Business

What are reasonable data security procedures under the NY SHIELD Act?

This March, companies who are in the business of collecting data from New York residents will be responsible for ensuring that data is protected by reasonable security procedures.  Last July, Governor Cuomo signed into law the Stop Hacks and Improve Electronic Data Security Act (“the SHIELD Act” or “the Act”). The SHIELD act made three …

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Why do lawyers not sign NDAs?

Lawyers are regularly asked to sign non-disclosure agreements (NDAs). But typically, we don’t sign them. Why is that? It’s redundant Lawyers are already bound by ethical rules and stipulations for not disclosing confidential information that a client has shared with us. This is what’s called the attorney-client relationship and it is protected by attorney-client privilege. …

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What New York’s New Data Breach Notification Law Means for Interactive Media Companies

Last July, consumer-rights advocates rejoiced when the New York State Assembly passed the Stop Hacks and Improve Electronic Data Security Act (the SHIELD Act). Following a nationwide trend to strengthen online consumer protections, the SHIELD Act made three major changes to the state’s data breach notification law. These changes directly impact businesses that collect personal …

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New updates with FTC disclosures

The FTC recently came out with a new guidance piece directed specifically at social media influencers. The brochure, “Disclosures 101 for Social Media Influencers,” is housed on a new “influencers” page on the FTC site that also features three videos highlighting information from the brochure.   Section 5 of the Federal Trade Commission Act prohibits, among …

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What to Consider When Protecting Trade Secrets

The video game industry thrives on secrets. Game reveals, licensing deals, budgets and more are closely guarded aspects of the business that are part of a company’s larger operational strategy. Games, especially large blockbusters, are also made by teams of people. The more people that know a secret, the harder it is to keep. That’s …

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The Pros (and Cons) of Keeping Terms of Service Language Broad

If a company operates a service, it’s a good idea to establish rules for how users will interact with it. Having a Terms of Service (TOS), a document that every user sees and must agree to when registering for an account (free or paid), is an effective way to protect a company and service. While …

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What is DMCA anti-circumvention?

The primary goal of the Digital Millennium Copyright Act (DMCA) is to protect technology, devices, and/or services that are copyrighted. Anti-circumvention refers to laws that prohibit the circumvention of technological barriers for using a digital good and/or service in a way that the rights-holder doesn’t allow. The requirement for anti-circumvention laws came about with the …

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California’s AB5 Labor Bill Will Greatly Affect Game Companies

Assuming it is signed by the Governor, on January 1st, 2020, California’s AB5 Labor Bill will go into effect and will prevent many companies from treating their workers as independent contractors. What does this mean? The short version is that AB5 presents an ABC test. If A) workers perform tasks under a company’s control, B) …

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Chance versus skill in a giveaway

When an organization decides to offer up free goods, there should be strict identification of whether the offering will be a contest, a sweepstakes or a lottery. As we’ve stated before: a sweepstakes (also known as a giveaway) is a promotional drawing in which prizes are given away at no charge to the participants. Winners …

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