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Tools Every Company Needs to Avoid Data Breach Lawsuits

— June 22, 2022

In order to best protect customer data, it is imperative to be sure that the customer is the one logging into your system, not a potential hacker.

In today’s digital world, companies have to be more diligent than ever in defending against cyber attacks. So much business is now done online, which is incredibly convenient and easy for both the consumer and the business; unfortunately, that also leaves both company and customer information susceptible to data breaches. If a company is negligent in protecting the sensitive information in their care, a data breach can occur and cost a great deal of money– in lost business and in lawsuits as well. Here are a few ways you can protect your company and customer information from cyber threats.


Managed Detection and Response, or MDR, is a security control used by companies that do not have their own security operations center. It monitors all different kinds of security threats both in-house and in the cloud. MDR takes a proactive approach; it uses all the current knowledge of threats around the globe, and actually hunts down these threats and stops them before they infiltrate your system. If your company doesn’t have its own department for handling cyber threats, Microsoft MDR is an important investment for the safety of your company and customer data.

Employee Education

Teaching your employees what threats look like, and how to prevent them is extremely important for company-wide data security. Employees have their eyes on company data every day and they are extremely valuable assets when it comes to detecting potential threats. Employees are especially valuable in detecting potential ransomware and phishing threats; if they know what to look for in the emails and links they open, they can stop potential attacks in their tracks. Implement mandatory security training for all new employees, and develop a yearly refresher course so all employees remain up to date on the latest security threats.

Software Updates

No matter how advanced your screening systems are, software that is not updated can present a massive target for potential hackers. If your company software is a few updates behind, your systems are out of sync with your security protection; this leaves critical gaps in your “armor” that hackers can easily penetrate.

Multi Factor Verification

In order to best protect customer data, it is imperative to be sure that the customer is the one logging into your system, not a potential hacker. By setting up multi factor (or two-step) verification, the customer will put in their login information as usual, and then they will receive a code by either a text, email, or phone call directed to the address/device of their choosing. By entering the code into their login screen, the customer is verifying their identity. This short extra step is a small price to pay for the added security and assurance the customer has that their account is protected. It also makes the company look good because you’re showing your customer that you care deeply about the safety of their sensitive information.

Develop a Cyberattack Plan

Capital One Settles with Nearly 100M Data Breach Customers
Photo by Negative Space from Pexels

No matter how many protections your company has in place, it is still possible to fall victim to a cyber attack. Having a plan to quickly and effectively put a stop to hackers is essential for protecting your data, but also for protecting your reputation. If you quickly and efficiently respond to a data breach, your customers are less likely to suffer losses, and more likely to view your company as trustworthy. If an attack happens and your team is scrambling around deciding what to do, that could spell trouble for not only your sensitive information but also your company’s character.


It’s every company’s responsibility to protect not only their own data but also that of their customers. By maintaining as many protections as possible, educating employees, and implementing a cyber defense plan, you’re protecting the interests of the company as well as avoiding potential lawsuits.

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