Cybersecurity in M&A: Minimizing Successor Liability and Increasing Profits Through Targeted Diligence
In an era where data is a critical business asset — and regulatory scrutiny is intensifying — cybersecurity diligence can no longer be an afterthought in transactions. A recent $8.4 million settlement between the U.S. Department of Justice and a defense contractor and its acquirer underscores the rising stakes. The DOJ held the buyer liable as a "successor in liability" for the seller’s alleged cybersecurity failures under the False Claims Act — despite the conduct occurring before the acquisition. As businesses continue to rely on data and deploy AI and emerging technologies, sophisticated privacy and cybersecurity diligence will have a clear impact on the bottom line.
Join Quarles attorneys and cybersecurity and insurance professionals to explore how both buyers and sellers can — and must — go beyond surface-level compliance representations to manage privacy and security risks in transactions. Topics will include:
- Risks to Buyers: Why boilerplate compliance representations are no longer sufficient — and how buyers can leverage technical assessments and legal diligence by the right experts to uncover hidden cybersecurity liabilities and address post-closing issues like data integration risks.
- Risks to Sellers: How sellers can increase deal profits and reduce post-transaction liability by documenting pre-transaction mitigation steps and facilitating meaningful diligence.
- Evolving Market Practices: Why more robust data privacy and cybersecurity diligence is becoming standard — and how to align diligence practices with legal, operational, and financial strategies.
- Insurance Strategies: How to take advantage of existing buyer and seller cybersecurity coverage as well as RWI to position a deal for useful, available representations and warranties insurance covering privacy and cybersecurity.
Who should attend:
- Deal professionals
- CISOs, CIOs, and data privacy officers
- In-house legal and compliance teams
- Private equity and venture capital professionals
- Corporate development and strategy leaders
Don’t let cybersecurity liabilities follow you home. Learn how to assess, address, and allocate risk before the deal closes.
Presenters:
- Amy Cotton Peterson, Partner, Executive Committee, Quarles & Brady LLP
- Anthony Dagostino, President & Chief Underwriting Officer at Avoca Risk, LLC | Insurtech MGA Founder
- Meghan O'Connor, Partner, Co-Chair of Data Privacy & Security Team, Co-Chair of AI Team, Quarles & Brady LLP
- Stephen Scott, Partner at CRG Research | Director at CISO Global
This webinar is preapproved for a maximum of 1.0 CPE credits through the International Association of Privacy Professionals (IAPP). To request CPE credit, please follow the instructions linked in the webinar dashboard.
Quarles is happy to provide a certificate of attendance, confirming hours and participation, for attendees who would like to self-apply for additional types of continuing education credit.
Continuing Legal Education:
This program is eligible for 1.0 hours of CLE credit in 60-minute states and 1.0 hours of CLE credit in 50-minute states. Credit hours are subject to each state’s approval and credit rounding rules. Quarles certifies that this activity is approved for California Participatory MCLE credits by the State Bar of California in the amount of up to 1.0 general credit. Quarles is a State Bar of California MCLE approved provider.
Updated CLE Attendance Verification Procedures:
We have updated procedures for tracking attendance for CLE credit. They include:
- You must be logged in, participating from your own device, and need to actively watch the entire webinar.
- Please watch for pop-up polls (with audio notification) that will appear at several random times during the webinar. You must click on the pop-up polls to verify your attendance.
- Regulators require attendance to be verified, and this procedure meets that requirement.
How to Request CLE Credit:
If you meet the participation requirements above, you will receive a personalized CLE affidavit from mcle‑quarles@americanbar.org within a few days of the webinar with instructions for receiving your Certificate of Attendance.
Once you complete the affidavit, you will be able to download your certificate(s) of attendance and they will be emailed to you from mcle‑quarles@americanbar.org.
When Will I Get My Certificate of Attendance?
Generally, you will receive your certificate within a week of submitting your information to the ABA.
CLE Questions?
If you have questions about the certificate you received (or did not receive) for a program that occurs in April of 2024 or later, please contact the ABA at mcle‑quarles@americanbar.org.
If you have a question about a previous event or need to speak with the Quarles CLE team, please send us an email at QBCLETeam@quarles.com.
General Questions?
Please contact Lauren Klika and Alexa Curto, events@quarles.com.