CIPP-E Certified Information Privacy Professional/Europe (CIPP/E) Questions and Answers

Cross-border processing is defined in Article 4(23) of the GDPR as either:

•processing of personal data which takes place in the context of the activities of establishments in more than one Member State of a controller or processor in the Union where the controller or processor is established in more than one Member State; or

•processing of personal data which takes place in the context of the activities of a single establishment of a controller or processor in the Union but which substantially affects or is likely to substantially affect data subjects in more than one Member State.

Therefore, the factors that are relevant for identifying whether the processing could be considered a cross-border processing are:

•the location and number of establishments of the controller or processor in the EU;

•the connection between the processing and the activities of the establishments;

•the substantial effect or likelihood of substantial effect on data subjects in more than one Member State.

The total number of the data subjects interested is not necessarily a factor, as the processing could affect only a few data subjects but still have a substantial impact on them. For example, a processing that involves the disclosure of sensitive personal data of a small group of data subjects in different Member States could be considered a cross-border processing.

References:

•GDPR Article 4 - Definitions1

•Guidelines 8/2022 on identifying a controller or processor’s lead supervisory authority2

 The definition of personal data under the GDPR is broad and covers any information that relates to an identified or identifiable natural person. This means that personal data can include information such as name, email, phone number, address, date of birth, race, gender, political opinions and more. The GDPR protects personal data on all levels, platforms and technologies, and requires organizations to process it only for a specific purpose and keep it for a limited time.

The unlinked aggregated data used for statistical purposes by an Italian company would most likely NOT be covered by the definition of personal data under the GDPR. Aggregated data is data that has been processed in such a way that individual records are no longer identifiable. For example, if a company collects the names and email addresses of its customers and then calculates the average age of its customers, the resulting data is aggregated and not personal. Therefore, this type of data would not be subject to the GDPR.

However, this does not mean that the Italian company can use this type of data without any restrictions or obligations. The GDPR still applies to any processing activity that involves personal data in any form or manner. For example, if the Italian company uses this type of data to create a profile or a segment of its customers based on their characteristics or preferences, it may still need to comply with certain principles and conditions under the GDPR. For instance, it may need to obtain consent from its customers before using their aggregated data for marketing purposes; it may need to ensure that its aggregated data is accurate and up-to-date; it may need to limit the retention period of its aggregated data; and it may need to respect the rights of its customers regarding their personal data.

References:

What is personal data? | ICO

What is considered personal data under the EU GDPR?

[GDPR personal data – what information does this cover?]

Sandy should give this feedback to Dan and the marketing team, as it reflects the principle of data minimization, which requires that personal data collected must be adequate, relevant and limited to what is necessary for the purposes of the processing1. Collecting birth date and salary information from customers who want to download white papers or register for events is not necessary for those purposes, and may pose risks for data protection and security. Moreover, such information may fall under the category of special data, which requires explicit consent from the data subjects and can only be processed under certain conditions2. The other options do not comply with the principle of data minimization, as they still involve collecting more data than needed, even if they are optional or in brackets. References:

Free CIPP/E Study Guide, page 23, section 3.1

CIPP/E Certification, page 18, section 3.1

The Ultimate CIPP/E Study Guide for 2023, page 16, section 3.1

Principles - General Data Protection Regulation (GDPR), Article 5

Special categories of personal data - General Data Protection Regulation (GDPR), Article 9

The General Data Protection Regulation (GDPR) does not prohibit surveillance of employees in the workplace. Still, it requires employers to follow special rules to ensure that the rights and freedoms of employees are protected when processing their personal data. The GDPR applies to any processing of personal data in the context of the activities of an establishment of a controller or a processor in the EU, regardless of whether the processing takes place in the EU or not. The GDPR also applies to the processing of personal data of data subjects who are in the EU by a controller or processor not established in the EU, where the processing activities are related to the offering of goods or services to data subjects in the EU or the monitoring of their behaviour as far as their behaviour takes place within the EU.

The GDPR requires that any processing of personal data must be lawful, fair and transparent, and based on one of the six legal grounds specified in the regulation. The most relevant legal grounds for employee surveillance are the legitimate interests of the employer, the performance of a contract with the employee, or the compliance with a legal obligation. The GDPR also requires that any processing of personal data must be limited to what is necessary for the purposes for which they are processed, and that the data subjects must be informed of the purposes and the legal basis of the processing, as well as their rights and the safeguards in place to protect their data.

The GDPR also imposes specific obligations and restrictions on the processing of special categories of personal data, such as biometric data, which reveal racial or ethnic origin, political opinions, religious or philosophical beliefs, or trade union membership, or which are processed for the purpose of uniquely identifying a natural person. The processing of such data is prohibited, unless one of the ten exceptions listed in the regulation applies. The most relevant exceptions for employee surveillance are the explicit consent of the data subject, the necessity for the purposes of carrying out the obligations and exercising specific rights of the controller or of the data subject in the field of employment and social security and social protection law, or the necessity for reasons of substantial public interest.

The GDPR also sets out the rules and requirements for the transfer of personal data to third countries or international organisations, which do not ensure an adequate level of data protection. The transfer of such data is only allowed if the controller or processor has provided appropriate safeguards, such as binding corporate rules, standard contractual clauses, codes of conduct or certification mechanisms, and if the data subjects have enforceable rights and effective legal remedies.

Based on the scenario, the primary privacy risks of the planned surveillance system are the excessive scope of monitoring and the lack of legitimate purpose for data collection. The surveillance system involves the collection and processing of a large amount of personal data, including special categories of personal data, such as biometric data and data revealing political opinions or trade union membership, from the employees’ devices and communications. The surveillance system also involves the transfer of personal data to a third country, China, which does not provide an adequate level of data protection. The surveillance system does not seem to have a clear and specific purpose that is necessary and proportionate to the legitimate interests of the employer, such as preventing fraud, ensuring network security, or complying with legal obligations. The surveillance system also does not seem to respect the principles of data minimisation, purpose limitation, transparency, and accountability. The surveillance system may infringe the rights and freedoms of the employees, such as the right to privacy, the right to data protection, the right to non-discrimination, the right to dignity, and the right to freedom of expression and association.

References:

GDPR, Articles 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 44, 45, 46, 47, 48, and 49.

EDPB Guidelines 3/2019 on processing of personal data through video devices, pages 5, 6, 7, 8, 9, 10, 11, 12, 13, and 14.

EDPB Guidelines 07/2020 on the concepts of controller and processor in the GDPR, pages 19, 20, 21, 22, 23, 24, 25, 26, 27, and 28.

EDPB Guidelines 4/2019 on Article 25 Data Protection by Design and by Default, pages 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, and 28.

EDPB Guidelines 2/2018 on derogations of Article 49 under Regulation 2016/679, pages 4, 5, 6, 7, 8, 9, 10, 11, and 12.

Data protection: GDPR and employee surveilance | Feature | Law Gazette, paragraphs 1, 2, 3, 4, 5, 6, 7, and 8.

The European model for data protection is best described as comprehensive, because it covers all sectors and types of data processing, and applies to any organization that targets or collects data related to people in the EU. The GDPR is the main legal instrument of this model, and it establishes a set of principles, rights, and obligations for data protection, as well as a harmonized framework for enforcement and cooperation among EU member states and data protection authorities. The GDPR also aims to ensure consistency with other EU laws and policies, such as the ePrivacy Directive, the Charter of Fundamental Rights, and the European Data Strategy. The European model for data protection is based on the recognition of data protection as a fundamental right and a public interest, and it reflects the EU’s values and objectives of promoting human dignity, democracy, and the rule of law. References:

Data protection in the EU, section “Legislation”

What is GDPR, the EU’s new data protection law?, section “What is the GDPR?”

European Data Protection, Third Edition, page 1, section “Introduction”

European Data Protection: Law and Practice, page 1, section “Introduction”

 The GDPR requires that consent must be freely given, specific, informed and unambiguous1. This means that app developers must provide clear and transparent information about the purposes and legal basis of the data processing, and allow users to choose which types of processing they agree to and which they do not. For example, users should be able to consent separately to different types of cookies, such as functional, analytical or marketing cookies2. Users should also be able to withdraw their consent at any time as easily as they gave it1. Therefore, app design and implementation must take into account these requirements and provide users with granular and user-friendly consent options, rather than relying on pre-ticked boxes, implied consent or default settings3. References: 1 Art. 4 (11) and Art. 7 GDPR – Definitions and Conditions for consent - General Data Protection Regulation (GDPR)2 Guidelines 05/2020 on consent under Regulation 2016/679 - European Data Protection Board3 How To Make Compliant GDPR Consent Forms (With Examples) - Termly.

The right to data portability only applies when the processing is based on the data subject’s consent or on a contract with the data subject12. Therefore, if the processing is necessary for a task carried out in the public interest or in the exercise of official authority vested in the controller, the right to data portability does not apply12. This is because the data subject does not have a direct influence on the purpose or the means of the processing in such cases3. References: 1: Article 20 of the GDPR 2: Right to data portability | ICO 3: The right to data portability (Article 20 of the GDPR)

According to the ePrivacy Directive (2002/58/EC), the use of cookies or similar devices that store or access information on the user’s device requires the user’s consent, unless the cookie is strictly necessary to enable the use of a service requested by the user. For example, a cookie that remembers the items in a shopping cart does not require consent, but a cookie that tracks the user’s browsing behavior for analytics or advertising purposes does. The consent must be freely given, specific, informed, and unambiguous, and can be obtained through appropriate settings of the browser or other application. The consent must also be separate from other consents, such as the consent to the processing of personal data. The categories of data involved or the recipients of the data do not affect the consent requirement for the use of cookies. The consent must also be obtained before the cookie is placed or accessed, unless the cookie is exempted. Therefore, option A is correct.

Option B is incorrect because explicit consent is not required for the use of cookies, unless the cookie also involves the processing of special categories of personal data under the GDPR. However, in this scenario, there is no indication that the cookies collect or process such data. Therefore, option B is incorrect.

Option C is incorrect because the consent requirement for the use of cookies does not depend on the recipients of the data or the level of aggregation of the data. The consent must be obtained from the user whose device is accessed or stored by the cookie, regardless of who receives the data or how it is processed. Therefore, option C is incorrect.

Option D is incorrect because the consent requirement for the use of cookies does not depend on the potential for location tracking. The consent must be obtained for any cookie that is not strictly necessary to enable the use of a service requested by the user, regardless of the type or purpose of the cookie. Therefore, option D is incorrect.

References:

ePrivacy Directive, Article 5(3)

GDPR, Article 4(11), Article 7, Article 9

CIPP/E Study Guide, Chapter 5, Section 5.2.2

Under the GDPR, using CCTV on business premises involves the processing of personal data, which requires compliance with the data protection principles and obligations. However, notifying the appropriate data protection authority (DPA) is not one of the steps that a company should take before using CCTV, unless the DPA has specifically requested it or the CCTV involves high-risk processing that requires prior consultation. The other steps are necessary to ensure GDPR compliance, as explained below:

Performing a data protection impact assessment (DPIA) is a mandatory requirement for any type of processing that is likely to result in a high risk to the rights and freedoms of individuals, such as large-scale or systematic monitoring of public areas. A DPIA is a process that helps identify and mitigate the potential privacy risks of using CCTV, and document the measures taken to address them. A DPIA should include a description of the processing, its purpose and necessity, its risks and benefits, the safeguards and security measures, and the consultation with stakeholders. A DPIA should be carried out before the CCTV system is installed or upgraded, and reviewed regularly or whenever there is a significant change in the processing.

