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Proposed Cybersecurity Rule Could Affect Many CRE Landlords

The rule would require critical businesses to almost immediately report hacking and ransomware attacks.

A proposed federal cybersecurity rule from the U.S. Cybersecurity and Infrastructure Security Agency would require companies that own and operate critical infrastructure to report covered cyber incidents within 72 hours and payments made after a ransomware attack within 24 hours.

The rule broadly defines critical infrastructure. That means attacks on building systems could easily be deemed within the scope of the rule and real estate owners who lease to covered entities would likely also have to quickly report. The landlords would likely then have to monitor cybersecurity of building software — and perhaps their own internal operations software if that as well could affect the infrastructure.

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Erik Sherman

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