When it comes to legal services, an ounce of prevention really is a pound of care. While our litigators make a living litigating, they all advise their clients to be proactive in order to avoid disputes, because the cost of going to court is so high.
Cybersecurity and data protection is no different. In fact, the 2019 total average cost (both direct and indirect) of a data breach in the U.S. was 8.2 million. While the Canadian figures are not likely as high as in the U.S., the total average cost of a data breach in Canada still exceeds $1,000,000.
So how can businesses, crown corporations, municipalities, and other organizations reduce unnecessary legal spending? By proactively developing plans and policies related to cybersecurity, data protection, and privacy law. The costs (legal, IT, and others) associated with developing these plans and policies should be viewed as an investment and not an expense. The reason being, the potential return on investment from avoiding significant government fines, class action lawsuits, and crippling brand damage, easily covers the costs of preventing a breach in the first place. For organizations doing business in the European Union (EU) and/or the United States (U.S.), the potential risks and costs are of course higher, due to GDPR in the EU and CCPA in the U.S.
Organizations that are concerned with cybersecurity risks and want to reduce unnecessary legal spend, can take a proactive first step, by completing the checklists below.
If you answered NO or I DON’T KNOW to any of these questions, your organization could be at risk of being non-compliant with its privacy and data protection obligations, or in the event of a security incident. We can help you protect and defend your organization.
Personal Information Protection and Electronic Documents Act (PIPEDA)
General Data Protection Regulation (GDPR)
California Consumer Privacy Act (CCPA)
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