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IAPP Certified Information Privacy Professional/Europe (CIPP/E) Sample Questions (Q276-Q281):
NEW QUESTION # 276
SCENARIO
Please use the following to answer the next question:
Joe started the Gummy Bear Company in 2000 from his home in Vermont, USA. Today, it is a multi-billion-dollar candy company operating in every continent. All of the company's IT servers are located in Vermont. This year Joe hires his son Ben to join the company and head up Project Big, which is a major marketing strategy to triple gross revenue in just 5 years. Ben graduated with a PhD in computer software from a top university. Ben decided to join his father's company, but is also secretly working on launching a new global online dating website company called Ben Knows Best.
Ben is aware that the Gummy Bear Company has millions of customers and believes that many of them might also be interested in finding their perfect match. For Project Big, Ben redesigns the company's online web portal and requires customers in the European Union and elsewhere to provide additional personal information in order to remain a customer. Project Ben begins collecting data about customers' philosophical beliefs, political opinions and marital status.
If a customer identifies as single, Ben then copies all of that customer's personal data onto a separate database for Ben Knows Best. Ben believes that he is not doing anything wrong, because he explicitly asks each customer to give their consent by requiring them to check a box before accepting their information. As Project Big is an important project, the company also hires a first year college student named Sam, who is studying computer science to help Ben out.
Ben calls out and Sam comes across the Ben Knows Best database. Sam is planning on going to Ireland over Spring Beak with 10 of his friends, so he copies all of the customer information of people that reside in Ireland so that he and his friends can contact people when they are in Ireland.
Joe also hires his best friend's daughter, Alice, who just graduated from law school in the U.S., to be the company's new General Counsel. Alice has heard about the GDPR, so she does some research on it. Alice approaches Joe and informs him that she has drafted up Binding Corporate Rules for everyone in the company to follow, as it is important for the company to have in place a legal mechanism to transfer data internally from the company's operations in the European Union to the U.S.
Joe believes that Alice is doing a great job, and informs her that she will also be in-charge of handling a major lawsuit that has been brought against the company in federal court in the U.S. To prepare for the lawsuit, Alice instructs the company's IT department to make copies of the computer hard drives from the entire global sales team, including the European Union, and send everything to her so that she can review everyone's information. Alice believes that Joe will be happy that she did the first level review, as it will save the company a lot of money that would otherwise be paid to its outside law firm.
The data transfer mechanism that Alice drafted violates the GDPR because the company did not first get approval from?
Answer: B
NEW QUESTION # 277
Which of the following is NOT an explicit right granted to data subjects under the GDPR?
Answer: B
NEW QUESTION # 278
There are three domains of security covered by Article 32 of the GDPR that apply to both the controller and the processor. These include all of the following EXCEPT?
Answer: C
Explanation:
A: Consent management and withdrawal. Article 32 of the GDPR requires the controller and the processor to implement appropriate technical and organizational measures to ensure a level of security appropriate to the risk of the processing. These measures should take into account the state of the art, the costs of implementation, the nature, scope, context and purposes of processing, and the risks of varying likelihood and severity for the rights and freedoms of natural persons. The three domains of security covered by Article 32 are:
* Preventative security: This refers to the measures that aim to prevent or reduce the likelihood of security incidents, such as unauthorized or unlawful access, disclosure, alteration, loss or destruction of personal data. Examples of preventative security measures include encryption, pseudonymization, access control, firewalls, antivirus software, etc.
* Incident detection and response: This refers to the measures that aim to detect, analyze, contain, eradicate and recover from security incidents, as well as to notify the relevant authorities and data subjects, and to document the facts and actions taken. Examples of incident detection and response measures include security monitoring, logging, auditing, incident response plans, breach notification procedures, etc.
* Remedial security: This refers to the measures that aim to restore the availability and access to personal data in a timely manner in the event of a physical or technical incident, as well as to mitigate the adverse effects of security incidents on the data subjects. Examples of remedial security measures include backup, disaster recovery, business continuity, compensation, etc.
Consent management and withdrawal is not a domain of security covered by Article 32, but rather a requirement for the lawfulness of processing based on consent under Article 6(1)(a) and Article 7 of the GDPR. Consent management and withdrawal involves obtaining, recording, updating and revoking the consent of data subjects for specific purposes of processing, as well as informing them of their right to withdraw their consent at any time. References: Free CIPP/E Study Guide, page 35; CIPP/E Certification, page 17; GDPR, Article 32, Article 6(1)(a), Article 7.
NEW QUESTION # 279
A grade school is planning to use facial recognition to track student attendance. Which of the following may provide a lawful basis for this processing?
Answer: B
Explanation:
Reference:
The use of facial recognition technology to track student attendance involves the processing of biometric data, which is a special category of personal data under the GDPR. Such data can only be processed under certain conditions, one of which is the explicit consent of the data subject1. Therefore, the school may provide a lawful basis for this processing if it obtains the explicit consent of the students (or their legal guardians, if the students are minors). The consent must be freely given, specific, informed and unambiguous, and the students must have the right to withdraw their consent at any time2. The other options do not provide a lawful basis for this processing, as they do not meet the requirements for processing special categories of data. Placing a notice near each camera does not constitute consent, nor does it comply with the transparency principle3. Processing for the legitimate interests of the school may be a valid basis for processing personal data in general, but not for processing biometric data, unless it is authorised by a specific law that provides suitable safeguards4. A state law that requires facial recognition to verify attendance may also be a valid basis for processing personal data in general, but not for processing biometric data, unless it is necessary for reasons of substantial public interest and provides suitable safeguards5. Reference:
Free CIPP/E Study Guide, page 24, section 3.2
CIPP/E Certification, page 19, section 3.2
Cipp-e Study guides, Class notes & Summaries, page 17, section 3.2
Special categories of personal data - General Data Protection Regulation (GDPR), Article 9 Consent - General Data Protection Regulation (GDPR), Article 7 Principles - General Data Protection Regulation (GDPR), Article 5 Lawfulness of processing - General Data Protection Regulation (GDPR), Article 6 Special categories of personal data - General Data Protection Regulation (GDPR), Article 9
NEW QUESTION # 280
SCENARIO
Please use the following to answer the next question:
Dynaroux Fashion ('Dynaroux') is a successful international online clothing retailer that employs approximately 650 people at its headquarters based in Dublin, Ireland. Ronan is their recently appointed data protection officer, who oversees the company's compliance with the General Data Protection Regulation (GDPR) and other privacy legislation.
The company offers both male and female clothing lines across all age demographics, including children. In doing so, the company processes large amounts of information about such customers, including preferences and sensitive financial information such as credit card and bank account numbers.
In an aggressive bid to build revenue growth, Jonas, the CEO, tells Ronan that the company is launching a new mobile app and loyalty scheme that puts significant emphasis on profiling the company's customers by analyzing their purchases. Ronan tells the CEO that: (a) the potential risks of such activities means that Dynaroux needs to carry out a data protection impact assessment to assess this new venture and its privacy implications; and (b) where the results of this assessment indicate a high risk in the absence of appropriate protection measures, Dynaroux may have to undertake a prior consultation with the Irish Data Protection Commissioner before implementing the app and loyalty scheme.
Jonas tells Ronan that he is not happy about the prospect of having to directly engage with a supervisory authority and having to disclose details of Dynaroux's business plan and associated processing activities.
Which of the following facts about Dynaroux would trigger a data protection impact assessment under the GDPR?
Answer: D
Explanation:
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. Reference:
Free CIPP/E Study Guide, page 14
GDPR, Article 35
NEW QUESTION # 281
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