Creating an information retention policy for those who operate the system is a good practice to ensure that the personal data collected by CCTV is not kept longer than necessary for the purpose for which it was collected, and that it is securely deleted or anonymised when no longer needed. The retention period should be determined by the specific purpose and context of using CCTV, and take into account any legal or contractual obligations, as well as the expectations and rights of the data subjects. The retention policy should also specify who is responsible for managing and deleting the CCTV footage, and how the deletion process is verified and documented.

Ensuring that safeguards are in place to prevent unauthorized access to the footage is an essential requirement to comply with the GDPR principle of integrity and confidentiality, which states that personal data must be processed in a manner that ensures appropriate security of the data, including protection against unauthorized or unlawful processing and accidental loss, destruction or damage. The safeguards may include technical and organisational measures, such as encryption, access control, logging, audit, training, policies and procedures, that aim to protect the CCTV footage from unauthorized or unlawful access, disclosure, alteration, or destruction, both during transmission and storage. References: GDPR Article 35, GDPR Article 36, GDPR Article 5, CCTV and video surveillance | ICO, 5 Step Guide to Check if Your CCTV is GDPR Compliant

The GDPR requires that data subjects are provided with certain information when their personal data are collected, either from the data subject themselves or from another source12. This information includes, among other things, the identity and contact details of the controller (and, where applicable, of the controller’s representative and the data protection officer), and the purposes of the processing for which the personal data are intended as well as the legal basis for the processing34. This information is necessary to ensure fair and transparent processing of personal data, and to enable data subjects to exercise their rights under the GDPR5. Therefore, option C is the correct answer, as it contains two of the essential pieces of information that must be provided to data subjects before collecting their personal data. Options A, B and D are incorrect, as they do not include all the required information or include information that is not mandatory. References: 1: Article 13 of the GDPR 2: Article 14 of the GDPR 3: Article 13(1)(a) and © of the GDPR 4: Article 14(1)(a) and © of the GDPR 5: Recital 60 of the GDPR

One of the main reasons why the CJEU invalidated the Privacy Shield was that it found that the US surveillance programs were not limited to what is strictly necessary and proportionate, as required by the EU law. The CJEU also criticized the lack of effective judicial remedies for EU data subjects whose data was accessed by US authorities. The Trans-Atlantic Data Privacy Framework is intended to address these issues by introducing new safeguards to ensure that signals intelligence activities are necessary and proportionate in the pursuit of defined national security objectives, and by creating a new mechanism for EU individuals to seek redress if they believe they are unlawfully targeted by signals intelligence activities. The Framework also enhances the oversight and transparency of US surveillance practices.

References: EU–US Data Privacy Framework - Wikipedia; FACT SHEET: United States and European Commission Announce Trans-Atlantic Data Privacy Framework | The White House; United States and European Commission Joint Statement on Trans-Atlantic Data Privacy Framework; European Commission and United States Joint Statement on Trans-Atlantic Data Privacy Framework; A practical approach to the new Trans-Atlantic Data Privacy Framework.

According to the GDPR, a data breach must be notified to the supervisory authority of the member state where the controller or processor is established, unless the breach is unlikely to result in a risk to the rights and freedoms of natural persons1. The GDPR defines a controller as "the natural or legal person, public authority, agency or other body which, alone or jointly with others, determines the purposes and means of the processing of personal data"2. The GDPR also specifies that a controller or processor is considered to be established in the Union if it has “an effective and real exercise of activity through stable arrangements” in the Union, regardless of its legal form or location of its headquarters3.

In this scenario, Who-R-U is not a controller established in the Union, because it does not have any stable arrangements in the Union that involve the processing of personal data. The company only offers its services to Canadians, and does not target or monitor individuals in the Union. The fact that it has purchased the naming rights for a building in Germany, which comes with a few offices, does not constitute an effective and real exercise of activity in the Union, as the offices do not include any technology or infrastructure for processing personal data, and are only used by executives while traveling internationally. Therefore, Who-R-U is not subject to the GDPR’s data breach notification obligation, and is not required to notify the local German DPA about the laptop theft.

References:

Art. 33 GDPR – Notification of a personal data breach to the supervisory authority

Art. 4 GDPR – Definitions

Art. 3 GDPR – Territorial scope

Guidelines 9/2022 on personal data breach notification under GDPR

Guidelines 3/2018 on the territorial scope of the GDPR

I hope this helps you understand the GDPR and data breach notification better. If you have any other questions, please feel free to ask me. ????

According to the UK GDPR, a processor is a natural or legal person, public authority, agency or other body which processes personal data on behalf of the controller1. A processor must act only on the documented instructions of the controller and must not process the data for its own purposes or in a way that is incompatible with the controller’s purposes1. If a processor makes an independent decision regarding the purposes and means of processing it carries out on behalf of a controller, it will be considered to be a controller in respect of that processing and will be subject to the same obligations and liabilities as a controller under the UK GDPR1. This means that the processor will have to comply with the data protection principles, ensure the rights of data subjects, implement appropriate technical and organisational measures, report data breaches, conduct data protection impact assessments, appoint a data protection officer if required, and cooperate with the supervisory authority1. The processor will also be exposed to the risk of administrative fines, compensation claims, and reputational damage1. References: 1

https://ico.org.uk/for-organisations/uk-gdpr-guidance-and-resources/controllers-and-processors/controllers-and-processors/what-are-controllers-and-processors/

ISO 31700 is an international standard that provides high-level requirements and recommendations for organizations that use privacy by design (PbD) in the development, maintenance and operation of consumer goods and services. PbD is a concept that aims to integrate privacy into products, services and systems by default, following seven main principles: proactive not reactive, privacy as the default, privacy embedded into design, full functionality, end-to-end security, visibility and transparency, and respect for user privacy. PbD is also a legal requirement under many prominent privacy regulations across the world, such as the GDPR. ISO 31700 is based on a consumer-centric approach, where the consumer’s privacy rights and preferences are placed at the center of product development and operation.

References: Meet the new ISO 31700 standard for Privacy by Design (PbD); 7 Steps to Comply with ISO 31700-1:2023; Privacy by Design: Embracing ISO 31700-1:2023’s Consumer Protection Guidelines.

 The General Data Protection Regulation (GDPR) is a data protection law that applies to the processing of personal data of individuals in the European Union (EU) and the European Economic Area (EEA). Personal data is any information relating to an identified or identifiable natural person, such as name, address, email, phone number, etc12. The GDPR does not apply to personal data that is anonymized, meaning that it cannot be linked back to a specific individual12. Anonymization can be achieved by removing or masking any identifying information from the data, such as using pseudonyms, aggregating or generalizing the data, or applying statistical methods12.

Therefore, the type of data that lies beyond the scope of the GDPR is anonymized data.

References: 1: Free CIPP/E Study Guide - International Association of Privacy Professionals 2: CIPP/E Certification - International Association of Privacy Professionals

The General Data Protection Regulation (GDPR) does not prohibit surveillance of employees in the workplace. Still, it requires employers to follow special rules to ensure that the rights and freedoms of employees are protected when processing their personal data. The GDPR applies to any processing of personal data in the context of the activities of an establishment of a controller or a processor in the EU, regardless of whether the processing takes place in the EU or not. The GDPR also applies to the processing of personal data of data subjects who are in the EU by a controller or processor not established in the EU, where the processing activities are related to the offering of goods or services to data subjects in the EU or the monitoring of their behaviour as far as their behaviour takes place within the EU.

The GDPR requires that any processing of personal data must be lawful, fair and transparent, and based on one of the six legal grounds specified in the regulation. The most relevant legal grounds for employee surveillance are the legitimate interests of the employer, the performance of a contract with the employee, or the compliance with a legal obligation. The GDPR also requires that any processing of personal data must be limited to what is necessary for the purposes for which they are processed, and that the data subjects must be informed of the purposes and the legal basis of the processing, as well as their rights and the safeguards in place to protect their data.

The GDPR also imposes specific obligations and restrictions on the processing of special categories of personal data, such as biometric data, which reveal racial or ethnic origin, political opinions, religious or philosophical beliefs, or trade union membership, or which are processed for the purpose of uniquely identifying a natural person. The processing of such data is prohibited, unless one of the ten exceptions listed in the regulation applies. The most relevant exceptions for employee surveillance are the explicit consent of the data subject, the necessity for the purposes of carrying out the obligations and exercising specific rights of the controller or of the data subject in the field of employment and social security and social protection law, or the necessity for reasons of substantial public interest.

The GDPR also sets out the rules and requirements for the transfer of personal data to third countries or international organisations, which do not ensure an adequate level of data protection. The transfer of such data is only allowed if the controller or processor has provided appropriate safeguards, such as binding corporate rules, standard contractual clauses, codes of conduct or certification mechanisms, and if the data subjects have enforceable rights and effective legal remedies.

Based on the scenario, the main problem with the 24/7 camera monitoring is that it has no valid legal basis to be implemented in the context of Gentle Hedgehog’s business. This option is the most consistent with the GDPR’s principles and requirements, as it:

Is not based on a valid legal ground for the processing of personal data, as it does not rely on the legitimate interests of the employer, the performance of a contract with the employee, or the compliance with a legal obligation. The legitimate interests of the employer to ensure the productivity, quality and security of the work performed by the employees must be balanced with the rights and freedoms of the employees, and the 24/7 camera monitoring is likely to be disproportionate and intrusive, especially if it covers non-work-related activities and communications. The performance of a contract with the employee does not justify the 24/7 camera monitoring, as it is not necessary for the fulfilment of the contractual obligations of the employee or the employer. The compliance with a legal obligation does not apply to the 24/7 camera monitoring, as there is no specific law or regulation that requires such a measure in the context of Gentle Hedgehog’s business.

Is not limited to what is necessary for the purposes of the monitoring, as it involves the collection and processing of excessive and irrelevant personal data, such as camera and microphone monitoring, which go beyond the scope of the work performed by the employees, and intrude into their private or personal sphere. The 24/7 camera monitoring is also likely to capture personal data of third parties, such as customers, suppliers or visitors, whose consent is required for the monitoring, and whose rights and freedoms may be affected by the processing.

Is not transparent to the employees, as it does not inform them of the monitoring and its precise scope, and does not give them the opportunity to object or opt out of the monitoring. The monitoring is invisible by default, which means that the employees are not aware of when and how they are being monitored, and what personal data are being collected and processed. The so-called Transparent Mode, which regularly and conspicuously notifies all users about the monitoring and its precise scope, is also insufficient, as it does not provide the employees with a clear and comprehensive information notice, nor with a valid and specific consent form, as required by the GDPR.

Involves the processing of special categories of personal data, such as biometric data or data revealing political opinions or trade union membership, which are not necessary or proportionate for the purposes of the monitoring, and which do not fall under any of the exceptions listed in the regulation. The facial recognition technology used by the monitoring system is a form of biometric data processing, which is prohibited by the GDPR, unless the data subject has given explicit consent, or the processing is necessary for the purposes of carrying out the obligations and exercising specific rights of the controller or of the data subject in the field of employment and social security and social protection law, or the processing is necessary for reasons of substantial public interest. None of these exceptions apply to the scenario, as the facial recognition technology is not used for any of these purposes, but rather for verifying the identity of the employees each time they log in. The camera and microphone monitoring may also capture personal data revealing political opinions or trade union membership, which are also special categories of personal data, and which are not relevant or proportionate for the purposes of the monitoring.

