Wyatt HITECH Law

A legal blog about consumer and business data privacy and security in a high tech world

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Administrative Law Judge Dismisses FTC Complaint Against LabMD

By Margaret Young Levi

electronic health recordOn November 13, 2015, the Chief Administrative Law Judge (ALJ) for the Federal Trade Commission (FTC) issued an Initial Decision dismissing the FTC’s Complaint against LabMD, Inc. for lack of evidence. The FTC originally issued this Complaint against LabMD in 2013, alleging that the clinical testing laboratory failed to provide “reasonable and appropriate” security for personal information maintained on LabMD’s computer networks and that this conduct “caused or is likely to cause” substantial consumer injury.

Two alleged security incidents form the basis of the Complaint. In the first incident, LabMD learned that a June 2007 insurance aging report containing personal information was available on a peer-to-peer (P2P) file-sharing network.  (See Initial Decision, p. 21-22 for a description of potential identifying information contained on insurance aging reports.) The ALJ determined that this limited exposure has not resulted, and is not likely to result, in any identity theft-related harm. The FTC also could not prove that embarrassment or similar emotional harm is likely to be suffered from the exposure of the file alone, and interestingly, the ALJ stated that “[e]ven if there were proof of such harm, this would constitute only subjective or emotional harm that, under the facts of this case, where there is no proof of other tangible injury, is not a ‘substantial injury.’”

In the second incident, dozens of Day Sheets and a small number of copied checks containing personal information were found in the Continue reading

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Kentucky Chamber To Host Cyber Security Seminar on December 17, 2015

KY Chamber Cyber Security Seminar 2015

Data privacy and security issues are bursting at the seams in ALL industry sectors due to the ability to connect to the internet through networks, apps and a multitude of devices that enable individuals and organizations to collect, transmit, store and use information in a multitude of ways.  Connecting to the internet poses privacy and security risks regarding confidential information that, if used or disclosed in certain ways, can result in significant financial and reputational harm to the entity, its employees, clients, customers and others.

  • Is your company counting on you to make sure it doesn’t have a data breach and end up on the front page?
  • Do you know the latest ways that cyber thieves are trying to gain access to your data?
  • Are you learning from others’ mistakes, so that your company doesn’t have to learn the hard way?
  • Are your policies in step with state and federal laws and regulations as well as government enforcement trends?
  • Do you have a plan for dealing with the financial hit that would accompany a data breach?

If these questions have been weighing on you, as your company’s CEO, CFO, IT manager, HR manager, in-house counsel or risk officer, come to a one-day conference on December 17, 2015, in Lexington, Kentucky, hosted by the Kentucky Chamber of Commerce and sponsored by Wyatt, Tarrant & Combs, LLP.  Learn about trends in security, legal compliance, risk management and law enforcement on cyber security and data protection and gain practical, hands-on information that you can take back to your company, which will begin paying dividends right away.  Continue reading

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Wyatt to sponsor the Kentucky Chamber’s Cyber Security and Data Protection Seminar

KY Chamber Cyber Security Seminar 2015Wyatt will be sponsoring the Kentucky Chamber of Commerce‘s Cyber Security and Data Protection Seminar on December 17, 2015 in Lexington, Kentucky.  Kathie McDonald-McClure, Dayo Seton, Lisa Underwood and Martha Ziskind will be presenting on the following topics:

  • Kathie McDonald-McClure – “Is Your Cybersecurity Policy Up to Snuff? Do You Have One?”
  • Dayo Seton and Lisa Underwood – “Breaking Developments in Cyber Privacy Law – Is Your Company in the Know?”
  • Lisa Underwood – “Key Provisions to Address in Agreements with Your Vendors”
  • Martha Ziskind – “Federal Trade Commission Takes Driver’s Seat in Setting Data Privacy and Security Standards (or Not)”

This seminar will provide attendees with information on how to prevent a data breach from occurring and ensure that their company policies are in step with current federal laws and regulations.

Please click here to view the full agenda and register.


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