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Wiley Rein LLP

Court Holds Social Engineering Fraud Does Not Trigger Computer Fraud Coverage

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The United States District Court for the District of Minnesota, applying Minnesota law, has held that an insured’s loss resulting from the insured’s payment of fraudulent invoices received from a bad actor who hacked into the...more

Carlton Fields

Federal Court Rules “Unauthorized Network Access Exclusion” Precludes Coverage for $1.3M Payment From Hacker’s Fraudulent Email

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The U.S. District Court for the Eastern District of Pennsylvania ruled that an insurance policy issued by Federal Insurance Co. excluded coverage for the transmission of $1.3 million by the insured in response to an email...more

Farella Braun + Martel LLP

Another Federal Circuit Finds Phishing Loss Covered Under Crime Policy

Companies of all sizes have fallen victim to attacks whereby fraudsters will use deceptive communications, such as spoofed emails, to trick an employee into transferring money into the fraudsters’ control. While these...more

King & Spalding

AI Driven "Deepfakes" Expose Holes in Corporate Compliance Programs: The Road to Recovery

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Artificial intelligence (“AI”) has made astounding advancements in recent years. Driven by incredible computing power, AI has the potential to change nearly every industry. AI is touted as having the potential to reduce...more

Locke Lord LLP

Testing the Limits III – Cyber Coverage Litigation Focuses on Computer Fraud Losses

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Fraudsters deploy different computer-related techniques but toward the same end – “gaming the system” for their own financial gain. Some victims turn to insurance for recovery. Four recent federal appellate decisions reveal...more

Bennett Jones LLP

Cybersecurity—Loss Due to Social Engineering Attack Covered Under Insurance Policy

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As the number and sophistication of social engineering attacks increases, victims are examining their insurance policies to see if they are covered. In The Brick Warehouse LP v. Chubb Insurance Company of Canada, 2017 ABQB...more

Skadden, Arps, Slate, Meagher & Flom LLP

Privacy & Cybersecurity Update - July 2018

In this month's edition of our Privacy & Cybersecurity Update, we examine California's new sweeping privacy law, two U.S. agencies' report on "botnet" threats and the European Parliament's call to suspend the Privacy Shield....more

Zuckerman Spaeder LLP

Gone Phishing: Employer Faces Liability for Mistakenly Disclosing W-2 Forms to Scammer

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Phishing. Spoofing. - These words may sound silly, but for employers, they are anything but. Phishing is the attempt to obtain sensitive electronic information—such as usernames, passwords, or financial...more

White and Williams LLP

No Coverage for Seafood Importer Netted in Phishing Scam

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On April 16, 2018, Beazley Group issued a report highlighting increased attacks on Microsoft’s cloud-based business products and services. The report stated that successful attacks typically are achieved by tricking employees...more

Nossaman LLP

Two Court Rulings Show Coverage Difficulties for “Fake President” Fraud

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A few weeks back, the Insurance Recovery report posted a blog about the difficulty obtaining insurance coverage for “fake president” fraud, which is also known as business e-mail compromise, or social engineering fraud. Two...more

Bennett Jones LLP

Cybersecurity: Spear Phishing Covered Under Insurance Policy Where Code Manipulated

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Increasingly, insureds faced with cyber fraud losses are going to the courts to interpret their policies. In The Brick Warehouse LP v. Chubb Insurance Company of Canada, 2017 ABQB 413 [The Brick Warehouse], and in Taylor &...more

Nossaman LLP

The Remedy for the New Cyber Threat Posing Major Coverage Problems: “Fake President” E-mails

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In the last few weeks, we have seen yet another widespread ransomware attack that hit nearly one hundred companies around the world. It reminded me of a recent request from a client, made just after news broke of the...more

King & Spalding

Another Cyber Coverage Gap? Some Carriers Resisting Coverage Of Commercial Cyber Fraud

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In the fast-developing world of cyber threats and corresponding cyber coverage, at least two insurance carriers are pushing back against covering losses arising out the transfer of funds to cyber fraudsters after employees...more

FordHarrison

Data privacy in the Americas - At a glance

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As multinational employers are aware, data privacy laws can vary greatly from jurisdiction to jurisdiction. Ensuring compliance with the different requirements can be challenging, and the penalties for noncompliance can be...more

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