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How to Avoid a Lawsuit After a Data Breach

April 12, 20253 min read

A data breach doesn’t just hurt your business—it can open the door to lawsuits, fines, and reputation damage. In this post, I break down the legal side of cybersecurity, and what every company needs to do to avoid being seen as negligent in the eyes of the law. If you care about cyber risk management, read this before it’s too late.

How to Avoid a Lawsuit After a Data Breach

You didn’t ask to be a cybersecurity expert.

You just wanted to run your business, serve your clients, and not end up on the evening news because someone hacked your system.

But in 2025, if your company experiences a data breach and you don’t have certain protections in place — guess what?

You’re not just vulnerable to hackers.
You’re vulnerable to lawsuits.

I’m not a lawyer, but as a data breach keynote speaker and cybersecurity trainer, I can tell you what most companies are missing — and how you can fix it before a breach becomes a headline.

“We Didn’t Know” Is No Longer a Valid Excuse

Gone are the days when saying “we weren’t aware” could get you off the hook.

If you collect, store, or process sensitive data — even just emails and phone numbers — you’re expected to take reasonable steps to protect that info.

That means:

  • Employee training

  • System monitoring

  • Secure storage

  • Written policies

  • A response plan

Without those things? You might be seen as negligent.

And today’s attackers? They’re not working solo anymore. They're faster, more convincing, and increasingly AI-driven. If you haven’t seen how AI is changing cybersecurity, you need to.

Cybersecurity Legal Liability Is About What You Didn’t Do

When a breach happens, investigators and attorneys aren’t just looking at what went wrong — they’re looking at whether you took reasonable steps to prevent it.

Common lawsuit triggers:

  • No written cybersecurity policies

  • Lack of employee awareness or training

  • Storing unencrypted client data

  • No evidence of periodic risk assessments

  • Delayed or missing breach notifications

And in high-risk industries like real estate, a single spoofed email can derail a closing and open your business up to a world of legal headaches.

How to Protect Your Business After a Hack (and Before)

Here are some basic steps every company should take today:

✅ 1. Document Everything

Show that you’ve created a plan and taken action. Judges love paper trails.

✅ 2. Train Your Team

If you don’t have a cybersecurity training program, you’re a sitting duck — legally and digitally.

✅ 3. Encrypt Client Data

Especially PII (personally identifiable information) and financial info. No excuses.

✅ 4. Run an Annual Risk Assessment

Even a simple checklist once a year shows you’re paying attention.

✅ 5. Know Your Notification Laws

Depending on your state, you may have as little as 72 hours to disclose a breach.

Your Security Compliance Checklist (Mini Edition)

  • Do you have a written cybersecurity policy?

  • Has your team completed phishing awareness training this year?

  • Is sensitive data encrypted at rest and in transit?

  • Have you documented your breach response process?

  • Do you know your local breach disclosure timeline?

If you said “no” to even one of those… you're not as protected as you think.

(Also—if you’re not sure what phishing, ransomware, or malware look like in 2025, check out the top 3 cyber threats and how to beat them.)

Need a Data Breach Keynote Speaker Who Makes This Click?

I’m Mike Wright — The Security Guru — and I help companies prevent lawsuits by helping them prevent breaches.

I don’t just teach your team how hackers get in — I show you how to cover your legal bases and turn cybersecurity into a strength, not a liability.

✅ Keynotes for leadership teams
✅ Cybersecurity compliance workshops
✅ Small business-friendly risk assessments
✅ Speaking that’s clear, not boring

➡️ Book me here — and protect your company the Wright way.

Mike has been a leader in the cyber industry/speaking/education industry for more than 25 years.  His energetic, fun approach to cyber topics always leave audiences asking for more.  Mike has made a name for himself within the field of cyber security and with audiences in and out of the classroom; he is the Security Guru.

Mike Wright, The Security Guru

Mike has been a leader in the cyber industry/speaking/education industry for more than 25 years. His energetic, fun approach to cyber topics always leave audiences asking for more. Mike has made a name for himself within the field of cyber security and with audiences in and out of the classroom; he is the Security Guru.

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