The best cloud data storage solutions ensure that the data is encrypted at every stage to prevent access even if a data breach occurs.
on computers and other devices) and when it’s transmitted (e.g. Law firms must still ensure that data is protected when in-use (e.g. While cloud-based data storage is often cheaper than on-premise storage, it only addresses one part of the data lifecycle: storage. tapes and hard drives), but this requires a large IT staff to setup, secure and maintain. Many law firms use personal computers and on-premise storage (e.g.
The class action suit was eventually dropped, but the move demonstrates that there could be a legal basis for failing to adhere to cybersecurity standards. In 2016, Edelson PC filed a lawsuit alleging that Johnson & Bell - a Chicago law firm - had vulnerabilities in its IT infrastructure. This means that law firms that select insecure cloud providers could be on the hook for any liability.įurthermore, law firms may be liable if clients find their cybersecurity measures to be insufficient, even if no data breach has occurred. The only exception to the rule is healthcare data governed under HIPAA laws.
The law states that the data owner is ultimately liable for losses that arise from a data breach, even if the security failure is the fault of the data holder (e.g. Law firms may be able to use cloud storage services, but it’s important to understand where liability exists. The ABA Model Rule 1.1 also requires that lawyers keep abreast of changes in technology-related laws since they are constantly evolving to account for new developments. More than 20 state bar associations have issued ethical opinions on cloud storage, and the consensus is that lawyers may ethically use cloud storage as long as they exercise reasonable care to keep client information and files confidential.
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