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Important: Texas SB 2610 (Cybersecurity Safe Harbor Law) takes effect September 1, 2025. Get your free tier determination →

Effective September 1, 2025

Texas SB 2610: Cybersecurity Safe Harbor Law

Get legal protection from punitive damages in data breach lawsuits by implementing recognized cybersecurity frameworks. Voluntary protection for Texas businesses with fewer than 250 employees.

Sept 2025
Effective Date
Under 250
Employee Limit
3 Tiers
Compliance Levels
Voluntary
Not Mandatory

What is Texas SB 2610?

Texas SB 2610, formally known as the Cybersecurity Safe Harbor Law (Texas Business and Commerce Code Chapter 542), provides a legal defense against punitive (exemplary) damages in data breach lawsuits for businesses that implement recognized cybersecurity frameworks.

Effective September 1, 2025, this voluntary law creates an incentive for Texas small and mid-size businesses to adopt industry-standard cybersecurity practices by offering legal protection if a breach occurs despite good-faith security efforts.

Important: SB 2610 is NOT the same as TDPSA (Texas Data Privacy and Security Act). They are two completely different laws with different purposes, requirements, and enforcement mechanisms.

What SB 2610 Protects Against

Protected (Safe Harbor Applies)

  • Punitive damages
  • Exemplary damages
  • Damages intended to punish the defendant

NOT Protected

  • Compensatory damages (actual harm)
  • Economic damages
  • Attorney General enforcement actions
  • Regulatory penalties from other laws

Key Features of SB 2610

  • VOLUNTARY - creates a defense, not an obligation
  • Applies to Texas businesses with fewer than 250 employees
  • Three-tier structure based on company size
  • Framework must be implemented BEFORE breach occurs
  • Documentation required to prove compliance at the time of breach

Who Qualifies for Safe Harbor Protection?

To qualify for safe harbor protection under SB 2610, your business must meet both of the following criteria:

Requirement 1: Employee Count

Fewer than 250 employees

The law is designed specifically for small and mid-size Texas businesses. Companies with 250 or more employees do not qualify for safe harbor protection.

Requirement 2: Framework Implementation

Implement appropriate tier requirements

You must implement the cybersecurity requirements for your specific tier (based on employee count) and maintain documentation proving compliance.

Critical Timing Requirement

The cybersecurity framework must be implemented BEFORE a breach occurs. You cannot retroactively claim safe harbor protection after a breach happens. The burden of proof is on your business to demonstrate through documentation that the framework was in place at the time of the breach.

The Three-Tier Structure

SB 2610 establishes different requirements based on company size, with increasing rigor as organizations grow.

TIER 1

Fewer Than 20 Employees

Basic cybersecurity hygiene requirements for the smallest businesses.

Requirements:

  • Implement basic password policies and procedures
  • Provide cybersecurity training to employees

Example: A 15-person accounting firm would need documented password policies (complexity requirements, change frequency, multi-factor authentication where applicable) and evidence of cybersecurity awareness training for all staff.

TIER 2

20-99 Employees

Implementation of CIS Controls Implementation Group 1 (IG1).

Requirements:

Implement the 56 safeguards defined in CIS Controls v8 Implementation Group 1 (IG1), which include:

  • Inventory and control of enterprise assets
  • Inventory and control of software assets
  • Data protection
  • Secure configuration of assets
  • Account management
  • Access control management
  • Continuous vulnerability management
  • Audit log management
  • Malware defenses
  • Data recovery capabilities

Note: CIS Controls IG1 is specifically designed for small and medium-sized businesses with limited cybersecurity resources. The 56 safeguards represent foundational cybersecurity hygiene that every organization should implement.

TIER 3

100-249 Employees

Full implementation of an industry-recognized cybersecurity framework.

Requirements:

Implement one or more of the recognized cybersecurity frameworks (see full list below). Implementation must be appropriate to the size, complexity, and security risks of your business.

Example: A 150-person manufacturing company might implement NIST Cybersecurity Framework with documented policies, technical controls, monitoring procedures, and regular assessments to demonstrate comprehensive cybersecurity program maturity.

