Tips For Compliance With The SHIELD Act
                     Tips For Compliance With The SHIELD Act
• The SHIELD Act New York requires  businesses  to  create  a  “Data  Security  Program” 
that monitors and improves cyber-security. The Act also requires businesses to implement 
“reasonable safeguards” to ensure that private information is stored and erased safely, as 
well as to notify their customers of data breaches. Businesses will be fined if they fail  to 
follow these requirements.
How Will the SHIELD Act Be Implemented?
• The SHIELD Act requires that businesses in New York State notify people affected by breaches 
of their personal information. If a business violates this law, the New York Attorney General can 
enforce  it  in  court.  The  Attorney  General  has  three  years  to  act  on  a  violation  if  he  or  she 
becomes aware of  it. Fines may be  issued where a business  fails  to notify people affected by a 
data breach.
Who Is Required to Comply with the SHIELD Act?
• The SHIELD Act requires that any person or business that owns or licenses computerized 
data  containing  private  information  of  a  New  York  resident  must  take  several  steps  to 
ensure the security of that data.
Your Guide to Complying with the SHIELD Act:
• Organizations must implement a data security program that includes at least the following: train 
and manage employees in security practices and procedures; select service providers capable of 
maintaining  appropriate  safeguards,  and  require  those  safeguards  by  contract;  adjust  the 
security program in light of business changes or new circumstances.
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