The harms that can result from computer security breaches are largely uncovered by the types of insurance policies most law firms maintain. Combined with the inadequate security most law firms provide for client data, the resultant risk exposure arguably violates legal professional ethics. A firm's failure to adequately protect computer-based master files, time-and-billing records, court filings, wills, powers of attorney, corporate records and other client-related materials is a violation of bar association requirements to preserve client files and more generally a failure in the firm's overall duty to act competently in the best interests of its clients.

TYPES OF EXPOSURE

Computer security breaches can have a first-party impact (on the firm itself) and a third-party impact (on clients). For example, an unauthorized system access that damages data or online services may render the firm itself inoperable. (Even this scenario may also lead to a third-party loss to clients if they rely on the firm's extranet for aspects of their own business operations.) Typical examples of third-party harms are identity theft and invasion of clients' privacy. Yet another area of exposure is Web site content and the infringement of a third party's intellectual property. A hacker could access the system to grab control of an e-mail database or client mailing list. The hacker could also hijack the firm's system to send out damaging malicious code such as computer viruses or worms.

When a third party is harmed and the firm is allegedly responsible, of course, a lawsuit will likely be filed.

Many insurers simply don't provide coverage for these unique exposures, or they take a band-aid approach by providing endorsements to their traditional property, fidelity or professional liability insurance policies.

Kelley Information Technology Services specializes in giving small to medium law offices the kind of network security, data back up, and general IT support that much larger offices can afford for much less of an investment. Please check our other pages on specific services such as web filtering and VPN connectivity to work from home. We offer free site evaluations, so give us a call to see how easy IT can be!