longer a matter of “if,” but “when,” a company will fall victim to a successful security incident. Over the years, lawmakers have struggled with devising effective methods and incentives for companies to enhance their data protection programs without mandating one-size-fits-all requirements that undercut effective data security management.

Earlier this year, Utah enacted a new data security statute—the Utah Cybersecurity Affirmative Defense Act (“CADA”)—which accomplishes just that goal. With the CADA—the second law of its kind to be enacted in the United States—Utah businesses are now afforded a safe harbor against certain causes of action that commonly arise in data breach class action litigation where the entity maintains reasonable data protection measures to safeguard sensitive personal information at the time of the incident. From a broader perspective, the passage of the CADA may influence other states to follow Utah’s lead and enact similar laws of their own.

Originally published in the ABA TIPS Cybersecurity & Data Privacy Committee Newsletter (Summer 2021).

Please see full publication below for more information.

LOADING PDF: If there are any problems, click here to download the file.

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.

© Blank Rome LLP | Attorney Advertising

Written by:

Blank Rome LLP

Blank Rome LLP on:

Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:
*By using the service, you signify your acceptance of JD Supra's Privacy Policy.
Custom Email Digest
- hide
- hide

This website uses cookies to improve user experience, track anonymous site usage, store authorization tokens and permit sharing on social media networks. By continuing to browse this website you accept the use of cookies. Click here to read more about how we use cookies.