Businesses must notify customers of computer security breaches that could put them at risk for identity theft under a new law that goes into effect in Indiana on July 1. If a company fails to notify customers of a security breach, the law says the attorney general can sue and seek penalties of up to $150,000. The new law stems, in part, from a well-publicized case involving the data firm ChoicePoint Inc., whose massive database of consumer information was accessed by thieves in 2004.
June 08, 2006 at 12:00 AM
1 minute read
The original version of this story was published on Law.Com
Businesses must notify customers of computer security breaches that could put them at risk for identity theft under a new law that goes into effect in Indiana July 1.
“It doesn’t matter if it was one (customer) or 500,000 or a million, you have to disclose that to your customer,” said Staci Schneider, spokeswoman for the attorney general’s office. “That will give the customer an opportunity to take … precautions they need to protect themselves against identity theft.”
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