Partner Loyaan Egal spoke with Law360 about the US Department of Justice’s (DOJ’s) new data security program requiring companies to take steps to prevent the large-scale transfer of Americans’ sensitive data to China, Russia and other “foreign adversaries.”
While the DOJ’s National Security Division won’t strictly enforce the new rules immediately, companies should still begin making “good faith” compliance efforts to avoid any regulatory scrutiny.
“It’s an area for everyone to take seriously and make sure they’re at least doing an assessment of their systems,” Loyaan said. “This has definitely been set up in a way where companies need to ask for permission [for data transfers] on the front end and don’t want to be asking for forgiveness later.”