Businesses operating in California and Nevada will need to examine the security measures that protect “personal information” that they share with others as part of their operations.

The two states are expanding the definition of “personal information” and are requiring companies that share the information to not only take extra security precautions themselves when managing the information, but to ensure that any entities they share information with also abide by strict security measures.

In a recent alert to clients and others, the law firm Ballard Spahr cautioned that companies doing business in the two states need to immediately review their “personal information” protection policies and systems.

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Dan Cook

Dan Cook is a journalist and communications consultant based in Portland, OR. During his journalism career he has been a reporter and editor for a variety of media companies, including American Lawyer Media, BusinessWeek, Newhouse Newspapers, Knight-Ridder, Time Inc., and Reuters. He specializes in health care and insurance related coverage for BenefitsPRO.