Data breach laws ‘would threaten businesses’

June 24, 2013

Proposals to bring compulsory data breach legislation into force could cause problems for many of the country's businesses, an expert has warned.

Jodie Sangster, chief executive officer of the Association for Data-driven Marketing and Advertising (ADMA), explained that companies do not need more layers of regulation to contend with.

Speaking to CMO, she said that this is an "ill-considered law" that comes at a time when businesses are already struggling to keep their heads above water.

Ms Sangster noted: "Not only are there significant new compliance requirements under the recently adopted Privacy Law, under this new law businesses will face mandatory breach reporting.

"There is a danger that businesses will err on the side of caution and over-report data breaches."

If new regulations relating to vulnerability management are to be brought into play, the government needs to do so with proper consideration and consultation, the CEO argued, which is not the case in this instance.

She said that companies have enough to deal with trying to prepare for new privacy laws, so introducing these new regulations could put the country's economy at risk.

Ms Sangster's comments come as the Australian Communications Consumer Action Network offered its support to legislation to better protect consumers and their data.

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