Involves the transfer of personal data to a third country, such as China, which does not provide an adequate level of data protection, and which may pose additional risks for the rights and freedoms of the employees. The monitoring data, including the facial recognition data, are securely stored in Microsoft Azure cloud servers operated by Sauron Eye, which are physically located in France. However, Sauron Eye is a Chinese vendor of employee surveillance software, whose European headquarters is in Germany. This means that the monitoring data may be accessed or transferred by Sauron Eye to its parent company or other affiliates in China, which is a third country that does not ensure an adequate level of data protection, according to the European Commission. The transfer of personal data to China is only allowed if the controller or processor has provided appropriate safeguards, such as binding corporate rules, standard contractual clauses, codes of conduct or certification mechanisms, and if the data subjects have enforceable rights and effective legal remedies. However, the scenario does not indicate that any of these safeguards or remedies are in place, and therefore the transfer of personal data to China may violate the GDPR.

The other options listed in the question are not the main problem with the 24/7 camera monitoring, as they:

Are not directly related to the GDPR’s principles and requirements, but rather to the national laws and regulations of the member states, which may vary depending on the specific context and circumstances of the monitoring. The GDPR does not specify a precise time limit for the operation of the camera monitoring, but leaves it to the national laws and regulations of the member states to determine the appropriate conditions and safeguards for the monitoring, taking into account the nature, scope, context and purposes of the processing, as well as the risks for the rights and freedoms of data subjects. The GDPR also does not require the approval of the trade union or the license from the national DPA for the camera monitoring, but leaves it to the national laws and regulations of the member states to establish the appropriate procedures and mechanisms for the consultation and involvement of the relevant stakeholders, such as the employees, the trade unions, the works councils, the DPAs or the courts.

Are not the main problem with the 24/7 camera monitoring, but rather the consequences or the implications of the main problem, which is the lack of a valid legal basis for the monitoring. The operation of the camera monitoring during non-business hours and employee holidays, or the accidental filming of third parties whose consent is required for the monitoring, are not the main problem, but rather the result of the main problem, which is the excessive and disproportionate collection and processing of personal data, which go beyond the scope of the work performed by the employees, and intrude into their private or personal sphere. The approval of the trade union or the license from the national DPA are not the main problem, but rather the potential solutions or remedies for the main problem, which is the absence of transparency and accountability for the monitoring, which do not inform the employees of the monitoring and its precise scope, and do not give them the opportunity to object or opt out of the monitoring.

References:

GDPR, Articles 5, 6, 7, 8, 9, 10, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 44, 45, 46, 47, 48, and 49.

EDPB Guidelines 3/2019 on processing of personal data through video devices, pages 5, 6, 7, 8, 9, 10, 11, 12, 13, and 14.

[EDPB Guidelines 07/2020 on the concepts of controller and processor in the GDPR]

According to Article 46(2)© of the GDPR, standard contractual clauses adopted by a supervisory authority and approved by the Commission pursuant to the examination procedure referred to in Article 93(2) can be used as a legal basis for data transfers to third countries12. This means that, in addition to the European Commission, national data protection authorities can adopt standard contractual clauses, provided that they meet the conditions and requirements set out in the GDPR and obtain the approval of the Commission. The other options are not correct, as approved data controllers, the Council of the European Union and the European Data Protection Supervisor do not have the power to adopt standard contractual clauses under the GDPR. References: CIPP/E Certification - International Association of Privacy Professionals, Free CIPP/E Study Guide - International Association of Privacy Professionals, GDPR - EUR-Lex, Standard Contractual Clauses (SCC) - European Commission

I hope this helps. If you have any other questions, please let me know. ????.

The NIS2 Directive is the EU’s legislation on cybersecurity that updates and replaces the previous NIS Directive. It aims to create a high common level of cybersecurity across the EU by setting up legal measures for the security of network and information systems used by essential and important entities in various sectors and by enhancing cooperation among the member states. The NIS2 Directive does not establish a common controls framework that every organization must adopt, but rather allows each member state to define the appropriate security measures and incident reporting requirements for the entities under its jurisdiction, taking into account the specificities of each sector and subsector. However, the NIS2 Directive does provide some general principles and objectives for the security measures, such as proportionality, risk-based approach, state of the art, and regular review and update. The NIS2 Directive also introduces minimum harmonised rules for the supervision and enforcement of the security measures and incident reporting obligations, including the possibility of imposing administrative fines.

References:

NIS2 Directive, Articles 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, and 14.

The NIS2 Directive: A high common level of cybersecurity in the EU, pages 1, 2, 3, 4, 5, 6, 7, and 8.

Data adjustment is not a valid basic anonymization technique according to the PDPC’s guide12. Data adjustment refers to the modification of the original data values by adding or subtracting a random amount, or multiplying or dividing by a random factor3. This technique may preserve some statistical properties of the data, but it also introduces errors and inaccuracies that may affect the utility and quality of the data3. Moreover, data adjustment may not sufficiently protect the identity of individuals, as the adjusted data may still be linked or matched with other data sources3. Therefore, data adjustment is not recommended by the PDPC as a basic anonymization technique.

References:

1: GUIDE TO BASIC DATA ANONYMISATION TECHNIQUES Published 25 January 2018 - PDPC 2: GUIDE TO BASIC ANONYMISATION - PDPC 3: Guide to basic anonymisation and free tool from PDPC

According to the E-Commerce Directive 2000/31/EC, the place of establishment for a company providing services via an Internet website is the place where the service provider effectively pursues an economic activity through a fixed establishment for an indefinite period of time. The presence and use of the technical means and technologies required to provide the service do not, in themselves, constitute an establishment of the provider. The place of establishment is determined by the place where the decisions about processing are made, not by the place where the technology supporting the website is located, where the website is accessed, or where the customer’s Internet service provider is located. This is confirmed by the GDPR, which applies to the processing of personal data in the context of the activities of an establishment of a controller or a processor in the EU, regardless of whether the processing takes place in the EU or not. References:

E-Commerce Directive 2000/31/EC, Article 2(a), Recital 191

GDPR, Article 3(1)2

 A lead supervisory authority (LSA) is the main point of contact for organisations that process personal data across multiple EU member states. The LSA is responsible for coordinating cross-border investigations, issuing binding decisions, and enforcing GDPR compliance1. Cross-border processing is the main concern of the LSA, as it involves data processing activities that affect data subjects in more than one member state, or that take place in more than one member state2. The other options are not the main concern of the LSA, as they are either covered by the national supervisory authorities of each member state, or are not specific to cross-border processing. References: Is it possible to choose your lead supervisory authority under the GDPR?, Art. 56 GDPR – Competence of the lead supervisory authority, Navigating GDPR Compliance with a Lead Supervisory Authority, Guidelines 8/2022 on identifying a controller or processor’s lead supervisory authority

According to Article 23 of the GDPR, the scope of the obligations and rights provided for in Articles 12 to 22 and Article 34, as well as Article 5 in so far as its provisions correspond to the rights and obligations provided for in Articles 12 to 22, may be restricted by a legislative measure of a Member State or the Union, when such a restriction respects the essence of the fundamental rights and freedoms and is a necessary and proportionate measure in a democratic society to safeguard certain public interests or the rights and freedoms of others1. However, Article 23 does not include Article 77, which grants the data subject the right to lodge a complaint with a supervisory authority if the data subject considers that the processing of personal data relating to him or her infringes the GDPR2. Therefore, this right cannot be restricted by any legislative measure, as it is essential for the effective judicial protection of the data subject and the enforcement of the GDPR3. References:

Free CIPP/E Study Guide, page 14, section 2.3

GDPR, Article 77

GDPR, Article 23

Guidelines on restrictions of data subject rights under Art. 23 of the GDPR, page 4, section 2

Statement on restrictions on data subject rights in connection to the COVID-19 pandemic, page 2, section 2

Article 82 of the GDPR1234 regulates the right to compensation and liability for any person who has suffered material or non-material damage as a result of an infringement of the GDPR.

Paragraph 4 of Article 821234 states that a controller or processor shall be exempt from liability under paragraph 2 (which holds them liable for the damage caused by processing which infringes the GDPR) if it proves that it is not in any way responsible for the event giving rise to the damage.

Therefore, the right to compensation and liability under the GDPR provides for an exemption from liability if the data controller (or data processor) proves that it is not in any way responsible for the event giving rise to the damage.

References:

1: Art. 82 GDPR – Right to compensation and liability - General Data Protection Regulation (GDPR)

2: Art. 82 GDPR - Right to compensation and liability - GDPR.eu

3: GDPR Article 82: Right to compensation and liability - Advisera

4: Article 82 GDPR | Right to compensation and liability

According to the Free CIPP/E Study Guide, page 14, “the GDPR requires controllers to carry out a data protection impact assessment (DPIA) prior to processing where a type of processing, in particular using new technologies, and taking into account the nature, scope, context and purposes of the processing, is likely to result in a high risk to the rights and freedoms of natural persons.” The GDPR also provides a list of examples of processing operations that require a DPIA, such as “a systematic and extensive evaluation of personal aspects relating to natural persons which is based on automated processing, including profiling, and on which decisions are based that produce legal effects concerning the natural person or similarly significantly affect the natural person” (Article 35(3)(a)). Therefore, the fact that Dynaroux plans to undertake profiling of its customers through analysis of their purchasing patterns would trigger a DPIA under the GDPR, as it involves a systematic and extensive evaluation of personal aspects based on automated processing that may significantly affect the customers. The other options are not necessarily cases where a DPIA is required, although they may involve other obligations under the GDPR, such as obtaining a valid legal basis, providing adequate safeguards, or informing the data subjects. References:

Free CIPP/E Study Guide, page 14

GDPR, Article 35

Pseudonymisation is a method that allows you to switch the original data set (for example, e-mail or a name) with an alias or pseudonym, or, in other words, a value which does not allow the individual to be directly identified1. It is a reversible process that de-identifies data but allows the re-identification later on if necessary1. This is a well-known data management technique highly recommended by the General Data Protection Regulation (GDPR) as one of the data protection methods2. To make personal data pseudonymous, a data controller must separately hold any information that would allow linking the data to the data subject, such as a key or a code, and ensure that this information is kept securely and subject to technical and organisational measures to prevent unauthorised access or re-identification23. The other options are not correct, as they either describe other data protection methods, such as encryption or anonymisation, or do not meet the definition of pseudonymisation under the GDPR. References: Pseudonymization according to the GDPR, Pseudonymisation - Wikipedia, Anonymisation and pseudonymisation | Data Protection Commissioner

The GDPR defines data concerning health as a special category of personal data that is subject to specific processing conditions and safeguards. The GDPR prohibits the processing of such data unless one of the exceptions in Article 9 applies. One of these exceptions is the explicit consent of the data subject, which means that the data subject has given a clear and affirmative indication of their agreement to the processing of their health data. Another exception is when the processing is necessary for reasons of public interest in the area of public health, such as protecting against serious cross-border threats to health or ensuring high standards of quality and safety of health care. A third exception is when the processing is necessary for the purposes of preventive or occupational medicine, for the assessment of the working capacity of the employee, medical diagnosis, the provision of health or social care or treatment or the management of health or social care systems and services. These exceptions are based on the principle of necessity, which means that the processing must be strictly necessary for a specific purpose and cannot be achieved by other means.

In the given scenario, the journalist does not fall under any of these exceptions. The journalist is not a health professional, a public authority, or a person who has obtained the explicit consent of the data subject. The journalist is not processing the data for any legitimate purpose related to public health, medical care, or social protection. The journalist is merely pursuing their own interest in publishing a story that may or may not be in the public interest. The journalist is not respecting the data subject’s rights and freedoms, especially their right to privacy and confidentiality. Therefore, the journalist would be least likely to be allowed to engage in the collection, use, and disclosure of the data subject’s sensitive medical information without their knowledge or consent. References:

Article 4 (15) and Article 9 of the GDPR

Health data | ICO

What does the GDPR mean for personal data in medical reports?

