This site provides information about recent developments in Canadian cybersecurity law.
This site provides information about recent developments in Canadian cybersecurity law.
Canada’s federal Personal Information Protection and Electronic Documents Act requires an organization that suffers a “breach of security safeguards” involving personal information under its control to keep prescribed records of the breach and, if the breach presents a “real risk of significant harm to an individual”, to promptly report the breach to the Privacy Commissioner and give notice of the breach to affected individuals and certain other organizations and government institutions.
Directors of Canadian corporations have a legal responsibility to ensure their corporations have appropriate cyber risk management policies and practices and are prepared to respond effectively to cybersecurity incidents.
Privacy and cyber risks are essential considerations for almost all merger, acquisition and financing (“M&A”) transactions. Privacy and cyber risks can affect the viability and value of a transaction, influence the nature and terms of a transaction and, in some circumstances, cause the parties to abandon a transaction. In addition, parties to an M&A transaction and their directors and officers (if applicable) might be legally obligated to address privacy and cyber risks in connection with the transaction and incur potentially significant liabilities if they fail to do so. In Canada, privacy and cyber risks regarding M&A transactions will soon increase significantly as a result of the modernization of Canadian privacy and cybersecurity laws. For those reasons, parties to an M&A transaction should appropriately address privacy and cyber risks throughout the transaction life cycle.
Computer software is an essential tool for almost every organization. The procurement and use of software, including software-as-a-service (commonly known as “SaaS”), can present the customer with potentially significant risks and liabilities, which should be addressed in the applicable agreements. Software License Agreements – A Practical Guide and SaaS Agreements – A Practical Guide provide information and guidance for negotiating software and SaaS agreements.