{"id":18060,"date":"2021-02-09T06:00:21","date_gmt":"2021-02-09T14:00:21","guid":{"rendered":"https:\/\/www.trulioo.com\/?p=18060"},"modified":"2023-08-01T16:27:02","modified_gmt":"2023-08-01T16:27:02","slug":"pipeda","status":"publish","type":"post","link":"https:\/\/www.trulioo.com\/blog\/trust-and-safety\/pipeda","title":{"rendered":"PIPEDA: The evolution of data privacy legislation"},"content":{"rendered":"\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"900\" height=\"600\" src=\"https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA.jpg\" alt=\"PIPEDA\" class=\"wp-image-18066\" srcset=\"https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA.jpg 900w, https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA-740x493.jpg 740w, https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA-48x32.jpg 48w\" sizes=\"(max-width: 900px) 100vw, 900px\" \/><\/figure>\n\n\n\n<p><span style=\"font-weight: 400;\"><\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Canada\u2019s Personal Information Protection and Electronic Documents Act (PIPEDA) became law in 2000, and is the Canadian federal-level law protecting personal information. Broadly speaking, it applies to private-sector businesses that operate in or have impact across more than one province (for example, railways, banks, radio stations). As of November 2020, it\u2019s also joined the ranks of national and local privacy laws facing major overhauls in light of <\/span><a href=\"https:\/\/www.weforum.org\/agenda\/2019\/04\/how-much-data-is-generated-each-day-cf4bddf29f\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">the challenges our increasingly online environment poses<\/span><\/a><span style=\"font-weight: 400;\"> to protecting personal data.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">A few recent examples of countries and areas moving towards a more consumer rights-driven model of privacy legislation include:<\/span><\/p>\n\n\n\n<ul>\n<li><span style=\"font-weight: 400;\">California, where the <\/span><a href=\"https:\/\/www.manatt.com\/insights\/newsletters\/client-alert\/the-california-privacy-rights-act-has-passed\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">California Privacy Rights Act<\/span><\/a><span style=\"font-weight: 400;\"> will take over from the current California Consumer Privacy Act in 2023<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Brazil, where the <\/span><a href=\"https:\/\/iapp.org\/news\/a\/an-overview-of-brazils-lgpd\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Lei Geral de Prote\u00e7\u00e3o de Dados Pessoais<\/span><\/a><span style=\"font-weight: 400;\"> (LGPD) went into effect in 2020<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">New Zealand, where the <\/span><a href=\"https:\/\/www.privacy.org.nz\/blog\/key-changes-in-the-privacy-act-2020\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">latest update to the Privacy Act<\/span><\/a><span style=\"font-weight: 400;\"> from 2020 adds clarity to its extraterritorial application, increases enforcement options, and expands consumer rights<\/span><\/li>\n<\/ul>\n\n\n\n<p><span style=\"font-weight: 400;\">While enforcement varies from region to region, recent cases like the initial $124 million fine levied against the Marriott hotel chain, Capital One\u2019s $80 million, and British Airways\u2019 $26.2 million indicate that governments are increasingly willing to issue fines and empower oversight bodies where self-regulation proves insufficient to protect sensitive data.&nbsp;&nbsp;<\/span><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-pipeda-and-bill-c-11\">PIPEDA and Bill C-11<\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">Canada, as one of the 12 countries benefiting from an <\/span><a href=\"https:\/\/ec.europa.eu\/info\/law\/law-topic\/data-protection\/international-dimension-data-protection\/adequacy-decisions_en\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">adequacy decision<\/span><\/a><span style=\"font-weight: 400;\"> under the EU\u2019s General Data Protection Regulation (GDPR), is <\/span><a href=\"https:\/\/www.mccarthy.ca\/en\/insights\/blogs\/snipits\/parliamentary-committee-recommends-substantial-revisions-pipeda-part-5-adequacy\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">anticipating a reassessment<\/span><\/a><span style=\"font-weight: 400;\"> of that adequacy decision by or before 2022. (An adequacy decision indicates that the EU has determined that a given country\u2019s privacy protections are essentially equivalent to those offered in the EU, and permits cross-border transfers of personal data to that country with no further safeguards required.)