Following this week's Senate Commerce Committee Breach hearings led by Senator Rockefeller, the Online Trust Alliance (OTA) issued a statement yesterday. In retrospect this statement needs added context and clarity as outlined below.
As OTA has been studying data breaches for the past 5 years, it is important to look at this issue in context. Businesses throughout the world are victimized by breaches on a daily basis. No matter what level of security protection an entity puts in place, a determined criminal can unfortunately still compromise a company. OTA supports Federal legislation (pre-empting state laws), providing States have a right of action to enforce the Federal law (similar to CAN-SPAM or COPPA). Second, OTA believes companies who do adopt best practices should be shielded from the onslaught of suits being brought forward. At the same time those that fail to put reasonable safeguards in place should be held accountable.