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SCENARIO Please use the following to answer the next question: You have just been hired by a toy manufacturer based in Hong Kong. The company sells a broad range of dolls, action figures and plush toys that can be found internationally in a wide variety of retail stores. Although the manufacturer has no offices outside Hong Kong and in fact does not employ any staff outside Hong Kong, it has entered into a number of local distribution contracts. The toys produced by the company can be found in all popular toy stores throughout Europe, the United States and Asia. A large portion of the company's revenue is due to international sales. The company now wishes to launch a new range of connected toys, ones that can talk and interact with children. The CEO of the company is touting these toys as the next big thing, due to the increased possibilities offered: The figures can answer children's Questions: on various subjects, such as mathematical calculations or the weather. Each figure is equipped with a microphone and speaker and can connect to any smartphone or tablet via Bluetooth. Any mobile device within a 10-meter radius can connect to the toys via Bluetooth as well. The figures can also be associated with other figures (from the same manufacturer) and interact with each other for an enhanced play experience. When a child asks the toy a question, the request is sent to the cloud for analysis, and the answer is generated on cloud servers and sent back to the figure. The answer is given through the figure's integrated speakers, making it appear as though that the toy is actually responding to the child's question. The packaging of the toy does not provide technical details on how this works, nor does it mention that this feature requires an internet connection. The necessary data processing for this has been outsourced to a data center located in South Africa. However, your company has not yet revised its consumer-facing privacy policy to indicate this. In parallel, the company is planning to introduce a new range of game systems through which consumers can play the characters they acquire in the course of playing the game. The system will come bundled with a portal that includes a Near-Field Communications (NFC) reader. This device will read an RFID tag in the action figure, making the figure come to life onscreen. Each character has its own stock features and abilities, but it is also possible to earn additional ones by accomplishing game goals. The only information stored in the tag relates to the figures' abilities. It is easy to switch characters during the game, and it is possible to bring the figure to locations outside of the home and have the character's abilities remain intact. What presents the BIGGEST potential privacy issue with the company's practices?




SCENARIO Please use the following to answer the next question: Anna and Frank both work at Granchester University. Anna is a lawyer responsible for data protection, while Frank is a lecturer in the engineering department. The University maintains a number of types of records: Student records, including names, student numbers, home addresses, pre-university information, university attendance and performance records, details of special educational needs and financial information. Staff records, including autobiographical materials (such as curricula, professional contact files, student evaluations and other relevant teaching files). Alumni records, including birthplaces, years of birth, dates of matriculation and conferrals of degrees. These records are available to former students after registering through Granchester's Alumni portal. Department for Education records, showing how certain demographic groups (such as first-generation students) could be expected, on average, to progress. These records do not contain names or identification numbers. Under their security policy, the University encrypts all of its personal data records in transit and at rest. In order to improve his teaching, Frank wants to investigate how his engineering students perform in relational to Department for Education expectations. He has attended one of Anna's data protection training courses and knows that he should use no more personal data than necessary to accomplish his goal. He creates a program that will only export some student data: previous schools attended, grades originally obtained, grades currently obtained and first time university attended. He wants to keep the records at the individual student level. Mindful of Anna's training, Frank runs the student numbers through an algorithm to transform them into different reference numbers. He uses the same algorithm on each occasion so that he can update each record over time. One of Anna's tasks is to complete the record of processing activities, as required by the GDPR. After receiving her email reminder, as required by the GDPR. After receiving her email reminder, Frank informs Anna about his performance database. Ann explains to Frank that, as well as minimizing personal data, the University has to check that this new use of existing data is permissible. She also suspects that, under the GDPR, a risk analysis may have to be carried out before the data processing can take place. Anna arranges to discuss this further with Frank after she has done some additional research. Frank wants to be able to work on his analysis in his spare time, so he transfers it to his home laptop (which is not encrypted). Unfortunately, when Frank takes the laptop into the University he loses it on the train. Frank has to see Anna that day to discuss compatible processing. He knows that he needs to report security incidents, so he decides to tell Anna about his lost laptop at the same time. Anna will find that a risk analysis is NOT necessary in this situation as long as?





Which of the following is one of the supervisory authority's investigative powers?

A.

To notify the controller or the processor of an alleged infringement of the GDPR.

A.

To notify the controller or the processor of an alleged infringement of the GDPR.

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B.

To require that controllers or processors adopt approved data protection certification mechanisms.

B.

To require that controllers or processors adopt approved data protection certification mechanisms.

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C.

