Additionally, law firms are particularly susceptible to breaches, according to Ryan Jamieson, Founder and Principal Consultant at Knit Security, for a variety of reasons. “Law firms are frequent targets of malicious actors as they often underfund technology, have an ability to pay and maintain access to valuable data,” says Jamieson.
It’s not just the potential of a significant financial loss, notes Jeanne Eicks, JD, Associate Dean of Graduate Programs at The Colleges of Law, where she teaches about data security. She says it can lead to reputational damage and loss of client trust, too. “For law firms that handle highly sensitive and confidential information, a breach can result in legal liabilities, regulatory fines and the potential exposure of client data, which could harm ongoing cases or negotiations. The long-term impact on a firm's reputation can be severe since clients are less likely to trust a firm that has experienced a breach. Additionally, the costs associated with remediation, legal defense and potential settlements can be substantial.”
If your firm falls victim to a cyber breach, it’s critical to take immediate action to try to limit the harm as much as possible. Here are the steps to take right away, as well as tips on preventing another cyber breach in the future.
1. Stop the breach.
Simply put, lock it all down.
Luckily for Steven Rodemer, Owner and Attorney at Rodemer & Kane, his firm has not experienced a cyber breach. However, if it were to happen, he knows what he’d do to protect his firm right away.
“The very first thing I would do is lock everything down after the breach,” he says. “I’d make sure the affected systems are cut off from our network to stop any further damage.”
2. Gather the breach response team.
After the breach has been stopped, ideally, a law firm would have a breach response team in place that they could call on in case of an emergency. (If a breach response team isn’t something that’s been discussed at your firm, consider this the call to get one set up.)
C.L. Mike Schmidt, a Lawyer at Schmidt & Clark LLP, says this team should consist of experts from the IT, legal and public relations departments.
“After the breach has been stopped, ideally, a law firm would have a breach response team in place that they could call on in case of an emergency. (If a breach response team isn’t something that’s been discussed at your firm, consider this the call to get one set up.)”
“By assembling this diverse group, the firm can coordinate a comprehensive response that addresses all aspects of the situation,” says Schmidt. “The IT experts will handle the technical aspects of the breach, including identifying vulnerabilities and containing the attack. Legal professionals will manage compliance with regulations, client notifications and potential legal consequences. Public relations experts will craft messaging to address the breach’s impact on clients and the public, helping to maintain the firm’s reputation. This unified strategy ensures that every aspect of the breach is effectively addressed, and the response is both rapid and well-coordinated.”
3. Assess the damage.
After dealing with the vulnerabilities, the law firm’s team needs to assess what type of damage the breach caused. It’s important to activate the incident response plan (IRP), according to Eicks.
“Hopefully, the law firm has an IRP,” she says. “If not, The Sedona Conference has model plans available. Ideally, the IRP includes notifying all relevant stakeholders, containing and mitigating the breach, and preserving evidence for any investigations. It’s critical to assess the scope of the breach, identify the data compromised, and ensure clear communication with clients about what occurred and how the firm is handling the situation.”
According to Schmidt, breaches can often be traced to weaknesses in the systems of external partners that have access to a firm’s sensitive data — this could include all third-party vendors and service providers. That’s why a law firm must conduct a thorough audit of all vendors and service providers following a breach.
“[A] unified strategy ensures that every aspect of the breach is effectively addressed, and the response is both rapid and well-coordinated.”
“By reviewing the security practices and protocols of these vendors, the firm can uncover any additional risks or vulnerabilities,” he says. “This audit involves evaluating the security measures that vendors have in place, such as encryption practices, access controls and incident response procedures. Addressing these issues not only helps in securing current partnerships but also sets a precedent for future vendor selection, ensuring that new partners meet stringent security standards. This helps in fortifying the firm’s overall security infrastructure and reducing the risk of future breaches.”
4. Prevent another cyber breach.
A cyber breach can result in huge losses for a law firm, not only in terms of finances, but also reputation. After a breach has been stopped, a firm needs to look at the lessons they learned from it and actively work to avert another one.
According to John Trest, Chief Learning Officer at VIPRE Security Group, a law firm needs to be proactive by implementing robust security measures like multifactor authentication, encryption and regular security audits.
“Integrating continuous risk monitoring within their CRM [customer relationship management] systems can provide early detection of potential threats, ensuring swift action before breaches occur,” Trest says. “Educating staff on best cybersecurity practices and fostering a culture of vigilance are essential steps in reducing vulnerability to cyberthreats.”
“Regular audits with technical and human resource testing and a proactive approach to threat detection can help firms avoid potential breaches.”
Another effective strategy for prevention is conducting ongoing and comprehensive penetration testing, which is often called ethical hacking, Schmidt says.
“[It] involves simulating cyberattacks on your own systems to identify vulnerabilities before malicious hackers can exploit them. This process is not just about running automated tools. It [also] involves skilled security professionals who think like attackers and use a combination of automated and manual techniques to uncover weaknesses.”
A firm should consider investing in cyber insurance as part of their risk management strategy to contend with potential financial impacts from another breach, and limit access of sensitive information to only those who need it, notes Eicks.
“[They must] review contracts with third-party vendors to assure compliance with stringent cybersecurity standards. Regular audits with technical and human resource testing and a proactive approach to threat detection can help firms avoid potential breaches,” Eicks says.
Rodemer is well aware of the risks and consequences of a data breach, which is why he works hand in hand with his stakeholders and employees to prevent them in the first place. By always taking the proper measures, he’s been able to protect his firm.
“We continuously look at our risks and invest in solid defenses like firewalls, encryption and intrusion detection systems,” Rodemer says. “For me, making sure our defenses are tight is an ongoing priority that helps protect our clients and our firm’s future.”
