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•Contributing Editorial: Texas Law Has Far Reaching Impact

By Howard Haile, DCIG LLC

The State of Texas recently passed H.B. No. 2833 stating you must hold a license as a security services contractor if you "engage in business activity in which a license is required." The law then outlines that a company acts as an "Investigations Company" under Section 1702.104, (4) (b) "...includes information obtained or furnished through the review and analysis of, and the investigation into the content of, computer-based data not available to the public." Investigation is a key word in the statute and appears to be broadly defined and it has lead to confusion and controversy.

A great deal of focus in the news has been on PC repair shops, but another area of concern is how IT responds to legal requests within a company. If your company collects, stores, and searches Electronically Stored Information (ESI) for the purposes of legal requests then does your company fall into the definition of an "Investigations Company" and thus subject to licensing? This is an area of concern that no doubt will need further clarification.

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•Contributing Editorial: Texas Law Has Far Reaching Impact