&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">A <\/span><a href=\"https:\/\/www.canada.ca\/en\/innovation-science-economic-development\/news\/2020\/11\/new-proposed-law-to-better-protect-canadians-privacy-and-increase-their-control-over-their-data-and-personal-information.html\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">major update to PIPEDA was announced<\/span><\/a><span style=\"font-weight: 400;\"> in November 2020 with the introduction of <\/span><a href=\"https:\/\/parl.ca\/DocumentViewer\/en\/43-2\/bill\/C-11\/first-reading\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Bill C-11<\/span><\/a><span style=\"font-weight: 400;\">, or the Digital Charter Implementation Act (DCIA). The DCIA will pave the way for a number of changes:<\/span><\/p>\n\n\n\n<ul>\n<li><span style=\"font-weight: 400;\">A new private-sector privacy law, the Consumer Privacy Protection Act (CPPA)<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">A Personal Information and Data Protection Tribunal<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">New powers for The Office of the Privacy Commissioner (currently only an advisory body), which will be able to:<\/span>\n<ul>\n<li><span style=\"font-weight: 400;\">Issue binding orders<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Recommend monetary penalties of up to 5% of an organization\u2019s global revenue or $25,000,000 to the Personal Information and Data Protection Tribunal<\/span><\/li>\n<\/ul>\n<\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Expanded consumer rights, which include:&nbsp;<\/span>\n<ul>\n<li><span style=\"font-weight: 400;\">Right to deletion<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Right to withdrawal of consent<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Right to data mobility<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n\n\n\n<p><span style=\"font-weight: 400;\">Bill C-11 also adds a transparency requirement around automated decision-making, similar to that in the GDPR.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">The CPPA will replace substantial portions of PIPEDA, and the parts of PIPEDA that remain will be renamed the Electronic Documents Act. It will also result in minor alterations to other acts, including the Competition Act and the Canada Business Corporations Act.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">This update, with the <\/span><a href=\"https:\/\/www.mondaq.com\/canada\/antitrust-eu-competition-\/896138\/competition-bureau-flexes-muscles-in-the-privacy-sphere?type=mondaqai&amp;score=52\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">Competition Bureau\u2019s recent moves to enforce accuracy in privacy<\/span><\/a><span style=\"font-weight: 400;\"> disclosures, is increasingly bringing Canada into alignment with global developments in privacy.<\/span><br><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-18067 size-full\" src=\"https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA-key-points-for-compliance.jpg\" alt=\"PIPEDA - key points for compliance\" width=\"900\" height=\"450\" srcset=\"https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA-key-points-for-compliance.jpg 900w, https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA-key-points-for-compliance-740x370.jpg 740w, https:\/\/www.trulioo.com\/wp-content\/uploads\/2021\/02\/PIPEDA-key-points-for-compliance-64x32.jpg 64w\" sizes=\"(max-width: 900px) 100vw, 900px\" \/><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-key-points-for-compliance\">Key points for compliance<\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">In line with other recent items of privacy legislation, Bill C-11 targets transparency, consumer rights, de-identification of personal information and consent.<\/span><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-collecting-using-and-retaining-personal-information\"><strong>Collecting, using and retaining personal information<\/strong><\/h4>\n\n\n\n<p><span style=\"font-weight: 400;\">The collection, use and retention of personal information requires express, specific and informed consent at or before collection. Personal information must be limited to the minimum required for the purpose, and retained only for as long as reasonably needed for that purpose, or as otherwise required by law.<\/span><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-accountability\"><strong>Accountability<\/strong><\/h4>\n\n\n\n<p><span style=\"font-weight: 400;\">Organizations must designate someone to be responsible for their privacy compliance, and make contact information for that person readily available on request. Organizations must provide disclosure in plain language, and maintain policies, procedures and staff training to support their compliance with the act. Organizations are responsible for personal information they control, even when that information is processed by service providers. Organizations must protect personal information through physical, organizational, and technological security safeguards.