Sensitive data and medical confidentiality - FutureLearn

Health data and data privacy: storing sensitive data under GDPR

The ePrivacy Directive, also known as the Cookie Law, is the EU legislation that regulates the use of cookies and other tracking technologies on websites and mobile applications. The ePrivacy Directive states that the use of cookies on websites and mobile applications is conditioned upon the prior consent of users, unless the cookies are strictly necessary for the provision of the service. Users must also be given clear and comprehensive information about the purposes of the cookies and the means to refuse them. The ePrivacy Directive complements the GDPR, which also applies to the processing of personal data through cookies, but does not specifically address the consent requirement for cookies. The other answer choices are not relevant to the consent requirement for cookies, as they regulate different aspects of the digital economy and society. The E-Commerce Directive establishes the legal framework for online services in the EU, such as information society services, electronic contracts, and liability of intermediaries. The Data Retention Directive requires telecommunication providers to retain certain data for a period of time for the purpose of law enforcement and national security. The EU Cybersecurity Directive aims to enhance the security of network and information systems across the EU, by setting common standards and obligations for operators of essential services and digital service providers. References:

Cookies, the GDPR, and the ePrivacy Directive - GDPR.eu

What is the EU Cookie Law (ePrivacy Directive)? - Cookie Script

EU Cookie Law - Data Protection and Cookies - Cookiebot™

ePrivacy Directive - Regulations - Learn how CookiePro Helps

The EDPB’s Guidelines 8/2020 on the targeting of social media users explain that the legitimate interest legal basis requires passing three cumulative tests: the purpose test, the necessity test, and the balancing test. The purpose test checks whether there is a legitimate interest pursued by the data controller or a third party. The necessity test checks whether the processing is necessary for the purpose identified. The balancing test checks whether the legitimate interest is not overridden by the interests or rights and freedoms of the data subject. The adequacy test is not one of the three tests required by the legitimate interest legal basis. The adequacy test is relevant for data transfers to third countries, not for data processing within the EU.

References:

EDPB Guidelines 8/2020 on the targeting of social media users, Section 3.2.11

GDPR Article 6(1)(f)2

GDPR Recital 472

IAPP CIPP/E Study Guide, Chapter 3, Section 3.2.23

Under GDPR and EU employment law, employee monitoring must comply with the principles of necessity, proportionality, legitimacy, and transparency​.

Legal requirements for employee monitoring:

Necessity: Employers must demonstrate that monitoring is necessary for a legitimate purpose.

Proportionality: The monitoring must be the least intrusive method available.

Transparency: Employees must be fully informed about what is being monitored​.

Why is D the correct answer?

GDPR requires that monitoring must be explicitly communicated and justified.

Employers can monitor work emails, browsing history, and video calls, but only if employees are clearly informed and the purpose is justified​.

Why are other answers incorrect?

A (Monitoring all contractor activity) → Contractors have data protection rights too; monitoring must still be necessary and proportionate.

B (Daily consent requirement) → Employee consent is not valid under GDPR in most cases due to power imbalance​.

C (Monitoring in non-secure environments only) → The location does not determine the lawfulness of monitoring.

Conclusion: The correct answer is D, as only explicitly marked and justified monitoring is lawful under GDPR​.

Consent is one of the legal bases for processing personal data under the GDPR, but it must meet certain conditions to be valid. According to Article 4(11) of the GDPR, consent means “any freely given, specific, informed and unambiguous indication of the data subject’s wishes by which he or she, by a statement or by a clear affirmative action, signifies agreement to the processing of personal data relating to him or her.” In this scenario, consent would not be considered an adequate legal basis for accessing the party zone, because it is not freely given. Freely given consent means that the data subject has a genuine and free choice to agree or disagree to the processing, and that there is no detriment, coercion, or significant negative consequences if the data subject does not consent. However, in this case, the consent is conditional on accessing the party zone, which is the main purpose of the event. Therefore, the data subject does not have a real choice, and may feel pressured or obliged to consent in order to participate in the event. This violates the principle of free consent, and could invalidate the consent as a legal basis.

References:

•GDPR Article 4 - Definitions1

•GDPR Article 7 - Conditions for consent2

•Guidelines 05/2020 on consent under Regulation 2016/6793

According to Article 33 of the GDPR, in the case of a personal data breach, the processor (Provider Y) shall notify the controller (Company X) without undue delay after becoming aware of the breach. The processor does not have the obligation to notify the supervisory authority, the public, or law enforcement, unless otherwise required by law. The controller is responsible for notifying the supervisory authority and, where necessary, the data subjects, unless the breach is unlikely to result in a risk to their rights and freedoms. References:

Article 33 of the GDPR, which regulates the notification of a personal data breach to the supervisory authority.

[Article 34 of the GDPR], which regulates the communication of a personal data breach to the data subject.

ICO guidance, which explains the roles and responsibilities of controllers and processors in relation to data breach notification.

According to the EU glossary1, a directive is a legal act that sets out a goal that EU countries must achieve, but leaves them the choice of form and methods to reach it. A directive is binding on the EU countries to which it is addressed, but it does not apply directly at the national level. Instead, it has to be transposed into national law by the national authorities, usually within a specified time limit. This allows for some flexibility and adaptation to the specific circumstances of each country. A directive is different from a regulation, which is a legal act that applies automatically and uniformly to all EU countries as soon as it enters into force, without needing to be transposed into national law. References:

Free CIPP/E Study Guide, page 14, section 2.3

Types of legislation, section 2

What are EU directives?

The GDPR requires that the information provided to data subjects about the processing of their personal data must be concise, transparent, intelligible and easily accessible, using clear and plain language1. However, this can be challenging when the processing activities are complex, diverse or voluminous. Therefore, a good practice is to use a layered privacy notice, which consists of providing a short notice with the key elements of the privacy information, such as the identity of the controller, the purposes and legal basis of the processing, the recipients of the data, the data subject’s rights, and the contact details of the data protection officer or the supervisory authority. The short notice can then contain links to more detailed information, either by expanding each section or by directing the user to a separate page or document. This way, the user can easily access the information that is most relevant or important to them, without being overwhelmed by a long and complex notice23. A layered privacy notice can be used on websites, in emails, in mobile apps, or in any other medium where space or attention span is limited4. References: 1 Art. 12 GDPR – Transparent information, communication and modalities for the exercise of the rights of the data subject - General Data Protection Regulation (GDPR)2 Layered Notice - International Association of Privacy Professionals3 What methods can we use to provide privacy information? | ICO. 4 Layered Notice - West Virginia.

According to the UK GDPR, consent means “any freely given, specific, informed and unambiguous indication of the data subject’s wishes by which he or she, by a statement or by a clear affirmative action, signifies agreement to the processing of personal data relating to him or her” 1. One of the requirements for consent to be informed is that the data subject should be aware of the identity of the controller who is processing the personal data 2. In this scenario, Ms. Iman only gave consent to Liem to process her personal data for marketing purposes, but she was not informed that JaphSoft, a third-party controller, would also access and process her personal data. Therefore, her consent was not valid in regard to JaphSoft, as she did not know who was processing her personal data and for what purposes. References:

UK GDPR Article 4 (11)

UK GDPR Recital 42

1. A request may be manifestly unfounded or excessive if it has no clear purpose, is clearly frivolous or vexatious, is made repeatedly by the same data subject, or goes beyond what is reasonably necessary to fulfil the data subject’s request2. In such cases, the organisation can either charge a reasonable fee or refuse to act on the request, but it must be able to justify its decision and inform the data subject of the reasons and their right to lodge a complaint with a supervisory authority or a judicial remedy1. The other options are not correct, as they either do not reflect the conditions for charging a fee under the GDPR, or are not relevant to the question. References: Right of access | ICO, Charge for a Data Subject Request GDPR - GDPR Wiki

According to Article 3 of the GDPR, the regulation applies to the processing of personal data in the context of the activities of an establishment of a controller or a processor in the EU, regardless of whether the processing takes place in the EU or not. The regulation also applies to the processing of personal data of data subjects who are in the EU by a controller or processor not established in the EU, where the processing activities are related to the offering of goods or services to such data subjects in the EU or the monitoring of their behaviour as far as their behaviour takes place within the EU. In this case, MagicClean is a controller not established in the EU, and it does not offer services to EU data subjects or monitor their behaviour. Therefore, MagicClean is not subject to the GDPR, even if it uses a processor located in France to optimize its data. The location of the processor does not determine the applicability of the GDPR, but the context of the activities of the controller or the processor and the relationship with the data subjects. References:

Article 3 of the GDPR

IAPP CIPP/E Study Guide, page 14

A data breach is broadly defined as any incident that leads to the unauthorized access, disclosure, alteration, or destruction of personal data. While options A and B might seem plausible at first glance, they focus on a narrow interpretation of a breach.

The key here is the loss of confidentiality and/or integrity. Even though no one has actively stolen the data, the bank can no longer guarantee the confidentiality of the information, nor can it ensure the integrity of the data since it cannot be accessed or modified securely. This constitutes a loss of control over the data and thus qualifies as a data breach.

References:

IAPP CIPP/E textbook, Chapter 5: Data Breach Notification (specifically, the definition of a personal data breach)

GDPR Article 4(12) - Definition of a personal data breach

The purpose limitation principle requires that personal data be collected for specified, explicit and legitimate purposes and not be further processed in a manner that is incompatible with those purposes. However, the GDPR does not provide a clear definition of what constitutes an incompatible purpose. Instead, it leaves room for interpretation by the member states, taking into account the context and circumstances of the processing. This means that the degree of flexibility a controller has in using personal data for a new purpose may vary depending on the member state’s law and guidance. Some factors that may affect the compatibility assessment include the link between the original and the new purpose, the expectations of the data subject, the nature of the data, the impact of the further processing, and the safeguards applied by the controller. References:

GDPR Article 5(1)(b), which states the purpose limitation principle.

GDPR Article 6(4), which lists the criteria for assessing the compatibility of a new purpose.

ICO guidance, which explains the purpose limitation principle and provides examples of compatible and incompatible purposes.

[EDPB guidelines], which provide further guidance on the application of the purpose limitation principle.

According to Article 14 of the GDPR, the data controller must provide the data subject with certain information when collecting personal data from a source other than the data subject1. However, there are some exceptions to this obligation, such as when the data subject already has the information, or when the provision of such information proves impossible or would involve a disproportionate effort2. The latter exception may apply, for example, when the personal data are collected from a large number of sources, or when the personal data are processed for archiving purposes in the public interest, scientific or historical research purposes or statistical purposes3. The data controller must take appropriate measures to protect the data subject’s rights and interests, and make the information publicly available2. References: 1: Art. 14 GDPR – Information to be provided where personal data have not been obtained from the data subject2: Article 14(5)(b) of the GDPR3: Recital 62 of the GDPR.

