Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: August 23, 2017
The Firm
201-896-4100 info@sh-law.comThe U.S. Senate is currently considering the Internet of Things (IoT) Cybersecurity Improvement Act of 2017, which would establish baseline cybersecurity standards for federal procurement of IoT devices. The bill would also allow security researchers to look for critical vulnerabilities in devices purchased by the government without fear of prosecution.

The IoT bill has attracted co-sponsors from both sides of the aisle, including U.S. Sens. Mark R. Warner (D-VA) and Cory Gardner (R-CO), co-chairs of the Senate Cybersecurity Caucus, along with Sens. Ron Wyden (D-OR) and Steve Daines (R-MT). The lawmakers drafted the legislation in consultation with technology and security experts from institutions such as the Berklett Cybersecurity Project of the Berkman Klein Center for Internet & Society at Harvard University.
The term “Internet of Things” (IoT) refers to the ability of everyday objects, from home security systems to pacemakers, to send and receive data via an Internet connection. Research firm Gartner, Inc. predicts that 8.4 billion connected things will be in use worldwide in 2017, up 31 percent from 2016. The number of IoT devices is expected to reach 20.4 billion by 2020.
As adoption of the technology grows, so do the potential data privacy and cybersecurity risks, including unauthorized access, misuse of personal information, and personal safety concerns. According to Sen. Warner, the worldwide internet outages caused last year by devices infected with the Mirai malware highlighted the need for more robust discussions about securing IoT devices.
“While I’m tremendously excited about the innovation and productivity that Internet-of-Things devices will unleash, I have long been concerned that too many Internet-connected devices are being sold without appropriate safeguards and protections in place,” said Sen. Warner.
The Internet of Things (IoT) Cybersecurity Improvement Act of 2017 broadly defines “Internet-Connected Device” to include any “physical object that—(A) is capable of connecting to and is in regular connection with the Internet; and (B) has computer processing capabilities that can collect, send, or receive data.” Among other provisions, the legislation would:
Notably, the requirements would only apply to IoT devices sold to the federal government. However, should the measure advance, additional legislation for consumer-facing devices would likely be forthcoming.
Do you have any feedback, thoughts, reactions or comments concerning this topic? Feel free to leave a comment below for Fernando M. Pinguelo. If you have any questions about this post, please contact me or the Scarinci Hollenbeck attorney with whom you work.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

High-profile founder litigation is more than just a media spectacle. For startup founders, these cases underscore the legal and structural risks that can arise when rapid growth outpaces formal oversight. While launching a new company can be both an exciting and deeply rewarding endeavor, founders must be mindful that it also comes with significant risks. […]
Author: Dan Brecher

Every New Jersey company should periodically evaluate its governance framework. Strong corporate governance protects directors and officers, builds investor confidence, reduces litigation exposure, and positions a company for sustainable growth. The first quarter of the year is a great time to evaluate your corporate governance practices and perform any routine maintenance needed to keep that […]
Author: Ken Hollenbeck

Being served with a lawsuit is one of the most stressful legal events a business or individual can face. Whether the claim involves a contract dispute, an employment matter, an intellectual property issue, or another legal challenge, the actions you take in the first few days can significantly shape the outcome of your case. Acting […]
Author: Robert E. Levy

Special Purpose Acquisition Companies (SPACs) continue to gain momentum as we move through 2026. After enduring a significant contraction following the 2021 boom and the regulatory scrutiny that followed, SPAC activity rebounded sharply in 2025 and now carries forward into 2026 with real momentum. The SPAC resurgence reflects broader improvements in both market conditions and the […]
Author: Dan Brecher

Compliance programs are no longer judged by how they look on paper, but by how they function in the real world. Compliance monitoring is the ongoing process of reviewing, testing, and evaluating whether policies, procedures, and controls are being followed—and whether they are actually working. What Is Compliance Monitoring? In today’s heightened regulatory environment, compliance […]
Author: Dan Brecher

New Jersey personal guaranty liability is a critical issue for business owners who regularly sign contracts on behalf of their companies. A recent New Jersey Supreme Court decision provides valuable guidance on when a business owner can be held personally responsible for a company’s debt. Under the Court’s decision in Extech Building Materials, Inc. v. […]
Author: Charles H. Friedrich
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!