<\/span><\/p>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-consumer-rights\"><strong>Consumer rights<\/strong><\/h4>\n\n\n\n<p><span style=\"font-weight: 400;\">With some exceptions, organizations must respond within 30 days of receiving a request, must provide any necessary support with the request process and can\u2019t charge for responding to requests unless the organization has notified the consumer of the cost, the cost to the consumer is minimal, and the consumer, on being advised, doesn\u2019t withdraw their request.<\/span><\/p>\n\n\n\n<ul>\n<li><span style=\"font-weight: 400;\">Access \u2013 consumers may request access to any personal information an organization holds concerning them, and how that information is being used and disclosed.<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Automated decisioning \u2013 consumers may ask organizations if a prediction, recommendation, or decision about them was made using automated decisioning, and how that prediction, recommendation, or decision was made.<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Challenge compliance \u2013 a consumer may challenge an organization\u2019s compliance with the act.<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Deletion \u2013 a consumer may request deletion of their information.<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Mobility \u2013 consumers may request that an organization disclose their personal information to another organization.<\/span><\/li>\n\n\n\n<li><span style=\"font-weight: 400;\">Withdrawal of consent \u2013 a consumer may withdraw their consent with reasonable notice to the organization.<\/span><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-personal-information-protection-in-the-spotlight\">Personal information protection in the spotlight<\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">With the explosion in data-driven businesses enabled by the internet, personal information is a very valuable commodity. Sufficient information allows businesses to predict what consumers will want to buy, when and where they\u2019re likely to want to buy it \u2014 and even target certain individuals to influence them to want to buy certain products.&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">However, that kind of insight isn\u2019t just coveted by legitimate business. Cyberattacks are helping <\/span><a href=\"https:\/\/www.techrepublic.com\/article\/cybercriminals-raking-in-1-5-trillion-every-year\/\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">criminals to make more than $1.5 trillion<\/span><\/a><span style=\"font-weight: 400;\"> in revenue each year (for comparison, Apple, Amazon, Facebook, Tesla, and Microsoft made a combined total of $761 billion in 2019).&nbsp;<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">To underscore the increasing priority on protecting personal data, as of 2020, 66% of countries worldwide <\/span><a href=\"https:\/\/unctad.org\/page\/data-protection-and-privacy-legislation-worldwide\" target=\"_blank\" rel=\"noopener noreferrer\"><span style=\"font-weight: 400;\">have some form of data protection legislation in place<\/span><\/a><span style=\"font-weight: 400;\">, and a further 10% have draft legislation in progress. While a major focus of these laws is to educate and empower individuals to share their data wisely, a number of governments have been willing to put oversight bodies in place where self-regulation has proven ineffective.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">All in all, organizations are facing growing pressure to be transparent about how they obtain and use personal information, ensure they secure it adequately, and treat the consumers who own that information with consideration and respect. The payoff? Consumer trust, and increased willingness to share that precious resource \u2014 personal information.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"Canada\u2019s Personal Information Protection and Electronic Documents Act (PIPEDA) became law in 2000, and is&#8230;","protected":false},"author":7,"featured_media":18066,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"om_disable_all_campaigns":false,"footnotes":""},"categories":[337],"post-types":[205],"post-topics":[79,143],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.1 (Yoast SEO v22.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>PIPEDA: The evolution of data privacy legislation<\/title>\n<meta name=\"description\" content=\"Canada\u2019s Personal Information Protection and Electronic Documents Act (PIPEDA), the federal law protecting personal information, is facing major overhauls\" 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