The cyber breach of SolarWinds’ software in 2020 (the “SolarWinds breach” or “cyber breach”) has been described as the “largest and most sophisticated attack the world has ever seen.” As a result of the cyber breach, SolarWinds has been the subject of multiple lawsuits and investigations, including a class action lawsuit that resulted in the company agreeing to pay a settlement of $26 million.
Most recently, in connection with the breach, SolarWinds’ chief financial officer (CFO) and chief information security officer (CISO) received Wells notices from the Securities Exchange Commission (SEC). These Wells notices (or warnings of potential SEC enforcement actions) shouldn’t necessarily come as a surprise but are worthy of a closer look, as there are insights to be gained.
This article will:
- Provide a brief background on the SolarWinds breach
- Explain what a Wells notice is
- Discuss the Wells notices that SolarWinds’ CFO and CISO received
- Provide important takeaways
The SolarWinds Cyber Breach
As we discussed in a prior article, the SolarWinds event in 2020 was a catastrophe. The cyberattack involved the compromise of SolarWinds’ network…
