Big data, or data collection, are buzz words we read or hear about on a daily basis. Some of the world’s largest and most profitable companies, known for their cutting edge technology, search engines, software, and high-demand products are really in the business of collecting, aggregating, analyzing and selling data. It is arguably their most valuable asset, far more worthy than the technology, goods and services for which they are known.
So, what does data collection have to do with the new retail shop or restaurant that collects email addresses, account information, and other relevant information with every swipe of a credit card, and inputs consumer preferences with every order entry in the POS system? Often, these restaurants and retailers are simply using the data to analyze their guests’ activity with their business, send out promotions, newsletters, or other mass mailings. Though not at the scale of the conglomerate “big data” companies, these retailers, restaurants, and service businesses have an interest that is two-fold.
First, they must maintain a system to protect their consumers from identity theft and fraud. Maintaining guests’ privacy and protecting against fraud is not just a good business practice to keep consumer information safe and preserve their business reputation in the event of a breach; it may also be a legal duty under state and federal law.
Second, these businesses must protect themselves, and liability for data breaches. Many small businesses use a third-party to administer and collect and analyze their data, (think of the little payment attachment which you swipe your credit card with at the farmer’s market). Be sure the third-party administrator has taken steps to protect the data, and has not pushed off liability to the end user, i.e. the restaurant, boutique, or professional service company, and to make sure the third party is following the laws, regulations and best practices applicable to them.
Consult with an attorney at Dalton & Tomich, PLC to determine what laws apply to your small business and assist you in protecting your business and consumers.
The business and employment attorneys of Dalton & Tomich take your business just as seriously as you do. Attorneys Zana Tomich and Noel Sterett are trusted by closely held family businesses and others across Michigan and Northern Illinois as invaluable partners and counselors. We guarantee all your calls and emails will be returned within one business day so you can focus on what you do best: running your business.
Having worked with Zana for 10 years, I can attest to her professionalism, her pragmatism, and most importantly, her integrity. I always get sound, thoughtful advice and guidance. From routine filings & updates to the highly unexpected, Zana’s there to help, always responding quickly and […]Read More
We highly recommend Dalton & Tomich! As a start-up firm that has rapidly grown across the country in under 5 years, Dalton & Tomich has been integral to our sound, credible, and excellent in standard infrastructure. As we’ve scaled, Zana has been right by our […]Read More
As a professional photographer in the wedding industry, reliable communication is very important to me. Noel was very knowledgeable and quick to respond to all of my questions and not just that, he also gave me suggestions when reviewing and updating my contract. The entire […]Read More
Zana’s expert guidance has helped us to move forward with clarity and confidence in our business endeavors. She helped us create a new business entity, and a few years later to navigate a tricky buyout—all with a clear path forward for business growth. Her calm […]Read More
Noel’s guidance was much appreciated when redrafting my client contract. He was very professional, respectful of my time and potential costs, and was sincere with his advice. I trusted that he had the highest good for my business in mind. I will seek out his […]Read More
Zana’s expertise in employee law has helped us refine and build a stronger operations and hiring strategy at my company. As a business owner of a small and fast growing company, I very much appreciate Zana’s ability to always step into any situation quickly and […]Read More