On November 17, 2017, a federal district court in Florida granted summary judgment in favor of Hanover Insurance Company (the Insurer) relating to a data breach suffered by Innovak International Inc. (the Insured). Innovak International Inc. v. The Hanover Insurance Company, Case No: 8:16:cv-2453-MSS-JSS, U.S. Dist. Ct., Mid. Dist. FL (November 17, 2017). [Read more…]
The value of insight is rarely doubted, but when it comes to company data, an enterprise’s knowledge is often ambiguous at best. While many IT departments have attempted to rectify company practices, tech habits that can vary significantly from employee to employee often render organizations vulnerable to security breaches, illegal behavior and compliance violations.
The day two plenary session at Legaltech New York, “Mitigating Risk with Information Governance and Insight,” brought together some of the best legal minds at the intersection of information governance (IG) and law in effort to shed light on how crucial it is for enterprises to develop a greater understanding of the data they possess. [Read more…]
As we welcome in 2016, awareness of the variety of information-related risks confronting today’s enterprises, and the availability of insurance covering those risks, is at an all time high. High profile data breaches caused by negligent or non-compliant employees and hackers, ransomware attacks, and social engineering scams have motivated many companies to transfer some of their cyber risks with cyber insurance. But companies that also take steps to better manage their information assets not only improve their cyber risk profile; they also put themselves in better position to secure more favorable cyber insurance coverage terms and rates. [Read more…]
Lawyers Play a Big Role in Big Data Issues
Attorneys need to play a key role on issues related to data and big data as businesses face an increasing amount of regulation, laws, and rulings on data storage, collection, and processing. The management of data has become more complex due to the the increased amount of data being generated to produce value. Lawyers must be aware of the risks that come along with big data use and collection, such as data breaches, and illegal and unethical uses of the data that businesses collect.
Judy Selby was quoted in this article. To read the full article click here.
David Johnson had just finished meeting with a cybersecurity consultant about beefing up the company’s protections when he learned the servers had been hacked.
As general counsel of Global Cash Access, a company that manages cash on hand for casinos, Johnson was highly concerned about protecting the company servers: Literally, millions of dollars were at stake. Hiring a consultant to sniff out vulnerabilities had been the first step taken by the company’s new senior vice president of IT, and everyone at the meeting had agreed the consultant should take the next few months to see if he could penetrate their computer system. [Read more…]
Big Data has infiltrated the corporate valuation scene by making its indelible mark on companies’ goodwill and reputation. Recent research confirms that corporate reputations suffer following mishaps involving data within the corporation’s control. Today’s companies must appreciate that their use, misuse and governance of Big Data can have an impactful effect on their goodwill and resulting valuation.
How Modern Enterprises Are Valued
In today’s data-driven economy, many organizations’ value is derived from much more than the sum of their tangible assets. As opposed to tangible assets of the brick and mortar variety, goodwill — which has no physical component — qualifies as an intangible asset. The value of goodwill is the difference between a company’s purchase price and the fair market value of the tangible assets involved in the acquisition.
Certain subjective elements of goodwill include reputation, the value of a company’s brand name, customer lists, and positive customer interactions. Goodwill has no expiration date, as it is inextricably linked to a business itself, and it cannot be sold or transferred separate and apart from the entire business. [Read more…]