According to Article 13 of the GDPR, when a controller obtains personal data directly from the data subject, the controller must provide the data subject with certain information about the processing of their data, such as the identity and contact details of the controller, the purposes and legal basis of the processing, the recipients or categories of recipients, the period of storage, the rights of the data subject, the right to lodge a complaint, etc. However, the controller does not have to provide the data subject with the categories of personal data concerned, as this information is already known by the data subject, since they provided the data themselves. This is different from Article 14, which applies when the controller obtains personal data from a source other than the data subject, and requires the controller to inform the data subject of the categories of personal data concerned, as well as the source of the data. References:

Art. 13 GDPR - Information to be provided where personal data are collected from the data subject

Art. 14 GDPR - Information to be provided where personal data have not been obtained from the data subject

Article 13: Information to be provided where personal data are collected from the data subject - GDPR

According to the definition of direct marketing in the context of data protection law, it is personal data processed to communicate a marketing or advertising message. This includes messages from commercial organisations, as well as from charities and political organisations. Therefore, option D is an example of direct marketing that would be subject to European data protection laws, as it involves sending a marketing message by SMS to an individual. The other options are not examples of direct marketing, as they do not involve marketing or advertising messages, but rather information or service messages that are not intended to promote any product or service. References:

[IAPP article on direct marketing (EU specific)]

Lexology article on direct marketing requirements under the GDPR

 According to the CIPP/E study guide, the Data Protection Law Enforcement Directive (LED) is a piece of EU legislation that ensures the protection of personal data of individuals involved in criminal proceedings, be it as witnesses, victims or suspects1. The LED applies to the processing of personal data by competent authorities for the purposes of the prevention, investigation, detection or prosecution of criminal offences or the execution of criminal penalties2. Article 4 of the LED sets out the principles relating to the processing of personal data, which include lawfulness, fairness, purpose limitation, data minimisation, accuracy, storage limitation, integrity and confidentiality3. Article 4 (1) (e) of the LED states that personal data shall be processed lawfully, where processing is necessary for the performance of a task carried out by a competent authority for the purposes of the LED, and where processing is based on Union or Member State law which shall meet an objective of general interest, respect the essence of the right to the protection of personal data and be proportionate to the legitimate aim pursued3. Therefore, a government can carry out covert investigations involving personal data, as long as it is set forth by law and constitutes a measure that is both necessary and proportionate to the objective of general interest, such as the prevention or prosecution of criminal offences. References: 1: CIPP/E study guide, page 1; Data protection in law enforcement2: CIPP/E study guide, page 2; Art. 2 LED3: CIPP/E study guide, page 3; Art. 4 LED.

According to Article 37(2) of the GDPR, a group of undertakings may appoint a single data protection officer (DPO) provided that the DPO is easily accessible from each establishment12. This means that the DPO should be able to communicate effectively with the data subjects and the supervisory authorities in the relevant languages and jurisdictions, and to perform the tasks referred to in Article 39 of the GDPR34. The accessibility of the DPO does not necessarily depend on the physical location of the DPO, but rather on the availability of the DPO to the relevant stakeholders via various means of communication34. Therefore, the DPO does not have to be located in the country where the data controller has its main establishment, nor does the group of undertakings have to obtain approval from a supervisory authority or be comprised of organizations of similar sizes and functions to appoint a single DPO. References: CIPP/E Certification - International Association of Privacy Professionals, Free CIPP/E Study Guide - International Association of Privacy Professionals, GDPR - EUR-Lex, What’s different about a group data protection officer?, Data Protection Officers: What US Companies Need to Know - Cooley

 According to the UK GDPR, the data subject has the right to object, on grounds relating to his or her particular situation, to the processing of personal data concerning him or her which is based on point (e) or (f) of Article 6(1), including profiling based on those provisions1. The controller must stop the processing unless it demonstrates compelling legitimate grounds for the processing which override the interests, rights and freedoms of the data subject or for the establishment, exercise or defence of legal claims1. The WP 29 Guidelines on Automated individual decision-making and Profiling provide some guidance on how to assess the existence of such compelling legitimate grounds2. The controller needs to carry out an exercise that weighs the interests of the controller and the basis for the data subject’s objection, consider the impact of the profiling on the data subject’s interest, rights and freedoms, and consider the importance of the profiling to their particular objective2. However, the controller does not need to demonstrate that the profiling is for the purposes of direct marketing, as this is a separate ground for objection under Article 21(2) of the UK GDPR, which gives the data subject an absolute right to object to such processing13. Therefore, option C is the correct answer, as it is not required by the controller to demonstrate that it has compelling legitimate grounds for profiling. References: 132

https://gdpr.eu/article-21-right-to-object/ https://ico.org.uk/for-organisations-2/guide-to-data-protection/guide-to-the-general-data-protection-regulation-gdpr/individual-rights/right-to-object/

The GDPR allows the transfer of personal data to countries outside of the EEA that do not provide an adequate level of data protection, if appropriate safeguards are provided by the data exporter and the data importer1. One of these safeguards are standard contractual clauses (SCCs) adopted by the European Commission, which are model clauses that impose obligations on both parties to ensure that the transfer complies with the GDPR requirements2. The SCCs also include clauses on the rights of the data subjects, the obligations of the data protection authorities, and the liability and indemnification of the parties3. One of the obligations of the data importer under the SCCs is to warrant that it has no reason to believe that the legislation applicable to it prevents it from fulfilling the instructions received from the data exporter and its obligations under the contract, and that in the event of a change in this legislation which is likely to have a substantial adverse effect on the warranties and obligations provided by the SCCs, it will promptly notify the change to the data exporter as soon as it is aware, in which case the data exporter is entitled to suspend the transfer of data and/or terminate the contract4. Therefore, option D is the correct answer, as it reflects the obligation of the data importer under the SCCs to ensure that local laws do not impede the company from meeting its contractual obligations. Options A, B and C are incorrect, as they are not obligations of the data importer under the SCCs. Option A is not required by the GDPR or the SCCs, as the data importer does not need to submit the contract to its own government authority, unless the law of the country where the data importer is established requires it to do so prior to the transfer or disclosure of personal data5. Option B is not an obligation of the data importer, but of the data exporter, who must provide the data subjects with the information required by Articles 13 and 14 of the GDPR, including the fact that the data will be transferred to a third country and the appropriate safeguards in place6. Option C is not specific to the SCCs, but a general obligation of any controller or processor under the GDPR, who must cooperate with the supervisory authority and make available all information necessary to demonstrate compliance with their obligations7. References: 1: Article 46(1) of the GDPR 2: Standard Contractual Clauses (SCC) - European Commission 3: EU Standard Contractual Clauses (Word documents) 4: Clause 5(a) of the SCCs for the transfer of personal data to third countries pursuant to Regulation (EU) 2016/679 5: Clause 5(b) of the SCCs for the transfer of personal data to third countries pursuant to Regulation (EU) 2016/679 6: Clause 9 of the SCCs for the transfer of personal data to third countries pursuant to Regulation (EU) 2016/679 7: Article 31 of the GDPR

Article 9 of the GDPR prohibits the processing of special category data, which includes biometric data for the purpose of uniquely identifying a natural person1. However, there are 10 exceptions to this general prohibition, usually referred to as ‘conditions for processing special category data’2. These are:

(a) Explicit consent

(b) Employment, social security and social protection (if authorised by law)

© Vital interests

(d) Not-for-profit bodies

(e) Made public by the data subject

(f) Legal claims and judicial acts

(g) Substantial public interest conditions

(h) Health or social care

(i) Public health

(j) Archiving, research and statistics

Option A is not one of these exceptions, and therefore it is not a valid reason to process biometric data under Article 9. Option B, C and D are all valid exceptions, as they correspond to conditions ©, (f) and (a) respectively. Therefore, the correct answer is A.

References:

4: Art. 9 GDPR Processing of special categories of personal data

6: What are the rules on special category data? | ICO

 The Privacy and Electronic Communications Regulations (PECR) are derived from the e-privacy Directive 2002/58/EC, which aims to protect the privacy and confidentiality of users of electronic communications services. The PECR cover various aspects of electronic marketing, such as the use of cookies, unsolicited communications, and traffic and location data. According to the PECR, the following marketing-related activities require the consent of the user or subscriber, unless certain exemptions apply:

The use of cookies or similar technologies to store or access information on the user’s device (Regulation 6).

The sending of electronic mail for direct marketing purposes to individual subscribers who have not given their prior consent (Regulation 22).

The making of unsolicited calls for direct marketing purposes to individual subscribers who have registered their number with the Telephone Preference Service or who have objected to such calls from a specific caller (Regulation 21).

The sending of unsolicited communications for direct marketing purposes by means of electronic mail, fax, or automated calling systems to corporate subscribers, unless they have indicated that they do not wish to receive such communications (Regulation 23).

Therefore, among the four options, the one that is least likely to be covered by the provisions of the PECR is the advertisements passively displayed on a website, as they do not involve the use of cookies, the sending of unsolicited communications, or the processing of traffic or location data. However, such advertisements may still be subject to other data protection laws, such as the GDPR, if they involve the processing of personal data of the users.

References:

PECR

e-privacy Directive

ICO guide to PECR

Under Article 9 of the GDPR, processing of special category data (e.g., ethnicity, health data) is prohibited unless an exception applies​.

Why is C the correct answer?

AI-based medical devices fall under "preventive or occupational medicine" as per GDPR Article 9(2)(h)​.

The AI system is used to detect skin cancer, a form of preventive medicine, making this the appropriate basis.

Why are other answers incorrect?

A (Scientific research or statistical purposes) → While scientific research can be a legal basis, it requires additional safeguards such as anonymization, which may not be feasible in this case​.

B (Substantial public interest) → While public health is important, this processing is specific to medical diagnosis, making Article 9(2)(h) more appropriate​.

D (Defense of legal claims) → Legal claims are not relevant here, as the processing is for bias mitigation in AI training​.

According to the GDPR, consent must be freely given, specific, informed and unambiguous1. However, in the context of employment, there is often an imbalance of power between the employer and the employee, which may affect the validity of consent. The employee may feel pressured or coerced to give consent, or may not be able to withdraw it without negative consequences. Therefore, consent is not a reliable or appropriate legal basis for processing employee data in most cases23. The employer should consider other lawful bases, such as contractual necessity, legal obligation, legitimate interests or specific conditions for special category data45. References: 1 Art. 4 (11) GDPR – Definitions - General Data Protection Regulation (GDPR)2 Can my employer require me to give my consent to use my personal data? | European Commission. 3 When is consent appropriate? | ICO. 4 Art. 6 (1) GDPR – Lawfulness of processing - General Data Protection Regulation (GDPR)5 Art. 9 (2) GDPR – Processing of special categories of personal data - General Data Protection Regulation (GDPR).

According to the GDPR, personal data must be collected for specified, explicit and legitimate purposes and not further processed in a manner that is incompatible with those purposes1. This means that data controllers must inform data subjects about the purposes of data processing and obtain their consent or another lawful basis for any new or different purposes2.

In the scenario, Brady transferred his customers’ personal data to Hermes Designs, a third-party contractor, to fulfill a requested service. However, Hermes Designs used the data for a new purpose that was not disclosed to the customers: creating sample customized banner advertisements and conducting direct marketing. This is a violation of the purpose limitation principle and could expose Brady to legal risks and customer complaints.

Therefore, Brady should be concerned with Hermes Designs’ handling of customer personal data and take appropriate measures to ensure compliance with the GDPR.

I hope this helps. If you have any other questions, please feel free to ask. ????

1: Article 5(1)(b) of the GDPR 2: Article 6(4) of the GDPR

The GDPR applies to the processing of personal data in the context of the activities of an establishment of a controller or a processor in the EU, regardless of whether the processing takes place in the EU or not. The GDPR also applies to the processing of personal data of data subjects who are in the EU by a controller or processor not established in the EU, where the processing activities are related to the offering of goods or services to such data subjects in the EU or the monitoring of their behaviour as far as their behaviour takes place within the EU1. Therefore, after leaving the EU under the terms of Brexit, the UK became a third country for the purposes of the GDPR, meaning that personal data transfers from the EU to the UK are subject to the rules on international data transfers under Chapter V of the GDPR2. In order to ensure the continuity and stability of data flows between the EU and the UK, the UK sought an adequacy decision from the European Commission, which is a formal recognition that a third country provides an equivalent level of data protection to that of the EU3. On 28 June 2021, the European Commission adopted two adequacy decisions in respect of the UK: one for transfers under the GDPR and the other for transfers under the Law Enforcement Directive (LED)4. These decisions allow personal data to flow freely from the EU to the UK without any further safeguard being necessary, and are expected to last until 27 June 2025, unless they are amended, suspended or repealed earlier5. References:

GDPR, Article 3

GDPR, Chapter V

Data protection adequacy for non-EU countries, section “Adequacy decisions”

UK government welcomes the European Commission’s draft data adequacy decisions

Adequacy, section “What does the EU GDPR adequacy decision say?”

