Cybersecurity Starts at the Top: Risks and Concerns for Directors and Officers

Summary

While many are no doubt tired of hearing about cybersecurity, hackers and cyber-criminals continue to employ sophisticated and evolving strategies to access data and disrupt organizations, and, unfortunately, this issue is not going away. Cybersecurity, however, is not only a problem for legal, compliance, and IT personnel. While many executives and boardrooms have been proactive in embracing cybersecurity best practices, for many this remains an area for improvement. Recent developments in data breach litigation cases have demonstrated that officers and directors may increasingly be in the crosshairs of claims arising from data breaches and may be exposed to individual liability. In addition, regulatory guidance has increasingly emphasized that formation and oversight of cybersecurity programs and policies should start at the top—with executives and boards of directors.