Dangerous Data Dumping

Too few business owners recognize that in today's economy, EVERY business is in the data business. The exposure to sensitive third-party data may vary from industry to industry or from business to business, but contemporary marketing, customer relationship, accounting and management tools encourage, and indeed often rely upon, the collection and retention of sensitive information, often in forms and mediums that business owners may not recognize as creating potential liabilities! Case in point, this article discussing the significant legal liabilities arising from the disposal of data server hardware and other computing equipment, some of which was later determined to contain such sensitive information, gave rise to multimillion dollar regulatory exposure. At every significant inflection point of your business's development, including but not limited to new investments or exit sales, it is imperative that you work with experienced legal counsel to ensure that your data privacy compliance is influencing your decision-making process.