Why Are Law Firms at Risk?
Law firms house highly valuable information, including personal, financial, and medical data, as well as intellectual property, making them prime targets for cybercriminals. To protect this data, compliance standards are implemented to help law firms safeguard client confidentiality and promote integrity and safety.What Compliance Regulations Apply to Law Firms?
States can have varied compliance standards, and the types of cases and clients you handle can also affect what regulations apply to your firm. Familiarize yourself with these basic standards and seek professional law firm IT support for specific guidance.- ABA Client Data Protection Standards: The American Bar Association has established guidelines to emphasize the protection of client information, including measures to prevent data breaches and unauthorized access.
- Sarbanes-Oxley Act (SOX): SOX outlines requirements for financial record keeping and auditing for public companies. Firms that work with these companies or are public themselves must perform the necessary audits and confirm that records are kept appropriately.
- Federal Trade Commission (FTC): The FTC enforces regulations that prevent deceptive business practices and transactions. Law firms must comply by ensuring honest, clear communication with clients and protecting their data.
- Health Insurance Portability and Accountability Act (HIPAA): HIPAA regulations require the proper protection and handling of patient data. Firms that work on healthcare-related cases must have controls in place to prevent data breaches and protect this sensitive information.