Please rewrite, (scenario is given for reference/background) :
Based
upon this evaluation, what went wrong? (Where did the problem
happen? How could the situation have been avoided? Be specific as to the
steps the defendants could have taken to avoid the issues.)
The problem arose from a
combination of unclear communication regarding data usage and inadequate data
protection measures. HumanSoft’s terms of service did mention that user data
might be used to train AI in the future, but this information may not have been
sufficiently highlighted or explained, leading to confusion on the part of
Wellness Medical Services (WMS). Additionally, although HumanSoft provided a
high-security plan, the lack of explicit notification and clear guidance on how
WMS should handle sensitive data contributed to the breach.
To avoid such issues, HumanSoft
could have taken several specific steps. First, they should have made the terms
of service more explicit and highlighted the sections regarding data usage for
AI training, ensuring that clients fully understand and consent to these terms.
Second, HumanSoft could have implemented a robust notification system to inform
clients immediately of any changes to data usage policies. Third, providing
detailed guidelines and training for clients on best practices for data
anonymization and security would have helped prevent the mishandling of
sensitive information. Lastly, regular audits and reviews of data security
practices, both internally and with clients, would have identified potential
vulnerabilities and ensured compliance with relevant laws, thereby avoiding the
breach and subsequent legal issues.
If
you are a manager tasked to tackle this issue, what would you recommend? (What
recommendations would you make to ensure this situation does not happen in
the future? Be specific and state the actual corporate policies you would
implement to avoid any problems of this nature occurring at your company.
State with specificity how you would implement those corporate policies.)
Representing HumanSoft, it is imperative to ensure that a
situation like this does not occur in the future by implementing several
specific corporate policies aimed at enhancing data security and clarity in
terms of service. Firstly, HumanSoft should revise and clarify its terms of
service to explicitly state how user data will be used. This includes adding a
clear section on data usage and obtaining explicit consent from clients before
incorporating their data into AI models. To implement this, HumanSoft can
conduct a thorough review of the terms with legal experts and ensure all customers
are notified of these changes, requiring them to acknowledge and agree to the
updated terms.
Additionally, HumanSoft should establish a robust
notification system to inform clients of any changes to data usage policies
promptly. This can be done by integrating automated alerts within the SpeakPad
application and sending direct notifications via email to ensure all clients
are aware of policy updates. Regular audits of data security measures should
also be conducted to ensure compliance with relevant laws and to identify any
potential vulnerabilities. HumanSoft can set up a dedicated team to perform
these audits and report their findings, ensuring continuous improvement in data
protection practices.
Moreover, HumanSoft should implement enhanced security
protocols, such as data encryption, access controls, and regular security
training for employees. These measures will help safeguard sensitive
information and prevent unauthorized access. Implementing these protocols
involves developing detailed security guidelines and conducting regular
training sessions to keep employees informed of best practices and compliance
requirements.
In addressing the issue with Wellness Medical Services
(WMS), HumanSoft should also consider countersuing WMS for negligence. Despite
the clear mention in the terms of service that data might be used for AI
training, WMS failed to anonymize patient data before using the SpeakPad
service. This lack of adequate data protection measures on WMS’s part
contributed significantly to the breach of patient confidentiality. By countersuing
WMS for negligence, HumanSoft can emphasize the shared responsibility in
protecting sensitive data and highlight the importance of proper data handling
practices.
Implementing these policies and taking legal action where
necessary will not only protect HumanSoft from similar future incidents but
also reinforce the company’s commitment to data security and transparency.
Scenario:
Wellness Medical Services employs 35 mental health
counselors who work remotely at home offering their mental health services to
clients throughout the bay area. They meet with clients through
a secure application that allows for both voice and video chat. Due to their
small to medium business size they decided it would be more practical to look
for a third-party note-taking solution.
HumanSoft is a tech Startup company from California who
employs 20 AI engineers who have created a program called “SpeakPad”, which
utilizes a large data AI model to record speech and translate it into text. The
program allows for multiple languages and organizes notes based on case files.
Mental health providers are able to use shorthand notes and speak to them into
the AI program.
The CEO of Wellness Medical has decided to employ a “High
Security” business account due to a lack of direct IT support from within
Wellness Medical. This allowed Wellness Medical employees free usage of the AI
model service. WMS was led to believe that SpeakPad was safe for them to use,
as their website described the program as “completely secure solution”, and
their terms of service only mentioned the recording of speech would be used for
the program itself, or for playback by the user or a WMS administrator to
review certain cases or notes on cases. There was also an agreement that mental
health counselors would be able to share file details with other WMS counselors
in the case that a patient was seeking a different counselor.
Three months after WMS began using SpeakPad, HS began
expanding its AI’s training data with user recordings. While WMS’s data had
several extra security precautions taken in its storage due to their purchase
of the security plan, a significant amount of these recordings were added to
the training data for SpeakPad. The data contained patient information
including names and details that were not excluded from the training
information. This would lead to WMS being faced with lawsuits and fines due to
HIPPA violations.
HumanSoft claims that within the terms of service agreement
between HumanSoft and Wellness Medical Services that Wellness Medical was
informed that notes may be used to train AI in the future and Wellness Medical
should have taken this into account when using real patient’s names in the
notes and potential training data.
