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On May 25, 2018, General Data Protection Regulation 2016/679 went into effect in the EU. Better known as the GDPR, EUGDPR.org calls it the "most important change in data privacy regulation in 20 years." Unlike a number of previous data privacy regimes, the GDPR came with a sharp set of teeth, calling for a fine of up to €20 million or 4% of the previous year's global turnover, whichever is greater. Companies were now on notice that they had to be extremely careful in how they responded to a data breach or face the consequences.
In addition to the GDPR in the EU, there are several pieces of legislation in the U.S. that seek to protect personally identifiable information (PII). These include: the Fair Credit Reporting Act of 1970, which addressed consumer information in the files of consumer credit reporting agencies; the Health Insurance Portability and Accountability Act of 1996, which contained provisions meant to safeguard a particular type of PII — personal health information (PHI); and the Gramm-Leach-Bliley Act (also known as the Financial Services Modernization Act of 1999), which seeks to control the ways financial institutions control private information of their clients.
Finally, the California Consumer Privacy Act (CCPA) is set to take effect on Jan. 1, 2020, with the goal of enhancing privacy rights and consumer protection for California's nearly 40 million residents. The CCPA carries with it a fine of between $100 and $750 per affected California resident. Going forward, entities doing business in the U.S., UK and globally need to ensure they have a process in place to respond if their data is ever compromised.
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