Security breaches are on the rise amongst legal firms, and law firms of all sizes are increasingly falling victim to devastating cyberattacks. The American Lawyer says that cyberattacks are “inevitable” for law firms, which puts your firm at risk of significant financial or reputational damage.
A cybersecurity attack not only puts your firm in danger, it also puts your clients at risk—since 2000, more than 750,000 Americans have had their personal information compromised in attacks against law firms! As a client-focused business, your legal firms has an obligation to your clients to maintain a strong security posture to protect their data.
Here, we look at three obligations law firms have when it comes to cybersecurity, including regulatory, ethical, and corporate considerations.
Legal Obligations: Laws Around Cybersecurity
Bottom line: In the U.S., there is no single, overarching federal law regulating your law firm’s cybersecurity practices. However, many legal firms that support specific client industries may be more closely regulated, including firms serving healthcare or financial industries. For example, if you serve financial services clients, you may be required to maintain extra cybersecurity protections due to the sensitivity of the information you deal with. Or in healthcare, you may have to follow cybersecurity rules related to the protection of personal healthcare data and HIPPA regulations.
Here's another bottom line: Failure to protect sensitive client data could result in state or federal investigation, lawsuits, or fines. It could also result in loss of clients and business.
While no federal law is in place to inform how you build and implement an effective cybersecurity policy at your law firm, you don’t have to go it alone. Many law firms find it beneficial to adhere to established cybersecurity guidelines, such as the Cybersecurity Framework from the National Institute of Standards and Technology (from the U.S. Department of Commerce). We know it can be challenging to figure out where to start, especially if your law firm lacks a dedicated technology department. At N8 Solutions, we can help you make sense of this or other cybersecurity frameworks—or build something entirely unique and right-sized for your firm and your clients.
Ethical Obligations: Protecting Client Data
Your legal firm has an ethical obligation to protect your client’s data and maintain confidentiality at every step in your relationship. The most common vulnerability your firm faces is a failure to implement a strong and robust data security practice. It’s one thing to want to protect your client data; it’s an entirely other thing to put in place the processes and tools that ensure you can meet your obligations to protect this sensitive information.
Your law firm has an ethical obligation to continually understand and react to the changing threats you face, and to take the necessary precautions to safeguard data and minimize the risk of a damaging cyberattack. However, we also understand that this requires time, expertise, and resources. Often, legal firms lack the dedicated technology support to implement these systems, even if you understand how critical these measures are to your operations.
A trusted partner like N8 Solutions can help you meet this ethical obligation in a customizable and affordable way. First, schedule a free network security risk assessment and audit to make sure your firm is ready to tackle not only the latest threats but also the greatest productivity and scalability challenges that may be holding you back. Often, the results of this assessment may be as simple as our expert team recommending a series of security tools, including company firewalls, anti-virus and malware software, password management, employee monitoring tools, and intrusion detection software
Corporate Obligations: Creating a Strong Security Posture
Your law firm also has an obligation to create a strong internal cybersecurity posture and policy. Without it, you remain in constant risk of a damaging cyberattack that can cost you money and clients or even shutter your practice altogether. Face it—your firm possesses a treasure trove of data that nefarious actors are eager to get their hands on, from personal client information to contractual or criminal defense details to financial data.
The best way to protect your practice—and your people—is with a holistic cybersecurity posture. You should have standard policies in place, as well as a robust data backup and recovery plan, which will help you get back and up running should you fall victim to ransomware or other breach. Ask yourself this: what is the current cybersecurity policy at my firm? If you can’t readily answer the question, now is the time to discuss, create, and align around a modern cybersecurity framework. At N8 Solutions, we can help you craft a policy that works. This might include a data backup and recovery plan, compliance program, reliable anti-virus, secure WiFi, and regular risk assessment and controls.
And keep in mind, a cybersecurity policy is only effective if it’s followed! We also recommend that you train your entire staff on the policy to ensure your team understands it and that the measures can be broadly and clearly enforced. For more, please see this post on five cybersecurity training tips your employees should know.
We know it can be a scary world out there for your law firm. At N8 Solutions, we’ve got you. We offer a free network security risk assessment and audit, without risk or commitment. We’ll uncover security vulnerabilities, review back-ups, and identify any network issues that may result in slow systems and costly downtime. In 2023, it’s the best first step on your cybersecurity journey to a secure and scalable law firm of the future.