listen to this articleTechnology-related litigation in the U.S. and Canada will increase in 2023 and is expected to increase again in 2024, according to Norton Rose Fulbright’s annual Litigation Trends Study.
We spoke with leaders in the technology litigation field in Western New York to learn what trends and risks they’re seeing in technology litigation and how companies can stay ahead of the curve. I looked into it.
At Phillips Lytle, we are a partner and leader of the firm’s data privacy, cybersecurity and e-discovery practice team, and co-leader of the firm’s cryptocurrency and blockchain team, said Anna Mercado Clark. He is said to be extremely busy with lawsuits.
Clark said that in addition to the usual breach of contract lawsuits involving companies and third-party service providers, Americans with Disabilities Act website compliance lawsuits and lawsuits based on website tracking technology have increased in recent years.
She has also seen a national increase in litigation related to the protection of children’s data, as well as cases related to artificial intelligence.
“There’s renewed interest and a lot of legislative activity in this area, especially in California,” said Clark, who is also an adjunct professor at Fordham University School of Law. “There is increasing attention to the growing issues surrounding youth privacy and social media use by minors, as efforts are also underway at the federal level to update the Children’s Online Privacy Protection Act (COPPA). We expect litigation to ensue from that.”
When it comes to protecting companies from technology-related lawsuits, one of Clark’s recommendations is to use company-specific solutions rather than publicly available solutions to give them more control over their data. Please consider using it.
Paul Greene is a partner and chair of Harter Secrest & Emery’s Privacy and Data Security, Artificial Intelligence and Emerging Technologies practice groups, representing companies of all sizes. If you have a website, all of them can be at risk of litigation.
“Websites are certainly the front door and public facing side of an organization, and many of the common tracking tools and common technologies used on websites pose many of the litigation risks that currently exist. “It’s become a focus of this,” Green said.
He said the risk of litigation from websites comes from the fact that companies view their websites primarily as communication tools, and because companies view their websites primarily as communication tools, privacy concerns that can arise from tools such as Metapixel, an analytical tool that tracks the activities of website visitors, are important. This is often due to a lack of awareness of data protection risks.
“While this is very useful, it also has the potential to send personal information to Meta, such as pages viewed and IP address,” Green says. “The desire to maximize user experience and visibility into how consumers use her website creates data flows where personal data moves to third parties.”
Green said there are numerous lawsuits around the world alleging wiretapping and invasion of privacy under various state laws due to the movement of personal data to Meta, Google Analytics, or similar platforms. It was pointed out that the pace of
Green says the most important actions companies can take to assess and mitigate risk when it comes to website tracking are to understand what websites do, how they collect information, and with whom they share that information. It states that a comprehensive review of what information will be shared and how long that information will be stored. It was kept.
Jenny Holmes, Partner and Deputy Leader of the Cybersecurity & Privacy Team at Nixon Peabody We see more and more companies engaging in litigation. The technology they use.
“It’s important to understand what data you’re collecting, what you’re doing with it, and why it’s so important to understand it,” Holmes said, adding that businesses should It says it starts by developing programs that allow consumers to use their products and be transparent with consumers about their use. “Transparency in data collection is extremely important and is a best practice.”
When it comes to introducing new technology, such as artificial intelligence tools, she advises not to act too hastily and take time to consult with legal counsel before introducing new technology to ensure it does not put businesses or consumers at risk. We recommend that you do so.
She recommends data mapping of the tools already in use to help companies better understand the data they’re collecting, what they’re doing with it, and why.
Kevin Szczepanski is a partner and co-chair of Barclay Damon’s Data Security and Technology practice area, where his practice focuses primarily on insurance coverage litigation and cyber risk. He is also the host of the company’s biweekly cybersecurity podcast, He Barclay Damon Live: Cyber Sip.
Szczepanski said that when cybersecurity first entered the public consciousness many years ago, it primarily focused on security and what businesses do to protect their systems from threats such as denial of service and ransomware attacks. He explains that the focus was on whether there was a need for it, but the situation is changing.
“What we’ve seen in the last few years is what I call a paradigm shift from security to privacy,” Szczepanski said. “While we remain concerned about security, we are increasingly concerned about the impact of data breaches and cyberattacks.”
Szczepanski said public concerns about how companies handle and protect their data play a key role in increasing the frequency and cost of litigation. He says he is fulfilling his role.
Szczepanski says there are three steps companies can take to reduce the risk of technology-driven litigation: risk management, vendor management, and cyber insurance.
“We want to buy cyber insurance,” Szczepanski said. “It’s a great tool. Not only can it cover the costs you incur if you suffer a data breach or ransomware attack, but it can also help defend you if you get involved in a data breach class action lawsuit or other cyber lawsuit, or get a judgment or settlement against you. We will also cover your expenses.”
For businesses without cyber insurance, Szczepanski recommends finding an insurance broker that specializes in cyber insurance and having a candid conversation about the health of your network, the data you have, and costs. It’s been flat or in some cases declining recently.
Caurie Putnam is a freelance writer in the Rochester area.
This article was originally published in the Rochester Business Journal.
