Create an MS Word document containing your “short paper” (response) for the discussion topic. Use MS Word to spell check and grammar check your work! Then, submit. (For presentations, use Power Point format – .pptx)

Privacy and Corporate Liability

Red Clay’s senior leadership team are reviewing the company’s Annual Report, which the CEO will present at the next quarterly shareholder’s meeting. That report includes the following risk statement.

We could be liable if third-party equipment recommended and installed by us, i.e. voice activated smart home controllers, infringes on the privacy of our residential clients.

Research how smart devices sense and record information from the environment around them. For example, an device might be designed to listen and record voice inputs OR it might record other sources of private information about movement, locking / unlocking of doors with dates and times, use of devices, etc.

Using your research, write a two-page briefing paper (five to seven paragraphs) that corporate board members can use to explain how the third party equipment could infringe on customer privacy and why the company might be liable for damages if customers experience a loss of privacy. Your target audience is Red Clay Renovation’s to shareholders. Provide specific examples of the types of risk events that could occur and the potential impacts (e.g. financial, reputation, client trust, etc.) Your examples should relate to Red Clay and the course case study. Remember, the board members and shareholders are likely non-technical, so make sure your paper can be understood by laymen.

Provide in-text citations and references for 3 or more authoritative sources. Put the reference list at the end of your posting.

Struggling with where to start this assignment? Follow this guide to tackle your assignment easily!

Step-by-Step Guide for Writing Your Short Paper:

Step 1: Understand the Purpose

You are writing a briefing paper for non-technical shareholders and board members. Keep your language clear and simple. The focus is on explaining the risks to customer privacy posed by third-party smart home devices and why Red Clay Renovations might be liable.

Step 2: Conduct Research

Use reliable, authoritative sources to explore:

How smart devices gather data (e.g., voice recognition, motion sensors, access logs).
Real-world examples where privacy breaches occurred through smart home technology.
Corporate liability in tech-related privacy cases.

Find at least 3 scholarly or credible sources (e.g., academic journals, reputable news sites, government publications).

Step 3: Organize Your Paper

Structure your paper into 5 to 7 clear paragraphs (about 2 pages):

Introduction
- Brief overview of the issue: privacy concerns with smart devices.
- Introduce the relevance to Red Clay and their shareholders.
How Smart Devices Work
- Explain how these devices collect and use environmental and behavioral data.
- Keep it simple and avoid technical jargon.
Privacy Risks and Examples
- Describe real or hypothetical examples where privacy could be compromised (e.g., unauthorized recordings, tracking home entry patterns).
Corporate Liability Explained
- Explain why Red Clay might be held responsible even though the devices are third-party products.
- Touch on legal and ethical responsibility.
Potential Impacts on Red Clay
- Discuss consequences such as lawsuits, damage to reputation, loss of client trust, or financial penalties.
Recommendations (Optional)
- Offer best practices Red Clay could adopt (e.g., vetting vendors, disclosing risks to clients, customer consent protocols).
Conclusion
- Summarize the risk and liability. Reinforce the importance of proactive risk management.

Step 4: Cite Your Sources

Use in-text citations (APA style is typical unless your course says otherwise).
Add a References section at the end with full citations.

Step 5: Proof and Format

Write your paper in MS Word (.docx format).
Use spell check and grammar check.
Keep your tone professional and informative.
Submit your final version as instructed.

Privacy Risks of Smart Devices and Red Clay Renovation’s Corporate Liability