Consultants are using it in pitches, lawyers are lecturing on it, and in Washington, it’s been used as a model for proposed federal legislation. But nearly four months after it took effect California’s unique security breach disclosure law has yet to see any enforcement action. “Our office is not aware of any, nor are we aware of any DA or local offices or private parties bringing them,” says Hallye Jordan, a spokesperson for California attorney general Bill Lockyer. “It may be that there have not been any security breaches that the consumers have not been informed about.” The law, called SB 1386, passed on September of last year and took effect July 1st. It obligates companies doing business online to warn their customers in “the most expedient time possible” about any security breach that exposes certain types of information: specifically, customers’ names in association with their social security number, drivers license number, or a credit card or bank account number. It can be enforced by state officials, or consumers can sue for damages if they become fraud or identity theft victims as a result of an undisclosed breach. Attorneys have warned that the law applies to e-commerce companies nationwide, whenever residents of the Golden State have their information exposed. Full Story
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