Over the past several years, legislators from coast to coast
have increasingly made data privacy and cybersecurity top
priorities. The result has been a spike in the number and
stringency of laws that impose proactive and reactive
responsibilities – covering, for instance, data security and
breach notifications – on companies that collect personal
information, whether from their customers, their employees, end
users, or others. That legislative trend has recently expanded
previous obligations of companies conducting business in New York
state.
On October 23, 2019, New York's Stop Hacks and Improve
Electronic Data Security (SHIELD) Act went into effect. The law
broadens the state's existing breach notification laws and
imposes new security obligations on companies doing business in New
York, including an expanded focus on how companies handle biometric
data. The SHIELD Act also applies to employee information, as long
as there is at least one employee in New York