Protecting Your Business Against Cybersecurity Lawsuits

Posted on: 28 June 2017


When it comes to running a profitable business in today's complex market landscape, guarding against liability is important. With many business activities being conducted online and with the help of electronic devices, cybersecurity is a critical issue that business owners must think about when addressing liability.

In order to protect your business against a cybersecurity lawsuit, here are three things that you should be doing.

1. Changing your passwords regularly.

When a breach occurs and your company's data is accessed illegally, victims could seek damages in a court of law. In order to prove that your company isn't liable for these damages, you should be able to provide evidence that you took measures to prevent easy access to confidential information.

Changing your passwords on a regular basis can help you establish that you aren't liable for a security breach. Be sure that you establish a schedule that allows you to routinely alter the passwords used to access your company's data if you want to avoid costly cybersecurity lawsuits in the future.

2. Use a secure server.

If your company gathers sensitive information from your customers or clients, then you have a responsibility to protect this information from unauthorized individuals. In order to protect your company against a potential cybersecurity lawsuit, you should ensure that you have access to a secure server on which you can backup your company's data.

Being able to provide proof that you use a secure server will show a judge that you performed due diligence in attempting to protect confidential information, allowing you to avoid being held liable for damages incurred as a result of a cybersecurity breach.

3. Keep hardware secured.

Another important thing that you can do to protect your business against cybersecurity lawsuits is to ensure that your hardware is kept secured. You shouldn't have computers, laptops, or tablets that can access confidential information in areas where the general public could access them.

Keeping your hardware locked up where it can only be accessed by employees with the right security clearances ensures that you are taking action to protect the private information of your customers and vendors. Taking action to keep your company's hardware more secure will help you avoid liability in a cybersecurity lawsuit.

With computer hacks, viruses, and identity theft becoming more common, creating a sound cybersecurity protection plan is in the best interest of your company. Avoid a costly cybersecurity lawsuit by changing your passwords regularly, using a secure server, and keeping your company's hardware secured. For more information, talk to a professional like Vandeventer Black LLP.