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Under what law would a CEO go to jail for being hacked?

deleted 2y ago
[deleted]
ethbr1 2y ago
We could (and should) create a personal criminal liability for management over cybersecurity. Specifically one that flows past the CISO and prevents that role from being a firebreak to insulate the CEO.
- joelfried 2y ago
  The "fall guy" problem strikes me as nontrivial. Even if you add to the law that the CEO always has liability for any data leak, a sufficiently well capitalized company run by someone aware of the liability would simply create a shell company that owns all of that data. You could disallow company transmission of said data at all but that is going to cause problems when trying to actually verify said information . . .
joelfried 2y ago
We'd almost certainly have to write a new one, but there are several straightforward ways to do it if we had the political will. An off the cuff example that could certainly be improved: Definitions: Government Identification Data includes Social Security Number. Bulk Extraction means any removal of data more than element by element. Unauthorized Third party means any person who the Company does not intend to grant access to. Intentionally Retaining means that a company chooses to ask clients to supply information which is then saved in a way accessible to the company for any reason in the future. Law: Any company maintaining Government Identification Data must select someone as personally liable for the security of said data. If the company does not have a person who accepts personally liability, this liability transfers to the Chief Executive Officer of the company. In order for the liability to be considered transferred, the Company most keep on file a notarized copy of an affidavit accepting such liability Any company intentionally retaining any Government Identification Data must do so in a system that does not allow for Bulk Extraction by any Unauthorized Third Party. Failure to do so is considered Willful Negligence on the part of the company. Any company guilty of Willful Negligence herein described must forfeit the greater of 15% of their previous yearly revenue or 5 times the Gross Annual Compensation of the most compensated employee. In addition, whomever the company has selected as outlined above shall be incarcerated for no less than 12 months and no more than 60 months.

deleted 2y ago

[deleted]

We could (and should) create a personal criminal liability for management over cybersecurity. Specifically one that flows past the CISO and prevents that role from being a firebreak to insulate the CEO.

joelfried 2y ago
The "fall guy" problem strikes me as nontrivial. Even if you add to the law that the CEO always has liability for any data leak, a sufficiently well capitalized company run by someone aware of the liability would simply create a shell company that owns all of that data. You could disallow company transmission of said data at all but that is going to cause problems when trying to actually verify said information . . .

joelfried 2y ago

We'd almost certainly have to write a new one, but there are several straightforward ways to do it if we had the political will. An off the cuff example that could certainly be improved: Definitions: Government Identification Data includes Social Security Number. Bulk Extraction means any removal of data more than element by element. Unauthorized Third party means any person who the Company does not intend to grant access to. Intentionally Retaining means that a company chooses to ask clients to supply information which is then saved in a way accessible to the company for any reason in the future. Law: Any company maintaining Government Identification Data must select someone as personally liable for the security of said data. If the company does not have a person who accepts personally liability, this liability transfers to the Chief Executive Officer of the company. In order for the liability to be considered transferred, the Company most keep on file a notarized copy of an affidavit accepting such liability Any company intentionally retaining any Government Identification Data must do so in a system that does not allow for Bulk Extraction by any Unauthorized Third Party. Failure to do so is considered Willful Negligence on the part of the company. Any company guilty of Willful Negligence herein described must forfeit the greater of 15% of their previous yearly revenue or 5 times the Gross Annual Compensation of the most compensated employee. In addition, whomever the company has selected as outlined above shall be incarcerated for no less than 12 months and no more than 60 months.