The recent cyber breach at the Legal Aid Agency (LAA) has sent ripples across the legal sector, with potentially far-reaching consequences for firms connected to the Legal Aid Agency system. While the breach did not directly target individual law firms, the exposure of highly sensitive client data including National Insurance numbers, dates of birth, and other personal identifiers has placed a significant compliance burden on those who rely on LAA systems or work with legally aided clients.
Law firms now find themselves in the precarious position of having to assess, on a case-by-case basis, the extent to which their clients may be affected. This includes determining whether any data under their control has been compromised, evaluating the legal and ethical obligations to notify clients, and addressing the potential requirement to report to both the Information Commissioner’s Office (ICO) and the Solicitors Regulation Authority (SRA).
Firms must also consider the broader reputational and operational implications. The breach raises important questions around due diligence, third-party risk management and the adequacy of existing data protection policies. For those with active LAA contracts or who store LAA-sourced data, the need for an immediate and thorough impact assessment is not just advisable, it’s essential.
So what should law firms be doing right now? We spoke to Kate Burt of HiveRisk, where she shares her top tips on how to manage the fallout from the breach and stay compliant in the days ahead…
When news of the Legal Aid Agency cyber-attack broke, we immediately urged our law firm clients to carry out a thorough breach impact assessment as a matter of priority. While the breach did not directly affect individual firms, the sensitive nature of the compromised data and the sector’s reliance on LAA systems means that law firms have an obligation to carefully assess their potential exposure and the implications for their clients.
A key first step is identifying whether any current or former clients’ data may be connected to the compromised systems. From there, firms need to consider how best to support and advise those clients. While it may not be practical, or appropriate, to suggest clients seek alternative funding options to legal aid due to the concerns, firms can play a proactive role in guiding clients on how to protect themselves.
Practical advice includes encouraging clients to remain alert to suspicious or unexpected communications, especially emails that could exploit leaked personal data. Advising them to change passwords, particularly if those used for the LAA system were reused on other platforms, is a simple but effective measure. Some law firms have placed notices on their websites to alert clients and former clients to the issue and provide guidance.
Just as crucial as client-facing responses is the need for internal governance. Even if a firm ultimately decides not to notify clients individually or report to the Information Commissioner’s Office (ICO) or the Solicitors Regulation Authority (SRA), the decision-making process must be clearly documented. A detailed audit trail that outlines how the breach was assessed and why certain actions were or were not taken shows diligence and accountability.
Ultimately, while firms can’t control external cyber threats, they can control how they respond. A considered, well-documented approach reinforces both compliance and client confidence.