top tip

TLI Top Tip: New Safe Harbor for SMBs that have a Cybersecurity Program 

Preview

We have previously advised on a lawyer’s duty to be competent in technology and take reasonable precautions to safeguard client information, as well as a lawyer’s obligation in the event of a data breach and steps to avoid one.  See our Aug. 14, 2025 Top Tip and Jan. 23, 2024 Article, respectively. These reasonable precautions are required for the lawyer to comply with his or her ethical duties and responsibilities. 

Now law firms with fewer than 250 employees have an additional reason to implement and maintain reasonable precautions.  In June, Governor Abbot signed into law Senate Bill 2610,  which offers small and mid-size businesses (SMBs) a shield against exemplary damages in a cyber breach lawsuit if they have a cybersecurity plan that complies with the statute. The new law, effective as of September 1, 2025, applies to SMBs…

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