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Monday, August 22, 2005

New security breaches disclosure law

New York has enacted an information security breaches law, which will oblige firms and local government agencies to notify customers in the state if their personal information is taken, or its systems are hacked into.  The legislation is designed to promote security.

It also helps protect consumers by giving them the information they need to head off possible identity theft when sensitive details such as Social Security, driver’s license and credit card numbers become exposed.

The Information Security Breach and Notification Act in New York is broadly similar to security breaches laws enacted in California more than two years ago.

Legislation requiring consumer notification of data security breaches has been approved in at least 15 states since then.

New York’s decision to go ahead with its legislation follows a series of high profile consumer data security breaches involving US firms including data mining firm ChoicePoint, payment processing firm CardSystems Solutions and others.

Posted on 08/22