The FBI’s Internet Crime Complaint Center (“IC3”) recently released its annual report, the 2020 Internet Crime Report (“Report”), which gathers statistics from nearly 800,000 complaints of suspected cybercrimes that the department received in 2020. This is a record number of complaints—a 69% increase from 2019—with reported losses exceeding $4.2 billion. According to the FBI, the […]
Crisis & Data Breach Response
NYDFS Announces Cybersecurity Settlement, Addresses Multi-Factor Authentication Rules
On April 14, 2021, the New York Department of Financial Services (“NYDFS”) announced a settlement with National Securities Corporation (“National Securities”), a licensed insurer, in connection with claims under the NYDFS Cybersecurity Regulation (23 NYCRR Part 500). The consent order requires payment of a $3M penalty and mandatory remediation in response to alleged failures to […]
Another Court Dismisses Data Breach Class Action Lawsuit for Lack of Standing
In what appears to be a growing trend, another federal district court has dismissed a data breach case for lack of standing. In Springmeyer et al. v. Marriott International, Inc., 2021 WL 809894 (D. Md.), Plaintiffs, former guests of Marriott hotels, sued Marriott in connection with a data breach affecting over 5 million guests. Marriott moved […]
NYDFS Reports Major Cybersecurity Settlement
In early March, the New York Department of Financial Services (NYDFS) announced a settlement involving a $1.5M penalty and mandatory remediation in response to a mortgage lender’s alleged failure to report a cyber breach, and other alleged cybersecurity failures. This enforcement action marks the second public enforcement action under 23 NYCRR Part 500 (the “Cybersecurity […]
SolarWinds Hack: Unparalleled Supply Chain Attack Results in Potential Compromise of Private and Public Sector Organizations
On Sunday, December 13, 2020, SolarWinds announced that it had learned of a “highly sophisticated, manual supply chain attack” by a nation state affecting its Orion Platform, which is used by a wide variety of public and private sector organizations for IT infrastructure monitoring and management. In this attack, adversaries were able to compromise the […]