What Business Leaders Need to Know About Cybersecurity Certification and Enforcement in 2025–2026 – | Shumaker, Loop & Kendrick, LLP
https://www.jdsupra.com/legalnews/what-business-leaders-need-to-know-1294895/
Publish Date: 2026-05-11 12:32:00
Source Domain: www.jdsupra.com
The Department of Defense has fundamentally reshaped the cybersecurity landscape for federal contractors. With the Cybersecurity Maturity Model Certification (CMMC) program now embedded in contract clauses effective November 10, 2025, and False Claims Act enforcement tripling in a single fiscal year, cybersecurity is no longer a technical concern delegated to IT departments. It is a business eligibility requirement with direct implications for revenue, contract awards, and legal exposure.
This article provides an executive-level overview of what has changed, what is at stake, and what actions organizations should prioritize.
Program Origins and Evolution
CMMC traces its origins to Executive Order 13556 (November 2010), which established the Controlled Unclassified Information (CUI) Program. Prior to this Order, over 100 different markings existed across federal agencies—creating confusion and failing to adequately protect sensitive information. The CUI Program standardized how the executive branch handles information requiring safeguarding.
In 2019, DoD announced development of CMMC to move beyond the self-attestation model. The Office of the Under Secretary of Defense for Acquisition and Sustainment conceived the program to secure the Defense Industrial Base against evolving threats. An interim rule published in September 2020 established a five-year phase-in and outlined the framework’s core features: tiered practices, required assessments, and contract-based implementation. Following approximately 750 public comments and an internal review, DoD announced a revised CMMC Program in November 2021 with streamlined requirements and reduced compliance barriers.
The current program rests on three pillars: a tiered model requiring progressively advanced cybersecurity based on information sensitivity; an assessment requirement allowing DoD to verify compliance; and phased implementation adding requirements incrementally over three years. DoD estimates…
