Tennessee Amends Data Breach Notification Law – Removes Encryption Exemption (or does it?)

By Kathie McDonald-McClure and Matt San Roman

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On March 24, 2016, Tennessee Governor Bill Haslam signed into law SB2005 as amended by SA0618, revising the Tennessee Identity Theft Deterrence Act of 1999, currently codified at T. C. A. § 47-18-2101, et seq.  Under the revised law, organizations subject to the law that experience a data breach will be required to notify affected individuals in Tennessee “immediately” and no later than 45 days from the discovery or notification of a security breach of computerized personal information, unless a law enforcement investigation related to the breach requires a delay in notification. While most similar state laws refrain from mandating a definite period within which to provide notification to affected individuals or state agencies, Tennessee, effective July 1, 2016, will join seven other states in requiring notification within a specific time.

Perhaps more notably with this amendment, Tennessee “may” be the first state in the United States to remove the encryption safe harbor.* The 46 other state data breach notification laws require notification to affected individuals if Continue reading