Litigation costs would significantly exacerbate any direct losses resulting from Y2K failures and could make this a multi-year problem. Equally important, concerns about potential liability are exacerbating the Y2K threat by chilling communication and information sharing among companies and their suppliers, vendors, and customers as well as industry counterparts. Moreover, the threat of lawsuits could imperil the ability of companies to attract or retain qualified officers and directors. Litigation issues must be addressed in a responsible and balanced way. The Good Samaritan bill, expected to be approved by Congress, is a step in the right direction, but is not sufficient.
Contingency planning is critical.
It is clear that not every mission critical system around the world will be compliant by the year 2000. It is imperative, then, that public and private sectors alike begin the contingency planning phase. The focus for governments and private sector companies should shift from readiness to survivability. Disruptions and even failures are inevitable. Without credible leadership, effective contingency planning becomes difficult to achieve.