Protect Your Business By Protecting Your Computers

A case out of New York highlights the importance of employers protecting their computers and electronically stored data from disgruntled and departing employees.  In ­MidAmerica Productions v. Derke, 2010 NY Misc. LEXIS 6676, employees who left their employer to start a competing business were accused of improperly accessing e-mail accounts, and then installing software to delete files on the employer’s computer, prior to their departure.

            While there are federal and usually state statutes, that can be used to address such conduct, the damage is often done by the time the acts are discovered.  The problem can be exacerbated when employees have company issued laptops that provide access to files.  There are also situations when an employee is fired, and on their way out the door they download files, erase the hard drive or commit other acts of computer sabotage because their access to the computer system has not been terminated.

            Acts of employee disloyalty and computer sabotage cannot be completely prevented.  However, a few easy steps can decrease the likelihood of this occurring, and can lessen the impact on your business if it does occur:

            1.         When an employee is fired, deny them access to your computer system at the same time, do not leave a window of time that allows them to get into the computer system after they are fired.

            2.         Monitor employee computer usage.  Have policies and procedures in place that make your employees aware that they do not have an expectation of privacy regarding anything they do on your computer, and that their computer usage will be monitored.

            3.         Only allow employees to have access to data and information, which is required for them to do their respective jobs.  Everyone does not always need to know everything.

            4.         Have a policy that tells your employees that various acts of unauthorized and improper use of computers, unauthorized access and destruction of electronically stored information, and other acts of sabotage can be a violation of criminal and civil laws.  Persons who commit such acts will be held liable.

            Other practices, procedures and precautions might be applicable, depending on your business and industry.  One thing is for sure though, preventing computer misuse, theft or sabotage will keep your business running more smoothly than if you have to repair the damage after it has occurred.