Louisiana 2018 2018 Regular Session

Louisiana Senate Bill SB361 Comm Sub / Analysis

                    RÉSUMÉ DIGEST
ACT 382 (SB 361) 2018 Regular Session	Walsworth
Prior law defined "breach of security of the system" as the compromise of the security,
confidentiality, or integrity of computerized data that results in, or there is a reasonable basis
to conclude has resulted in, the unauthorized acquisition of and access to personal
information maintained by an agency or person.
New law defines "breach of the security system" as the compromise of the security,
confidentiality, or integrity of computerized data that results in, or there is a reasonable
likelihood to result in, the unauthorized acquisition of and access to personal information
maintained by an agency or person.
Prior law defined "personal information" as an individual's first name or first initial and last
name in combination with any one or more of the following data elements, when the name
or the data element is not encrypted or redacted:
(1) Social security number.
(2) Driver's license number.
(3)Account number, credit or debit card number, in combination with any required
security code, access code, or password that would permit access to an individual's
financial account.
New law defines "personal information" as the first name or first initial and last name of an
individual resident of this state in combination with any one or more of the following data
elements, when the name or the data element is not encrypted or redacted:
(1) Social security number.
(2) Driver's license number or state identification card number.
(3) Account number, credit or debit card number, in combination with any required
security code, access code, or password that would permit access to an individual's
financial account.
(4)Passport number.
(5)Biometric data.
New law defines "biometric data" as data generated by automatic measurements of an
individual's biological characteristics, such as fingerprints, voice print, eye retina or iris, or
other unique biological characteristic that is used by the owner or licensee to uniquely
authenticate an individual's identity when the individual accesses a system or account.
New law requires any person that conducts business in the state or owns or licenses
computerized data that includes personal information, or any agency that owns or licenses
computerized data that includes personal information, to implement and maintain reasonable
security procedures and practices appropriate to the nature of the information to protect the
personal information from unauthorized access, destruction, use, modification, or disclosure.
New law requires any person that conducts business in the state or that owns or licenses
computerized data that includes personal information, or any agency that owns or licenses
computerized data that includes personal information to take all reasonable steps to destroy
or arrange for the destruction of the records within its custody or control containing personal
information that is no longer to be retained by the person or business by shredding, erasing,
or otherwise modifying the personal information in the records to make it unreadable or
undecipherable through any means.
Prior law required any person that conducts business in the state or that owns or licenses
computerized data that includes personal information, or any agency that owns or licenses
computerized data that includes personal information, to notify any resident of the state
whose personal information was, or is reasonably believed to have been, acquired by an
unauthorized person. New law deletes the requirement of prior law pertaining to persons conducting business in
the state.  Otherwise retains prior law.    
Prior law required notification to be made in the most expedient time possible and without
unreasonable delay, consistent with the legitimate needs of law enforcement, or any
measures necessary to determine the scope of the breach, prevent further disclosures, and
restore the reasonable integrity of the data system.
New law retains prior law and further requires that notification be made within 60 days of
the discovery of the breach. Further provides that when notification is delayed the person or
agency shall provide the attorney general with the reasons for the delay in writing within the
60 days period to receive an extension of time.
Prior law provided that notification may be provided by substitute notification if the person
or agency demonstrates that the cost of notification would exceed $250,000 or that the
affected class of persons exceeds 500,000, or the agency or person does not have sufficient
contact information.
New law provides that notification may be provided by substitute notification if the person
or agency demonstrates that the cost of notification would exceed $150,000 or that the
affected class of persons exceeds 100,000, or the agency or person does not have sufficient
contact information.
New law provides that notification shall not be required if after a reasonable investigation,
the person or business determines that there is no reasonable likelihood of harm to the
residents of this state. Further, the person or business shall retain a copy of the written
determination and supporting documentation for five years from the date of discovery of the
breach of the security system. 
New law provides that, if requested in writing, the person or business shall send a copy of
the written determination and supporting documentation to the attorney general no later than
thirty days from the date of receipt of the request.
Prior law (R.S. 51:1405(A)) declared unfair methods of competition and unfair or deceptive
acts or practices in the conduct of any trade or commerce unlawful.
New law retains prior law and provides that violations of the Database Security Breach
Notification Law constitute an unfair practice under R.S. 51:1405(A).
Effective August 1, 2018.
(Amends R.S. 51:3073(2) and (4)(a) and 3074)