Courts extend Legal Protection to Small Firms hit by Cyber-thieves

Until recently, Small Business Owners that were hit by Cyber-thieves had nobody to blame but themselves. Two recent court rulings are providing small business owners with new hope as Cyber criminals are continuing to focus their attention onto small businesses in the US.

1. The Boston-based First Circuit Court of Appeals ruled earlier this month that the Maine headquartered Ocean Bank lacked reasonable safeguards against hackers.

2. The Federal District Judge in Detroit ruled last year that a bank owned by Comerica, Inc. was liable for funds stolen by Cyberthieves in the amount of $561,399.00. In this case, the victim fell prey to a phishing scheme which lured an un-expecting employee in divulging account access information.

According to some legal experts, courts are simply recognizing the fact that small firms are in need of the same protection offered to individual consumers. Symantec, Inc. recently released information that in the first half of 2012, the total number of Cyber attacks on companies has risen to about 150 a day and the portion specifically targeting small firms has increased to about 50 a Day. As the above mentioned rulings have created precedence, Lawyers who may have discouraged their small business clients from seeking restitution from their banks, maybe encourage to move forward.

WSJ-B7-20120719

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