Once Bill C-30 in implemented the entire Canadian business community will be systematically stripped of data security by the state. This will means that all SLAs will be open to legal proceedings. Any company holding a SLA that makes a guarantee of data security to its customers will automatically be in breach.
This of course represents an enormous business opportunity for the professional legal community. Law suits can be issued against any company who guaranteed data security to a customer. Some examples are banks, payroll companies, internet service providors, online stock trading services, and any SaaS online business solutions just to mention a few examples.
Here are some articles regarding data security and Service Level Agreements:
Follow these links:
http://www.ehow.com/breach-of-contract/
“Breaches of contract occur when one party to a legally binding contract does not provide a product or service to another party as agreed upon by the deadline specified in the contract. If a contract does not specify a time limit, the breach of contract occurs when the other party takes no steps to rectify his error. The wronged party can take steps to reclaim services, money and products owed to him through a court of law by suing the other party”
http://www.scottandscottllp.com/main/business_impact_of_data_breach.aspx
“74% report loss of customers. – 59% faced potential litigation.”
http://juntoblog.net/2012/09/17/vendor-data-breach-exposure-dos-and-donts/
“What cyber risk exposures or legal liabilities should a business worry about when outsourcing to a consultant, partner or cloud provider?
The key thing to realize is that in most cases when a vendor or third party is given access to a company’s or data owner’s sensitive information, the company is still responsible and legally liable for that information. So the data owner needs to know ahead of time what kind of controls are in place for security, who owns the information, and what will happen during a security event. All of this should be established up front so that if, and when, there is actually a security breach, the response will be swift and cooperative.”
billc30watch 