Need Help Determining Your Tier?

Our team can help you identify which tier applies to your business and create a roadmap for implementing the appropriate cybersecurity framework before the September 2025 deadline.

Get Free Tier Determination

Recognized Cybersecurity Frameworks (Tier 3)

Businesses in Tier 3 (100-249 employees) must implement one or more of the following industry-recognized cybersecurity frameworks:

NIST Cybersecurity Framework (CSF)

Comprehensive framework with Identify, Protect, Detect, Respond, and Recover functions.

NIST SP 800-171

Protecting Controlled Unclassified Information in nonfederal systems.

NIST SP 800-53

Security and privacy controls for information systems and organizations.

CIS Controls

Full CIS Controls v8 implementation (IG1, IG2, or IG3 as appropriate).

ISO/IEC 27000-series

International standards for information security management systems.

HITRUST CSF

Health Information Trust Alliance Common Security Framework.

SOC 2

Service Organization Control 2 for service providers.

Secure Controls Framework (SCF)

Unified compliance framework mapping to multiple standards.

Industry-Specific Frameworks

If your business is already subject to industry-specific cybersecurity requirements, compliance with those frameworks may also qualify:

  • PCI DSS - Payment Card Industry Data Security Standard (if applicable)
  • HIPAA Security Rule - Health Insurance Portability and Accountability Act (if applicable)
  • GLBA - Gramm-Leach-Bliley Act cybersecurity requirements (if applicable)
  • FISMA - Federal Information Security Management Act (if applicable)

How the Safe Harbor Protection Works

Understanding when and how SB 2610's safe harbor protection applies is critical to making informed decisions about implementation.

When Does It Apply?

After a Data Breach Occurs

The safe harbor only becomes relevant if your business experiences a data breach and faces litigation seeking punitive damages.

In Civil Litigation

The safe harbor provides a defense in civil lawsuits. It does not prevent lawsuits from being filed, but provides grounds to defeat punitive damage claims.

When You Can Prove Compliance

You must demonstrate through documentation that you implemented the appropriate framework at the time of the breach.

What You Must Prove

  • Your business had fewer than 250 employees
  • You implemented the framework for your tier
  • Implementation occurred before the breach
  • Framework was in place at the time of breach
  • You maintained appropriate documentation

What Protection You Get

Protected

  • Punitive damages
  • Exemplary damages

Still Liable For

  • Compensatory damages
  • Economic damages
  • Actual harm to victims
  • Other regulatory penalties

Critical: Documentation is Everything

To successfully claim safe harbor protection, you must maintain comprehensive documentation of your cybersecurity program implementation, including policies, procedures, training records, technical configurations, audit logs, and evidence of ongoing compliance monitoring. Without proper documentation, you cannot prove compliance even if the controls were implemented.

SB 2610 vs. TDPSA: Understanding the Difference

Many people confuse these two laws. Here's a clear comparison to help you understand how they differ and whether you need to comply with one or both.

Aspect SB 2610 (Cybersecurity Safe Harbor) TDPSA (Data Privacy Act)
Full Name Cybersecurity Safe Harbor Law Texas Data Privacy and Security Act
Effective Date September 1, 2025 July 1, 2024
Purpose Provides legal defense against punitive damages Consumer data privacy rights and protections
Mandatory? Voluntary - creates a defense Mandatory - for covered businesses
Applicability Businesses with fewer than 250 employees Businesses processing 100K+ consumer records OR selling data of 25K+
Focus Cybersecurity framework implementation Consumer rights (access, deletion, opt-out)
Enforcement Affirmative defense in litigation Texas Attorney General enforcement
Penalties None (provides protection FROM penalties) Up to $7,500 per violation
Key Requirement Implement cybersecurity framework for your tier Privacy notices, consumer request handling, data protection assessments

Do You Need to Comply with Both?

Possibly. Many businesses may fall under TDPSA's mandatory requirements while also being eligible for SB 2610's voluntary safe harbor protection. Implementing a cybersecurity framework for SB 2610 can also help satisfy TDPSA's data security requirements, creating synergy between the two laws.

