Beware Increased Privacy And Data Security Scrutiny In M&A
Law360, New York (June 16, 2015, 10:24 AM EDT) -- It is important to examine privacy and data security issues in the context of merger and acquisition regulations. M&A agreements frequently contain no privacy or data security representations and warranties, or only a short-form representation and warranty that is not appropriately customized for a particular transaction. This approach occurs especially in situations where neither the acquirer nor the target are e-commerce businesses, retailers or in regulated industries such as financial services, health care or services targeted to children. Buyers should think twice about giving short shrift to these issues in other acquisitions, however, because, if a company conducts even a minimum amount of business with customers online or via mobile devices, it may be subject to privacy and data security laws....
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