New ERISA Suits Could Clarify Plans' Cybersecurity Duties

Law360 (May 22, 2020, 5:43 PM EDT) -- A handful of recent lawsuits challenging retirement plan managers' lax cybersecurity policies and use of workers' data for marketing purposes could shed light on an area of the Employee Retirement Income Security Act that has long been shrouded in mystery: employers' cybersecurity and data privacy obligations.

Suits against companies such as Shell Oil Co., Automatic Data Processing Inc., Abbott Laboratories and Alight Solutions LLC ask courts to consider to what extent ERISA requires employers to shore up benefit plans' cybersecurity measures and protect workers' data, a topic attorneys say has been left largely unexplored by the courts and the U.S. Department of Labor.

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