Viewpoint: SEC Eyes Cybersecurity Disclosure Regs

Editor’s Note: CRE explains that SEC cyber-security regulations “is a lightening rod for litigation” in the discussion paper, Creating a Cost-Effective Cyber Security Safe Harbor.

From: TheRecorder

Jared L. Kopel

The cyberattack against Sony Corp. last year raised a host of legal issues, including potential liability under the federal securities laws.

A senior official of the Securities and Exchange Commission recently warned cybersecurity “is high on our radar screen,” and the SEC is considering taking actions to require publicly traded companies to disclose more information concerning cybersecurity issues, including data breaches.

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