Article 30 of the GDPR requires controllers and processors to maintain records of their processing activities, which include information such as the purposes of the processing, the categories of personal data, the recipients of the data, the retention periods, and the security measures12. However, Article 30 does not require controllers to keep records of incidents of personal data breaches, whether disclosed or not. This is a separate obligation under Article 33 and Article 34, which require controllers to notify the supervisory authority and the data subjects of any personal data breach, unless the breach is unlikely to result in a risk to the rights and freedoms of natural persons34. References: 1: Article 30 of the GDPR 2: What do we need to document under Article 30 of the UK GDPR? | ICO 3: Article 33 of the GDPR 4: Article 34 of the GDPR

Section: (none)

Explanation

According to the EDPB Guidelines 8/2022, the lead supervisory authority of a controller is the supervisory authority of the main or single establishment of the controller in the EEA. The main establishment is the place where the controller has its place of central administration in the EEA, unless decisions on the purposes and means of the processing are taken in another establishment in the EEA, and that establishment has the power to implement those decisions. The controller must be able to demonstrate that such an establishment exists. The supervisory authority of the main establishment is the lead supervisory authority, regardless of what the controller has identified as the authority to which data subjects can lodge complaints. Therefore, criterion C is not relevant for identifying the lead supervisory authority of a controller.

References: EDPB Guidelines 8/2022 on identifying a controller or processor’s lead supervisory authority123, paragraphs 19-24.

According to the GDPR, transfers of personal data to third countries or international organisations are only allowed if the controller or processor complies with the conditions laid down in Chapter V of the GDPR1. One of these conditions is the existence of an adequacy decision by the European Commission, which means that the third country or international organisation ensures an adequate level of protection for the personal data2. However, if there is no adequacy decision, the controller or processor must provide appropriate safeguards for the data transfer, such as binding corporate rules (BCR) or standard contractual clauses (SCC)3.

Binding corporate rules (BCR) are internal rules adopted by a group of undertakings or enterprises engaged in a joint economic activity, which define its global policy with regard to the international transfers of personal data within the same corporate group or business partners located in third countries4. BCR must include all the general data protection principles and enforceable rights to ensure appropriate safeguards for the data transfers. They must be legally binding and enforced by every member concerned of the group5. BCR must be approved by the competent supervisory authority in accordance with the consistency mechanism provided by the GDPR6.

Standard contractual clauses (SCC) are sets of contractual terms and conditions that the controller or processor and the recipient of the data agree to apply to the data transfer. SCC are adopted by the European Commission or by a supervisory authority in accordance with the consistency mechanism and are available in the Official Journal of the European Union7. SCC must offer sufficient safeguards on data protection for the data to be transferred internationally8.

In the given scenario, option C is the statement that would help the company make an effective decision between BCR and SCC, as it highlights the main advantage of BCR over SCC, which is the global and comprehensive solution that BCR provide for all the entities of a company that are bound by the intra-group agreement. BCR are especially suitable for large and complex organisations that have frequent and high-volume data transfers within the same corporate group or business partners located in third countries. BCR also offer more flexibility and legal certainty than SCC, as they are tailored to the specific needs and structure of the group and do not require individual contracts for each data transfer.

The other options (A, B, and D) are either incorrect or misleading statements that would not help the company make an effective decision between BCR and SCC. Option A is incorrect, as BCR are not recommended for small and medium companies, but rather for large and complex ones, as explained above. Option B is misleading, as it implies that the data exporter can be located outside the EU for the SCC, which is true, but not relevant for the comparison with BCR, as the data exporter can also be located outside the EU for the BCR, as long as it is subject to the GDPR by virtue of Article 3(2). Option D is also misleading, as it implies that the company will need the prior authorization of all EU data protection authorities for concluding SCC, which is false, as the company will only need the prior authorization of the competent supervisory authority in the Member State where the data exporter is established, unless the SCC are modified or supplemented by additional clauses or safeguards. References:

1: [Article 44 of the GDPR]

2: [Article 45 of the GDPR]

3: [Article 46 of the GDPR]

4: [Article 4 (20) of the GDPR]

5: [Article 47 of the GDPR]

6: [Article 63 of the GDPR]

7: [Article 93 of the GDPR]

8: [Article 46 (2) © and (d) of the GDPR]

: [Binding Corporate Rules (BCR)]

: [Article 3 (2) of the GDPR]

: [Article 46 (3) (a) and (b) of the GDPR]

: [Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, and repealing Directive 95/46/EC (General Data Protection Regulation)]

: [Binding Corporate Rules (BCR) - European Commission]

: [https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32016R0679]

: [https://commission.europa.eu/law/law-topic/data-protection/international-dimension-data-protection/binding-corporate-rules-bcr_en]

: [https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32016R0679]

: [https://commission.europa.eu/law/law-topic/data-protection/international-dimension-data-protection/binding-corporate-rules-bcr_en]

Ben’s collection of additional data from customers, especially sensitive data such as philosophical beliefs and political opinions, created several potential issues for the company, such as:

The risk of violating the data minimization principle, which requires that personal data collected must be adequate, relevant and limited to what is necessary for the purposes of the processing1.

The risk of infringing the rights and freedoms of the data subjects, who may not be aware of or consent to the secondary use of their data by Ben Knows Best, or the unauthorized access and copying of their data by Sam.

The risk of non-compliance with the GDPR’s requirements for processing special categories of data, which include data revealing philosophical beliefs and political opinions. Such data can only be processed under certain conditions, such as explicit consent, substantial public interest, or legal claims2.

The risk of data breaches or losses, as the data is transferred to a separate database, copied by Sam, and stored on the company’s servers in Vermont, which may not have adequate security measures or safeguards.

Therefore, the company would most likely require a data protection impact assessment (DPIA) to identify and mitigate these risks. A DPIA is a process that helps assess the impact of the envisaged processing operations on the protection of personal data, and consult with the supervisory authority if the DPIA indicates that the processing would result in a high risk in the absence of measures taken by the controller to mitigate the risk3. The other options are not necessarily required by the GDPR, although they may be good practices or contractual terms. References:

Free CIPP/E Study Guide, page 32, section 4.1.2

CIPP/E Certification, page 27, section 4.1.2

The Ultimate CIPP/E Study Guide for 2023, page 36, section 4.1.2

Principles - General Data Protection Regulation (GDPR), Article 5

Special categories of personal data - General Data Protection Regulation (GDPR), Article 9

Data protection impact assessment - General Data Protection Regulation (GDPR), Article 35

Section: (none)

Explanation

The GDPR provides more latitude for a company to process data beyond its original collection purpose when the data has been pseudonymized, which means that the data can no longer be attributed to a specific data subject without the use of additional information. Pseudonymization is a technique that reduces the linkability of personal data with the data subject, and enhances the security and privacy of the data processing. According to the GDPR, pseudonymization is one of the measures that can help the company to implement the principles of data protection by design and by default, and to demonstrate compliance with the GDPR obligations. Moreover, the GDPR states that the further processing of pseudonymized data for archiving purposes in the public interest, scientific or historical research purposes or statistical purposes is not considered to be incompatible with the initial purposes, provided that appropriate safeguards are in place to protect the rights and freedoms of the data subjects. Therefore, pseudonymization can enable the company to use the data for other purposes that are beneficial for society or for innovation, without compromising the privacy of the individuals. References:

GDPR, Article 4 (5), Article 5 (1) (b), Article 6 (4) (e), Article 25, Article 32 (1) (a), Article 40 (2) (d), Article 89

Free CIPP/E Study Guide, page 17, section 2.4.1

CIPP/E Certification, page 12, section 1.1.3

Cipp-e Study guides, Class notes & Summaries, document “CIPP/E Exam Summary 2023”, page 45, section 2.4.1

[Pseudonymisation techniques and best practices]

 A layered notice is a privacy notice designed to respond to problems with excessively long notices1. A short notice — the top layer — provides a user with the key elements of the privacy notice, such as the identity of the organisation, the purposes of the processing, and the rights of the data subjects2. The full notice — the bottom layer — covers all the intricacies in full, such as the lawful basis, the retention periods, and the recipients of the personal data2. The ICO recommends using a layered approach to deliver privacy information in a concise, transparent, intelligible, and easily accessible way, as required by the UK GDPR3. A layered notice allows data subjects to access the information they need at the appropriate level of detail and helps organisations to comply with the right to be informed23. References: 2

Louis has the right to object at any time to the use of his data and Bedrock must honor his request to cease use.

The GDPR states that “where personal data are processed for direct marketing purposes, the data subject shall have the right to object at any time to processing of personal data concerning him or her for such marketing” and that “where the data subject objects to processing for direct marketing purposes, the personal data shall no longer be processed for such purposes.”3

This right applies regardless of whether the data subject has previously consented to the use of his or her data, or whether the data are required for a legal claim or a legitimate interest. The data subject must be informed of this right clearly and separately from any other information at the time of the first communication with him or her, and must be provided with an easy way to exercise it.2

Therefore, Louis can object to the use of his data by Bedrock and Accidentable for direct marketing purposes, and they must stop processing his data for such purposes as soon as they receive his objection. Louis can also withdraw his consent for any other processing of his data that he has previously agreed to, such as sharing his data with Bedrock’s affiliates.4

According to the GDPR, pseudonymization is a technique that reduces the linkability of personal data to a specific data subject by replacing identifying attributes with pseudonyms1. Pseudonymization is not a sufficient measure to anonymize personal data, which means that the data cannot be attributed to an identifiable person without additional information2. Pseudonymization can help data controllers and processors to comply with the GDPR principles of data minimization, purpose limitation, and storage limitation, as well as to enhance the security and confidentiality of personal data3.

In this scenario, JaphSoft’s use of pseudonymization is not in compliance with the GDPR because of option C: JaphSoft was in possession of information that could be used to identify data subjects. This is because JaphSoft did not keep the additional information (the contact information) separately from the pseudonymized data (the identifying information), and did not apply technical and organizational measures to prevent the re-identification of the data subjects4. This means that JaphSoft could potentially link the personal data to the individuals, and therefore, the data was not effectively pseudonymized. Moreover, JaphSoft did not have a deletion process for the data it received from clients, which could violate the principle of storage limitation that requires personal data to be kept no longer than necessary for the purposes for which they are processed.

Under the GDPR, the lead supervisory authority is determined by where the main establishment related to the processing activity is located.

In this case, even though the company's headquarters is in Germany, the SaaS application was specifically defined and implemented by the Polish establishment. This indicates that the Polish establishment has the primary role in determining the purposes and means of processing personal data related to that SaaS service. Therefore, the supervisory authority of Poland would be the lead supervisory authority for this specific processing activity.

