Data Privacy Strategies for State and Regulatory Compliance

Hinshaw attorneys Cathy Mulrow-Peattie and J. Michael Paulino recently authored a byline for the Daily Business Review. Their article emphasizes the need for businesses to understand and comply with the various cybersecurity and privacy regulatory frameworks governing consumer data protection, especially in light of rising data breaches and increasingly sophisticated cyber-attacks.

With 19 U.S. states having enacted privacy laws, including Florida’s Digital Bill of Rights, businesses must implement strong security measures to safeguard personal consumer data and comply with regulations. The Federal Trade Commission (FTC) is also increasingly focused on data security, enforcing data minimization practices and promoting comprehensive information security programs. Our authors urge companies to manage consumer data retention effectively to help minimize the risk of significant penalties.

Mulrow-Peattie and Paulino also highlight the financial impact of data breaches, noting that the average cost of a data breach escalated to over $10 million in 2023. Such breaches can compromise personally identifiable information, which can severely damage a company’s reputation, customer relationships, and overall revenue.

The authors advocate for businesses to implement strong information security policies, including having incident response plans in place, diligently drafting third-party vendor contracts, and complying with state-specific laws to mitigate regulatory risks and avoid investigations.

Read the full article (subscription may be required).

• "Data Breaches, Increased Regulatory Risk and Florida's New Digital Bill of Rights" was published by the Daily Business Review on December 20, 2024.
• A version of this article was also published in the ALM Law Journal Newsletter on January 1, 2025.