Cyber Security Top Of Mind At Annual Legal Update

Law firm Lathrop GPM hosted the Agricultural Business Council’s Annual Legal Update which addressed workplace cyber security and tax implications related to Build Back Better legislation. A special spotlight was shown on farm labor issues as immigration policy remains a difficult issue.

Tedrick Housh, partner at Lathrop GPM, and Steve Cosentino, partner at Stinson LLP, described a new-normal for cybercriminals who now run sophisticated operations complete even with customer service bureaus. Both Housh and Cosentino noted that companies and organizations need to establish rigorous “best practices” procedures to react to ransomware events. The playbook, said Cosentino, includes building a solid relationship with insurance companies, establishing internal policies to deal with hacks and keeping vendors and customers apprised of the situation. Housh stressed the importance of data management and simply “knowing where the data is.”  Megan Belcher, chief legal and external affairs officer for The Scoular Company, advised ransomware victims to get in front of the hacking situation: notify boards of directors, commission forensic activity, be prepared – don’t initiate policies afterwards.  

The three panelists pointed to company culture as a potential invitation for hackers to attack an organization. They were adamant in their warnings that employee carelessness in handling company data and mixing personal information and activity more often than not leads to hacks. Belcher said employee-disregard for security measures warranted immediate reprisal, otherwise “company culture would eat best practices for lunch.” Key resources for building a formidable defense against  ransomware or malware attack, they said, include use of forensic firms, ransomware negotiators, law firms, and insurance firms. 

Max Irsik, partner K-Coe Isom, presented a review of the White House’s Build Back Better legislation in terms of its affect on farm income taxes. He said his company anticipates a 60% chance that BBB will be passed. Isrik explained that if/when proposed taxes are passed, there will be opportunities to file extensions. He strongly recommended filing extensions rather than completing a tax return and later filing amendments.

Immigration specialist Gizie Hirsh, partner Lathrop GPM, said the U.S. has long relied on immigrants to fill agricultural jobs and specialty ag positions. But she noted how the lack of clear immigration policy has complicated matters. Jackie Klippenstein, senior vice president Government, Industry & Community Relations, Dairy Farmers of America, suggested lawmakers need to reconcile their political differences on national border security and humanitarian concerns before effective immigration policy can be implemented.