References:

GDPR Article 56 - Competence of the lead supervisory authority

IAPP CIPP/E textbook, Chapter 3: EU General Data Protection Regulation (specifically, sections on One-Stop Shop mechanism and lead supervisory authority)

 According to Article 5 of the GDPR, personal data must be processed in a manner that ensures appropriate security of the personal data, including protection against unauthorised or unlawful processing and against accidental loss, destruction or damage, using appropriate technical or organisational measures (‘integrity and confidentiality’)1. The company’s decision to install cameras in the entrance of the building, hallways and offices may violate this principle, as it may expose the personal data of the employees and visitors to unnecessary risks, such as hacking, misuse or disclosure. Moreover, the company must also comply with the other principles of data processing, such as lawfulness, fairness and transparency, purpose limitation, data minimisation, accuracy and storage limitation1. The company must have a legitimate and specific purpose for installing the cameras, and must inform the data subjects about the processing of their personal data. The company must also ensure that the cameras collect only the minimum amount of data necessary for the purpose, and that the data are accurate and kept for no longer than necessary. The company must also respect the rights and freedoms of the data subjects, and provide them with the means to exercise their rights, such as the right to access, rectify, erase, restrict, object or port2.

The most realistic step the company could take to address their security concerns and comply with the personal data processing principles set out in Article 5 of the GDPR is to restrict the camera placement to building entrances only. This would limit the scope and impact of the data processing, and reduce the risks to the personal data of the employees and visitors. The company would still need to inform the data subjects about the processing, and ensure that the footage is securely stored and transferred, especially if it is monitored by the home office in the United States, which is a third country that may not offer adequate protection for personal data3. The company would also need to consider the possibility of obtaining the consent of the data subjects, or relying on another legal basis for the processing, such as the legitimate interests of the company or the performance of a contract4. References:

Article 5 of the GDPR

[Article 12-23 of the GDPR]

[Article 44-50 of the GDPR]

[Article 6 of the GDPR]

According to the Article 29 Working Party, a just-in-time notice is a type of privacy notice that provides processing information at specific points of data collection, such as when the user clicks on a certain feature or enters personal data1. This kind of notice is commonly recommended for AI-based technologies because it allows the user to receive relevant and timely information about the processing of their data, without being overwhelmed by lengthy and complex privacy statements1. A just-in-time notice can also be combined with other types of notices, such as layered notices or privacy dashboards, to provide a more comprehensive and user-friendly transparency framework1. Therefore, option C is the correct answer. Option A is incorrect because a privacy dashboard notice is a type of notice that provides the user with a centralised and interactive overview of the processing of their data, and allows them to manage their privacy settings and preferences1. Option B is incorrect because a visualization notice is a type of notice that uses graphical elements, such as icons, symbols, colours, or animations, to convey the processing information in a more intuitive and engaging way1. Option D is incorrect because a layered notice is a type of notice that provides the processing information in a hierarchical and modular way, starting with the most essential information and allowing the user to access more details if they wish1. References:

What’s new in WP29’s final guidelines on transparency?

The General Data Protection Regulation (GDPR) introduces a mechanism for personal data transfers to third countries or international organisations that do not ensure an adequate level of data protection, based on approved certifications. According to Article 42 of the GDPR, the European Commission, the European Data Protection Board (EDPB) and the national data protection authorities (DPAs) shall encourage the establishment of data protection certification mechanisms and of data protection seals and marks, for the purpose of demonstrating compliance with the GDPR of processing operations by controllers and processors. The specific needs of micro, small and medium-sized enterprises shall be taken into account.

The GDPR also provides that the certification mechanisms shall be voluntary and available via a transparent process. The certification shall be issued by the competent supervisory authority or by the certification bodies accredited by the supervisory authority or by the national accreditation body. The certification shall be valid for a maximum period of three years and may be renewed, under the same conditions, if the relevant requirements continue to be met. The certification shall be withdrawn, as the case may be, by the competent supervisory authority or by the certification bodies, where the requirements for the certification are not or are no longer met.

The GDPR further stipulates that the certification shall be issued to a controller or processor who has demonstrated, in accordance with the approved certification criteria, that the processing of personal data is in compliance with the GDPR. The certification shall specify the scope and purpose of the processing, the criteria applied and the duration of the validity of the certification. The certification shall not reduce the responsibility of the controller or the processor for compliance with the GDPR and shall not be interpreted as an endorsement of the quality or reliability of the products or services of the controller or the processor by the supervisory authority or the certification body.

The GDPR also states that the certification mechanisms shall contribute to the proper application of the GDPR, taking account of the specific features of the various processing sectors and the different risks for the rights and freedoms of data subjects. The certification mechanisms shall allow for the verification of compliance with the GDPR of processing operations by controllers and processors not established in the EU, regardless of the location of the processing. The certification mechanisms shall also provide for the possibility to demonstrate compliance with the GDPR for personal data transfers to third countries or international organisations under Article 46, which sets out the rules and requirements for the transfer of personal data to third countries or international organisations based on appropriate safeguards, such as binding corporate rules, standard contractual clauses, codes of conduct or certification mechanisms.

References:

GDPR, Articles 42, 43, 44, 45, 46, 47, 48 and 49.

EDPB Guidelines 1/2018 on certification and identifying certification criteria in accordance with Articles 42 and 43 of the Regulation 2016/679, pages 5, 6, 7, 8, 9, 10, 11, 12, 13, 14 and 15.

Free CIPP/E Study Guide, pages 9, 10, 11 and 12.

The GDPR applies to the processing of personal data of data subjects who are in the EU, regardless of their nationality or residence. This means that non-EU residents who are physically located in the EU are protected by the GDPR, and EU residents who are outside the EU are not. However, this does not mean that non-EU residents who are outside the EU can be asked to waive their GDPR rights by a company that is subject to the GDPR. The GDPR does not allow such waivers, as they would undermine the essence of the fundamental rights and freedoms of data subjects. The GDPR also requires that data subjects are provided with clear and transparent information about the processing of their personal data, and that they give their consent freely, specifically, informedly and unambiguously. A blanket waiver of GDPR rights does not meet these criteria, and would therefore be invalid and unenforceable.

References:

•GDPR Article 3 - Territorial scope1

•GDPR Article 7 - Conditions for consent2

•GDPR Article 25 - Data protection by design and by default3

•GDPR Recital 171 - Relationship with previously concluded agreements4

The GDPR establishes a two-tier system of administrative fines for infringements of its provisions, depending on the nature, gravity, and duration of the infringement, as well as other factors such as the intentional or negligent character of the infringement, the actions taken to mitigate the damage, the degree of co-operation with the supervisory authority, and any previous infringements1. The lower tier of fines can be up to 10 million euros or 2% of the total worldwide annual turnover of the preceding financial year, whichever is higher1. The lower tier of fines applies to infringements of the GDPR relating to the following aspects1:

The obligations of the controller and the processor pursuant to Articles 8, 11, 25 to 39, and 42 and 43;

The obligations of the certification body pursuant to Articles 42 and 43;

The obligations of the monitoring body pursuant to Article 41 (4). The higher tier of fines can be up to 20 million euros or 4% of the total worldwide annual turnover of the preceding financial year, whichever is higher1. The higher tier of fines applies to infringements of the GDPR relating to the following aspects1:

The basic principles for processing, including conditions for consent, pursuant to Articles 5, 6, 7, and 9;

The data subjects’ rights pursuant to Articles 12 to 22;

The transfers of personal data to a recipient in a third country or an international organisation pursuant to Articles 44 to 49;

Any obligations pursuant to Member State law adopted under Chapter IX;

Non-compliance with an order or a temporary or definitive limitation on processing or the suspension of data flows by the supervisory authority pursuant to Article 58 (2) or failure to provide access in violation of Article 58 (1). Therefore, higher fines are assessed for GDPR violations due to violations of a data subject’s rights, as these are among the infringements that fall under the higher tier of fines. Data subjects’ rights are the rights granted to individuals whose personal data are processed by controllers or processors, such as the right to access, rectify, erase, restrict, object, or port their data, as well as the right to be informed, to withdraw consent, and to lodge a complaint1. Violations of these rights can cause significant harm to the data subjects and undermine the objectives of the GDPR. Therefore, option D is the correct answer. References: Art. 83 GDPR – General conditions for imposing administrative fines, Article 83 GDPR - GDPRhub

 According to the GDPR, processors must maintain records of all categories of processing activities carried out on behalf of each controller, containing the following information12:

the name and contact details of the processor or processors and of each controller on behalf of which the processor is acting, and, where applicable, of the controller’s or the processor’s representative, and the data protection officer;

the categories of processing carried out on behalf of each controller;

where applicable, transfers of personal data to a third country or an international organisation, including the identification of that third country or international organisation and, in the case of transfers referred to in the second subparagraph of Article 49(1), the documentation of suitable safeguards;

where possible, a general description of the technical and organisational security measures referred to in Article 32(1).

The records must be in writing, including in electronic form, and must be made available to the supervisory authority on request. The obligation to maintain records does not apply to an enterprise or an organisation employing fewer than 250 persons unless the processing it carries out is likely to result in a risk to the rights and freedoms of data subjects, the processing is not occasional, or the processing includes special categories of data or personal data relating to criminal convictions and offences.

The GDPR does not require processors to include details of any data protection impact assessment (DPIA) conducted in relation to any processing activities carried out by the processor on behalf of each controller for which the processor is acting. A DPIA is a process to help identify and minimise the data protection risks of a project. It is the responsibility of the controller to carry out a DPIA where a type of processing is likely to result in a high risk to the rights and freedoms of natural persons. The processor may assist the controller in carrying out the DPIA, but the processor does not have to document it in its records of processing activities. Therefore, the correct answer is D. References:

GDPR, Article 30(2)

GDPR, Article 35

ICO, Documentation1

ICO, Data protection impact assessments1

 According to the GDPR, a controller is the natural or legal person, public authority, agency or other body which, alone or jointly with others, determines the purposes and means of the processing of personal data1. A processor is a natural or legal person, public authority, agency or other body which processes personal data on behalf of the controller1. The controller and the processor must enter into a contract or other legal act that sets out the subject-matter and duration of the processing, the nature and purpose of the processing, the type of personal data and categories of data subjects and the obligations and rights of the controller2.

In this scenario, BHealthy is the controller for the personal data of its customers, as it determines the purposes and means of the processing, such as conducting research to decide how to market its new line of sunscreens across Europe. Natural Insight is the processor for the personal data that BHealthy shares with it, as it processes the data on behalf of BHealthy for the purpose of determining the price point for the new sunscreens. However, Natural Insight is also a controller for the same personal data when it uses it for its own purpose of improving its machine learning algorithms, which is not part of the contract or legal act with BHealthy. Therefore, Natural Insight is a controller and a processor for the same personal data, depending on the purpose of the processing3.

References:

Art. 4 GDPR – Definitions

Art. 28 GDPR – Processor

Guidelines 07/2020 on the concepts of controller and processor in the GDPR

I hope this helps you understand the GDPR and the controller-processor relationship better. If you have any other questions, please feel free to ask me. ????

The General Data Protection Regulation (GDPR) does not prohibit surveillance of employees in the workplace. Still, it requires employers to follow special rules to ensure that the rights and freedoms of employees are protected when processing their personal data. The GDPR applies to any processing of personal data in the context of the activities of an establishment of a controller or a processor in the EU, regardless of whether the processing takes place in the EU or not. The GDPR also applies to the processing of personal data of data subjects who are in the EU by a controller or processor not established in the EU, where the processing activities are related to the offering of goods or services to data subjects in the EU or the monitoring of their behaviour as far as their behaviour takes place within the EU.

The GDPR requires that any processing of personal data must be lawful, fair and transparent, and based on one of the six legal grounds specified in the regulation. The most relevant legal grounds for employee surveillance are the legitimate interests of the employer, the performance of a contract with the employee, or the compliance with a legal obligation. The GDPR also requires that any processing of personal data must be limited to what is necessary for the purposes for which they are processed, and that the data subjects must be informed of the purposes and the legal basis of the processing, as well as their rights and the safeguards in place to protect their data.

