Client Alert: Standards for the Protection of Personal Information of Residents of the Commonwealth

The Identity Theft Resource Center noted that the number of reported breaches in 2008 rose to 656, almost 50% more than in 2007. 2009 looks to be even worse than 2008, with 155 breaches as of mid-April, exposing the records of more than 1.7 million people.

Data breaches have always been a risk, are extremely costly to deal with and have a negative impact on a firm's reputation. Now firms will need to take all of the necessary steps and make the appropriate investments to ensure compliance with the new laws if they have employees and/or customers in Massachusetts.

While there is time to put the proper policies, procedures and systems in place, the deadline will arrive quickly and the risks of not putting a program in place thoughtfully are tremendous.