Pamela Devata Quoted in Lawyers USA “Identity Theft ‘Red Flag’ Rule Enforcement Delayed”

Pamela Devata was quoted in the April 2009 issue of Lawyers USA in the article, “Identity Theft ‘Red Flag’ Rule Enforcement Delayed.” The article discussed the “red flag” rule that requires businesses to implement identity-theft policies and why companies will be given a three-month extension to comply. The rule has slipped under the radar because many businesses, including law firms, are unaware that the rule pertains to them due to the broad definition of the word “creditor.” Pam explained, “Most people, including doctors and lawyers, don’t think of themselves as creditors.” However, a “creditor” includes businesses or organizations that regularly accept deferred payments, or provide goods or services and bill clients later. According to the article, policies will vary depending on the type of industry and company size and all organizations will be required to train employees on how to recognize red flags and respond to possible identity theft.