Privacy Law for Startups

Privacy Law for Startups


In this article published by the American Bar Association Business Law Section, Kirk Nahra explains what startups need to know about privacy law.

Excerpt: Startups in any industry have a lot to think about: funding, staffing, intellectual property, market share, product viability, among other considerations. I want to add one topic to the list that should be on the minds of those involved in startups in an increasing range of situations: privacy law. Privacy law (and its kissing cousin, data security law) now impacts virtually any company in any industry, anywhere in the world, if it gathers, collects, uses, or analyzes the personal data of employees, customers, consumers, or others. As a consequence of the Internet of Things and smart phones, as well as the ability to collect data from almost anything, more and more companies are using and gathering data, and privacy law increasingly will dictate how a company can use this valuable asset. These issues affect a broad range of critical topics for startups, ranging from business partnerships, overall business plan issues, market opportunities, and of course realistic acquisition opportunities. Startups failing to think about these issues from the beginning may be missing opportunities and reducing their chances for future success.

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