Best Practice: Evaluate your obligations under both laws to ensure comprehensive compliance and maximum legal protection.

Frequently Asked Questions

No. SB 2610 (Cybersecurity Safe Harbor Law) and TDPSA (Texas Data Privacy and Security Act) are completely different laws. SB 2610 is a voluntary law that provides a defense against punitive damages for businesses that implement cybersecurity frameworks. TDPSA is a mandatory consumer privacy law with different requirements and enforcement mechanisms.

No. SB 2610 is completely voluntary. It creates a legal defense (safe harbor) that businesses can choose to obtain by implementing cybersecurity frameworks, but it does not mandate or require compliance. There are no penalties for not participating.

SB 2610 becomes effective on September 1, 2025. However, to qualify for safe harbor protection, you should begin implementing your cybersecurity framework well before this date to ensure it is fully documented and operational before any potential breach occurs.

Your tier is determined solely by employee count: Tier 1 (fewer than 20 employees), Tier 2 (20-99 employees), or Tier 3 (100-249 employees). If you have 250 or more employees, you do not qualify for safe harbor protection under SB 2610.

No. SB 2610 does not replace or supersede other compliance requirements like HIPAA, PCI DSS, SOC 2, or TDPSA. However, if you are already compliant with certain industry-specific frameworks (like HIPAA Security Rule or PCI DSS), that compliance may satisfy the SB 2610 Tier 3 requirements.

You need comprehensive documentation proving implementation of your tier's requirements, including: written policies and procedures, evidence of technical control implementation, employee training records, audit logs, risk assessments, and monitoring evidence. The documentation must demonstrate that the framework was in place at the time of any breach.

No. The cybersecurity framework must be implemented BEFORE a breach occurs to qualify for safe harbor protection. You cannot retroactively claim protection. This is why proactive implementation is critical.

Tier 2 (20-99 employees) has a specific requirement: CIS Controls v8 Implementation Group 1 (IG1), which consists of 56 basic cybersecurity safeguards. This is the only framework specified for Tier 2. The broader framework options only apply to Tier 3 (100-249 employees).

No. SB 2610 only provides a defense against punitive (exemplary) damages in data breach litigation. You are still liable for compensatory damages (actual harm), economic damages, and any other causes of action. It also does not protect against Attorney General enforcement actions or regulatory penalties under other laws.

Cost varies significantly based on your tier, current security posture, and business complexity. Tier 1 requirements (basic password policies and training) may cost a few thousand dollars. Tier 2 (CIS IG1) typically ranges from $15,000-$50,000. Tier 3 (full framework) can range from $50,000-$200,000+ depending on scope. We offer free assessments to provide accurate cost estimates for your specific situation.

How Cyber Point Advisory Can Help

We help Texas businesses achieve SB 2610 safe harbor protection through comprehensive cybersecurity framework implementation and documentation.

Tier Determination

We evaluate your business size and current security posture to determine which tier applies and create a customized compliance roadmap.

Framework Selection

For Tier 3 businesses, we help you select the most appropriate framework based on your industry, existing compliance requirements, and business needs.

Implementation Services

We implement the cybersecurity controls, policies, and procedures required for your tier, ensuring complete and defensible compliance.

Documentation Support

We create and maintain the comprehensive documentation necessary to prove compliance and successfully claim safe harbor protection.

Training & Awareness

We provide cybersecurity training for your employees to satisfy training requirements and build a security-aware culture.

Ongoing Compliance

We provide ongoing monitoring, maintenance, and updates to ensure your cybersecurity framework remains current and defensible.

Get Your Free SB 2610 Tier Determination

Find out which tier applies to your business and get a customized roadmap for achieving safe harbor protection before the September 2025 deadline.

  • Determine your SB 2610 tier and requirements
  • Get framework recommendations for your business
  • Receive implementation timeline and cost estimate
  • Understand how to document compliance effectively

No obligation. No sales pressure. Just expert guidance from former Fortune 500 CISOs.

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