Consumer Protection Violations

Consumer protection violations fall under the "social" component when viewed through an ESG (Environmental, Social, and Governance) lens. They signify a company's failure to uphold fair practices, transparency, and respect for its customers.

In cybersecurity, consumer protection violations arise when companies fail to adequately protect consumer data and privacy, engage in deceptive practices related to data use, or neglect to inform consumers about cybersecurity risks.

Here are some examples:

• Data Breaches Due to Negligence: If a company experiences a breach that exposes sensitive customer information (like financial data, personal identification details, or health records) because of inadequate cybersecurity measures, this is a consumer protection violation. Consumers entrust their data to companies with the reasonable expectation that it will be kept safe. Failing to provide adequate security constitutes a breach of that trust.

• Deceptive Data Practices: Companies that collect and use consumer data in ways that are not transparent or are misrepresented in their privacy policies are committing consumer protection violations. For example, if a company claims it will only use data for specific purposes but then sells it to third parties without explicit consent, this is a violation.

• Failure to Provide Clear Information About Security Risks: Companies are responsible for informing consumers about known security risks that could affect them. For instance, if a software company knows about a vulnerability in its product but doesn't warn customers or provide timely patches, this is a consumer protection violation. This is especially true if the company continues to market the product as safe and secure.

• Unfair or Deceptive Practices Regarding Security Products or Services: Companies that sell cybersecurity products or services can also commit consumer protection violations. Examples include making false claims about the effectiveness of their products, failing to disclose limitations, or using deceptive marketing tactics to scare consumers into buying unnecessary services.

• Lack of Data Breach Notification: Many jurisdictions have laws that require companies to notify consumers in the event of a data breach. Failing to provide timely and accurate notification is a consumer protection violation, as it prevents consumers from taking steps to protect themselves from identity theft or other harm.

These examples highlight how cybersecurity is intrinsically linked to consumer protection. Companies have an ethical and often legal obligation to protect consumer data, be transparent about their data practices, and act responsibly in addressing cybersecurity risks. Failure to do so harms consumers and constitutes a failure in social responsibility, a core tenet of ESG.

To explain how ThreatNG helps address consumer protection violations within the ESG context, here's a breakdown focusing on its key capabilities:

1. How ThreatNG Helps

• External Discovery: ThreatNG's ability to perform external unauthenticated discovery is the first step. It allows organizations to gain visibility into their external-facing assets (websites, applications, APIs) that handle consumer data. This is crucial for identifying potential vulnerabilities that could lead to data breaches and, thus, consumer protection violations.

• External Assessment: ThreatNG's external assessment capabilities are particularly relevant:

• ESG Exposure: ThreatNG rates organizations based on discovered ESG violations. This is highly important because consumer protection violations fall under the "Social" component of ESG. ThreatNG analyzes and highlights competition, consumer, employment, environment, financial, government contracting, healthcare, and safety-related offenses.

• For example, if a company has a history of consumer protection violations (e.g., deceptive advertising, unfair data practices), ThreatNG will identify this as an ESG risk.

• In cybersecurity, if a company has been involved in lawsuits related to data breaches or the mishandling of consumer data, ThreatNG will flag this as a consumer protection-related ESG violation.

• ThreatNG can also assess the risk of brand damage susceptibility, which is partly derived from ESG violations. Brand damage is a significant consequence of consumer protection violations in cybersecurity.

• Other assessments that relate to consumer protection include:

• Data Leak Susceptibility: ThreatNG assesses the risk of data leaks, a primary concern in consumer protection.

• Cyber Risk Exposure: ThreatNG evaluates vulnerabilities and exposures that could lead to data breaches.

• Reporting: ThreatNG provides various reporting options, including executive and technical reports. These reports can highlight consumer protection risks and ESG violations related to cybersecurity. For instance:

• An executive report can summarize the financial and reputational risks of potential data breaches and consumer lawsuits.

• Technical reports can provide details on specific vulnerabilities that must be addressed to protect consumer data.

• Continuous Monitoring: ThreatNG's constant monitoring of external attack surfaces is crucial for ongoing consumer protection. It helps organizations detect new vulnerabilities, data exposures, or other security weaknesses that could put consumer data at risk.

• Investigation Modules: ThreatNG's investigation modules provide in-depth information for assessing and mitigating consumer protection risks:

• Domain Intelligence: This module offers detailed insights into an organization's digital presence, including potential vulnerabilities in web applications and APIs that could be exploited to access consumer data.

• Code Repository Exposure: ThreatNG discovers code repositories and checks for exposed credentials or sensitive information. This is important because exposed code or credentials can lead to unauthorized access to consumer data systems.

• Mobile Application Discovery: ThreatNG analyzes mobile apps for security vulnerabilities and exposed credentials. This is critical since mobile apps often handle sensitive consumer data.

• Sentiment and Financials: ThreatNG tracks lawsuits, SEC filings, and other information that may indicate a company's history of consumer protection violations or financial liabilities related to data breaches.

• Dark Web Presence: ThreatNG monitors the dark web for compromised credentials or other information that could be used to exploit consumer accounts.

• Intelligence Repositories: ThreatNG's intelligence repositories contain valuable data on ESG violations, compromised credentials, and other threats. This information helps organizations understand the broader context of consumer protection risks and potential threats.

2. ThreatNG Works with Complementary Solutions

While the text doesn't provide explicit examples of ThreatNG integrations, its capabilities align well with other security and governance tools. For example:

• GRC Platforms: ThreatNG's ESG violation tracking can be integrated with Governance, Risk, and Compliance platforms to automate the monitoring and reporting of consumer protection-related compliance.

• Data Loss Prevention (DLP) Systems: ThreatNG's identification of data leak susceptibility can complement DLP systems by providing external context and identifying potential data exposure points that DLP might miss.

• Security Information and Event Management (SIEM) Systems: ThreatNG's threat intelligence can enhance SIEM systems by providing external attack surface context and early warnings of potential attacks targeting consumer data.