It was good to speak with you today ________.
New laws that may have an adverse effect on your business have been enacted to address
identity theft in the workplace.
These laws apply to any business regardless of size that collects personal information on
employees and/or customers or uses consumer or investigative reports for hiring purposes.
These new laws create serious new responsibilities and potential liabilities for employers of all
types nationwide. If data aiding an identity theft originates from a security breach at your
company, you could be sued, fined, or become a defendant in a class-action lawsuit by affected
employees or customers whose personal information has been compromised.
Here's some information you may wish to look over before we talk again...
Excerpt from "Workplace Identity Theft: How to Curb an HR Headache” Business and Legal
“A rise in identity theft is presenting employers with a major headache: They are being held
liable for identity theft that occurs in the workplace.” Douglas Hottle, Meyer, Unkovic & Scott
Excerpts from TX Workforce Commission Report on the Federal FACTA law…
The new Identity Theft laws clearly state that all employers can be held liable for actual losses
and punitive damages incurred by affected employees due to identity theft in the workplace.
(FACTA December 2003/Texas Business Today Winter 2007)
However, these new provisions also create serious new responsibilities – and potential
liabilities – for businesses nationwide. Simply put, if data aiding an identity theft originates
from a security breach at your company, you could be sued, fined, or become a defendant in
a class-action lawsuit by affected employees whose personal information has somehow
Who Does FACTA Affect? This law applies to any business, regardless of size, that collects
personal information or consumer reports about customers or employees to make decisions
within their business (including names, credit card numbers, birthdates, home addresses and
•Civil liability. An employee could be entitled to recover actual losses sustained if their
identity is stolen from an employer...
• Class action lawsuits. If large numbers of employees are impacted, they may be able to
bring class action suits and obtain punitive damages from employers.
Complying with the law does not absolve you of your liability or mean you can't or won't have
a data breach. You could have disgruntled employees take information, a laptop gets lost, or a
variety of other human things can happen.
We offer a complete pro-active program to significantly reduce your liability under all the new
ID theft laws in the workplace. We offer a no cost and, of course, no obligation 30 minute
consultation session with one of our ID Theft and Group Security Specialists. You will learn all
about the compliance issues and the liability you could face. At that time you will also be
provided detailed information on your options to reduce your liability at little or no cost.
Please let us know if you'd like to schedule an appointment time.
ID Theft Risk Management Group
Other info you might want to include or follow up with later….
…In the cold, objective eyes of the law, the primary victims of identity theft are often
not the individuals whose personal financial information is stolen. Rather, they are the financial institutions and
businesses in possession of that information when it was stolen…“ If someone has to spend time and money
trying to recover their identity, how can there be no damages? ”
Newsletter: Texas Business Today, Winter, 2007
Identity Theft: Impact on Businesses CIO
Chronology of Data Breaches