The GDPR also imposes specific obligations and restrictions on the processing of special categories of personal data, such as biometric data, which reveal racial or ethnic origin, political opinions, religious or philosophical beliefs, or trade union membership, or which are processed for the purpose of uniquely identifying a natural person. The processing of such data is prohibited, unless one of the ten exceptions listed in the regulation applies. The most relevant exceptions for employee surveillance are the explicit consent of the data subject, the necessity for the purposes of carrying out the obligations and exercising specific rights of the controller or of the data subject in the field of employment and social security and social protection law, or the necessity for reasons of substantial public interest.

The GDPR also sets out the rules and requirements for the transfer of personal data to third countries or international organisations, which do not ensure an adequate level of data protection. The transfer of such data is only allowed if the controller or processor has provided appropriate safeguards, such as binding corporate rules, standard contractual clauses, codes of conduct or certification mechanisms, and if the data subjects have enforceable rights and effective legal remedies.

Based on the scenario, the only condition under which the surveillance system could be used on the personal devices of employees is if the employees give valid consent and the monitoring is narrowly limited to their professional tasks. This option is the most consistent with the GDPR’s principles and requirements, as it:

Is based on a valid legal ground for the processing of personal data, namely the consent of the data subject, which must be freely given, specific, informed and unambiguous, and which can be withdrawn at any time.

Is limited to what is necessary for the purposes of the monitoring, as it only covers the work-related activities and communications of the employees, and excludes the private or personal ones.

Is transparent to the employees, as it informs them of the monitoring and its precise scope, and gives them the opportunity to object or opt out of the monitoring.

Does not involve the processing of special categories of personal data, such as biometric data or data revealing political opinions or trade union membership, which are not necessary or proportionate for the purposes of the monitoring, and which do not fall under any of the exceptions listed in the regulation.

Does not involve the transfer of personal data to a third country, such as China, which does not provide an adequate level of data protection, and which may pose additional risks for the rights and freedoms of the employees.

The other options listed in the question are not valid conditions for using the surveillance system on the personal devices of employees, as they:

Are not based on a valid legal ground for the processing of personal data, as they either rely on the legitimate interests of the employer, which are not balanced with the rights and freedoms of the employees, or on the compliance with a legal obligation, which does not apply to the use of personal devices.

Are not limited to what is necessary for the purposes of the monitoring, as they involve the collection and processing of excessive and irrelevant personal data, such as camera and microphone monitoring, screen captures, keystrokes, and facial recognition data, which go beyond the scope of the work performed by the employees, and intrude into their private or personal sphere.

Are not transparent to the employees, as they do not inform them of the monitoring and its precise scope, and do not give them the opportunity to object or opt out of the monitoring.

Involve the processing of special categories of personal data, such as biometric data or data revealing political opinions or trade union membership, which are not necessary or proportionate for the purposes of the monitoring, and which do not fall under any of the exceptions listed in the regulation.

Involve the transfer of personal data to a third country, such as China, which does not provide an adequate level of data protection, and which may pose additional risks for the rights and freedoms of the employees.

References:

GDPR, Articles 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 44, 45, 46, 47, 48, and 49.

EDPB Guidelines 3/2019 on processing of personal data through video devices, pages 5, 6, 7, 8, 9, 10, 11, 12, 13, and 14.

EDPB Guidelines 07/2020 on the concepts of controller and processor in the GDPR, pages 19, 20, 21, 22, 23, 24, 25, 26, 27, and 28.

EDPB Guidelines 4/2019 on Article 25 Data Protection by Design and by Default, pages 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, and 28.

EDPB Guidelines 2/2018 on derogations of Article 49 under Regulation 2016/679, pages 4, 5, 6, 7, 8, 9, 10, 11, and 12.

Data protection: GDPR and employee surveilance | Feature | Law Gazette, paragraphs 1, 2, 3, 4, 5, 6, 7, and 8.

 A data sharing agreement is a contract that documents what data is being shared and how it can be used. It can be used to make data sharing lawful and to demonstrate compliance with the accountability principle under the GDPR. A data sharing agreement is most likely to be needed when personal data is being shared between commercial organizations acting as joint data controllers, because they have to determine and agree on their respective roles and responsibilities, such as the purpose and legal basis of the data sharing, the rights of the data subjects, the security measures, and the liability for any breaches. A data sharing agreement is not mandatory, but it is good practice and can help to avoid disputes and confusion. A data sharing agreement may not be needed or may be less detailed in the other scenarios, depending on the circumstances and the nature of the data. For example, anonymized data is not personal data under the GDPR and does not require a data sharing agreement, although it may still be subject to other contractual or ethical obligations. Personal data that is proactively shared by a controller to support a police investigation may be covered by a legal obligation or a public interest, and the controller may not have much control over how the data is used by the police. Personal data that is shared with a public authority with powers to require the personal data to be disclosed may also be subject to a legal obligation or a public interest, and the controller may have to comply with the authority’s request without a data sharing agreement. References:

Data sharing agreements | ICO, which provides guidance on the benefits and contents of a data sharing agreement.

Data Sharing Agreement - the Definition - GDPR Summary, which explains what a data sharing agreement is and when it can be used.

The role of data sharing and the GDPR | Data Republic, which discusses the impact of the GDPR on data sharing practices.

The GDPR is the EU’s general data protection regulation that applies to the processing of personal data by controllers and processors in the EU, regardless of whether the processing takes place in the EU or not. The GDPR also applies to the processing of personal data of data subjects who are in the EU by a controller or processor not established in the EU, where the processing activities are related to the offering of goods or services to data subjects in the EU or the monitoring of their behaviour as far as their behaviour takes place within the EU. The GDPR sets out the principles, rights and obligations for the protection of personal data, as well as the enforcement and cooperation mechanisms among the data protection authorities and the European Data Protection Board.

The Digital Services Act (DSA), the Data Governance Act (DGA) and the Digital Markets Act (DMA) are part of the EU’s digital strategy that aims to create a single market for data and digital services, by supporting responsible access, sharing and re-use of data, while respecting the values of the EU and in particular the protection of personal data. These legal acts do not change or replace the GDPR, but rather complement and reinforce it, by addressing specific issues and challenges related to the digital economy and society. The DSA, the DGA and the DMA explicitly state that they apply without prejudice to the GDPR and that they respect and uphold the fundamental rights and freedoms of individuals, including the right to the protection of personal data.

The DSA is a proposal for a regulation that seeks to harmonise the rules and responsibilities of online intermediaries, such as platforms, hosting services, cloud providers and online marketplaces, in order to ensure a safe and trustworthy online environment for users and businesses. The DSA introduces a set of obligations for online intermediaries, such as transparency, accountability, due diligence, cooperation and reporting, depending on their size, role and impact. The DSA also establishes a new governance and cooperation system among the national authorities and the European Commission, as well as a mechanism for out-of-court dispute resolution.

The DGA is a proposal for a regulation that aims to foster the availability of data for use by increasing trust in data intermediaries and by strengthening data-sharing mechanisms across the EU. The DGA introduces a new legal framework for data sharing services, such as data brokers, data marketplaces, data trusts and data cooperatives, that facilitate data exchange between data holders and data users. The DGA also sets out rules and requirements for data altruism, which is the voluntary consent of individuals or organisations to share data for the common good. The DGA also establishes a new governance model for data sharing in the EU, involving the European Data Innovation Board, the national competent authorities and the European Commission.

The DMA is a proposal for a regulation that intends to limit the power of large online platforms that act as gatekeepers in the digital market, by imposing a set of obligations and prohibitions to prevent unfair practices and ensure fair and open competition. The DMA defines the criteria and the procedure for identifying the gatekeepers, such as search engines, social networks, online marketplaces, app stores and cloud services, that have a significant impact and influence in the digital economy. The DMA also provides for the supervision and enforcement of the rules by the European Commission, as well as the possibility of imposing fines and sanctions for non-compliance.

References:

GDPR, Articles 1, 2, 3, 4, 5, 6, 7, 8, and 9.

DSA, Articles 1, 2, 3, 4, 5, 6, 7, 8, 9, and 10.

DGA, Articles 1, 2, 3, 4, 5, 6, 7, 8, 9, and 10.

DMA, Articles 1, 2, 3, 4, 5, 6, 7, 8, 9, and 10.

The ECHR and the CJEU are part of two different legal systems: the Council of Europe and the European Union, respectively. The ECHR is a treaty that guarantees human rights and fundamental freedoms to individuals within the jurisdiction of its 47 member states. The CJEU is the judicial branch of the EU that ensures the uniform interpretation and application of EU law within its 27 member states. The ECHR can only hear complaints from individuals or states alleging violations of the rights enshrined in the convention, and it can only issue judgments that are binding on the respondent state. The CJEU, on the other hand, can hear cases from individuals, states, EU institutions, or national courts on any matter of EU law, and it can issue rulings that are binding on all EU member states and institutions. The CJEU can also impose sanctions or penalties on states that fail to comply with its judgments or EU law in general. Therefore, the CJEU has more power and authority to enforce EU law than the ECHR has to enforce human rights law. References: CIPP/E Certification, ECHR and the CJEU, The UK, the EU and a British Bill of Rights

The right of access is one of the fundamental rights of data subjects under the GDPR. It allows data subjects to obtain from the controller confirmation as to whether or not personal data concerning them are being processed, and, where that is the case, access to the personal data and certain information about the processing. The controller must provide a copy of the personal data undergoing processing to the data subject, unless the data subject requests otherwise. The right of access is not absolute and may be subject to limitations, restrictions or exceptions, in accordance with the GDPR and the national laws of the member states.

The EDPB has issued draft guidelines on the right of access, which provide more detailed guidance on how to handle data subject access requests and what are the possible grounds for refusing to provide a copy of the personal data. According to the draft guidelines, the controller can refuse to provide a copy of the personal data in the following situations:

If the data subject access request was sent to an employee that is not involved in the processing of such requests. In this case, the controller must inform the data subject of the appropriate contact point for submitting the request and must not consider the request as received until it reaches the designated person or unit. This does not mean that the controller can ignore or delay the request, but rather that the controller must ensure that the request is forwarded to the responsible person or unit as soon as possible.

If there is such a large amount of data that the controller cannot identify the data subject of the request. In this case, the controller can ask the data subject to provide additional information to enable the identification of the data subject, such as a unique identifier, a reference number, a specific time period, a location or a context of the processing. The controller must not ask for more information than is necessary and must not use the information for any other purpose than verifying the identity of the data subject.

If the personal data was processed in the past but is no longer at the controller’s disposal at the time of the request. In this case, the controller must inform the data subject that the personal data are no longer available and explain the reasons why the personal data have been erased, anonymised, archived or otherwise disposed of. The controller must also provide the data subject with any relevant information about the retention period, the archiving policy, the anonymisation process or the disposal method of the personal data.

The controller cannot refuse to provide a copy of the personal data in the following situation:

If the controller is unable to use end-to-end encrypted emails for responding to such requests. In this case, the controller must still provide a copy of the personal data to the data subject, but must ensure that the communication is secure and that the personal data are protected from unauthorised or unlawful access, disclosure, alteration or destruction. The controller can use alternative means of communication, such as secure online platforms, password-protected files, encrypted devices or postal mail, depending on the preferences and circumstances of the data subject. The controller must also inform the data subject of the risks involved in the chosen communication method and obtain the data subject’s consent before sending the personal data.

References:

GDPR, Articles 12, 13, 14, 15, 23 and 34.

EDPB Guidelines 01/2022 on data subject rights - Right of access Version 2, pages 6, 7, 8, 9, 10, 11, 12, 13, 14, 15 and 16.