The Changing Privacy And Security Landscape
by Frederick Scholl and Jay Hollander
Posted 10/2003; Published 5/2003




In a world where business practices are dominated by digital entry, storage and access to information, concerns over personal privacy and information security have escalated. Previously unheard-of issues relating to digital identity theft, alleged misuse of financial and health-related information for unauthorized purposes and even use of information to aid and abet international terrorism, have become everyday, front-page news.


This article summarizes legislative efforts to deal with some of these issues—the Health Insurance Portability and Accountability Act of 1996 (HIPAA), the Gramm-Leach-Bliley Act of 1999 (GLB) and the USA PATRIOT Act (2001)—and discusses security management standards that are part of the legislation. Without question, the most attention on this front has been directed to private health and financial information, as well as steps to minimize and avoid use of the digital medium to support international terrorism.


While the legislation has made protection of digital information a top priority for the financial services and health care industries, the simple truth is that all businesses need to understand and manage security better than many currently do, and most need to upgrade their security practices. Businesses that do not comply with the applicable laws risk substantial penalties mandated by these laws, as well as damage to their business reputations, lost customers and civil litigation.


About the authors:

Dr. Frederick Scholl is president of Monarch Information Networks, a New York–area consulting firm specializing in network forensic investigations, and Jay Hollander, Esq. is a principal of Hollander and Company LLC, a Manhattan law firm concentrating in computer and Internet law, and director of legal affairs for the New York City Chapter of the Association of Internet Professionals.

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