To determine whether a controller or processor has the right to a judicial remedy concerning a compensation decision made against them.

C.

To determine whether a controller or processor has the right to a judicial remedy concerning a compensation decision made against them.

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D.

To require data controllers to provide them with written notification of all new processing activities.

D.

To require data controllers to provide them with written notification of all new processing activities.

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Suggested answer: A

Explanation:

According to Article 58 of the GDPR, each supervisory authority has the power to notify the controller or the processor of an alleged infringement of the GDPR as part of its investigative powers. This power allows the supervisory authority to alert the controller or the processor of a possible violation of the GDPR and to initiate further actions if necessary. The notification may also include recommendations or instructions on how to remedy the infringement or prevent further violations.Reference:

Article 58 of the GDPR

European Data Protection Law & Practice textbook, Chapter 9: Supervision and Enforcement, Section 9.2: Supervisory Authorities, Subsection 9.2.2: Powers of Supervisory Authorities

Many businesses print their employees' photographs on building passes, so that employees can be identified by security staff. This is notwithstanding the fact that facial images potentially qualify as biometric data under the GDPR. Why would such practice be permitted?

A.

Because use of biometric data to confirm the unique identification of data subjects benefits from an exemption.

A.

Because use of biometric data to confirm the unique identification of data subjects benefits from an exemption.

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B.

Because photographs qualify as biometric data only when they undergo a "specific technical processing''.

B.

Because photographs qualify as biometric data only when they undergo a "specific technical processing''.

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C.

Because employees are deemed to have given their explicit consent when they agree to be photographed by their employer.

C.

Because employees are deemed to have given their explicit consent when they agree to be photographed by their employer.

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D.

Because photographic ID is a physical security measure which is "necessary for reasons of substantial public interest''.

D.

Because photographic ID is a physical security measure which is "necessary for reasons of substantial public interest''.

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Suggested answer: B

Explanation:

According to Recital 51 of the GDPR, photographs are not automatically considered as biometric data, unless they are processed by a specific technical means that allows the unique identification or authentication of a natural person1. This means that printing employees' photographs on building passes does not necessarily involve biometric data, as long as the photographs are not used for facial recognition or other similar purposes.The other options are incorrect, as they do not reflect the definition of biometric data or the conditions for processing special categories of personal data under the GDPR2.Reference:

Recital 51 of the GDPR

ICO guidance on special category data

Reference https://ess.csa.canon.com/rs/206-CLL-191/images/IAPP-Top-10-Operational-Impacts-of- GDPR.pdf?TC=DM&CN=CSA_OMNIA_Partners&CS=CSA&CR=T1_Gov%20GenNonProfit (11)

A worker in a European Union (EU) member state has ceased his employment with a company. What should the employer most likely do in regard to the worker's personal data?

A.

Destroy sensitive information and store the rest per applicable data protection rules.

A.

Destroy sensitive information and store the rest per applicable data protection rules.

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B.

Store all of the data in case the departing worker makes a subject access request.

B.

Store all of the data in case the departing worker makes a subject access request.

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C.

Securely store the data that is required to be kept under local law.

C.

Securely store the data that is required to be kept under local law.

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D.

Provide the employee the reasons for retaining the data.

D.

Provide the employee the reasons for retaining the data.

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Suggested answer: C

Explanation:

:The GDPR requires that personal data be kept for no longer than is necessary for the purposes for which the personal data are processed1.However, the GDPR also allows member states to provide for more specific rules on the processing of employees' personal data in the employment context, including the retention periods for erasure and deletion of categories of personal data2.Therefore, the employer should securely store the data that is required to be kept under local law, such as tax records, pension records, or health and safety records34.The employer should also ensure that the data is protected from unauthorized or unlawful access, accidental loss, destruction, or damage1.The employer should not store the data for longer than necessary or for purposes other than those for which the data was collected, unless the employee has given consent or there is another legal basis for doing so13.Reference:1: Article 5 of the GDPR2: Article 88 of the GDPR3: Data Protection and GDPR in the Workplace | Factsheets | CIPD4: How to Manage the Retention of Employee Data | GDPR Blog

Which of the following is NOT a role of works councils?

A.

Determining the monetary fines to be levied against employers for data breach violations of employee data.

A.

Determining the monetary fines to be levied against employers for data breach violations of employee data.

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B.

Determining whether to approve or reject certain decisions of the employer that affect employees.

B.

Determining whether to approve or reject certain decisions of the employer that affect employees.

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C.

Determining whether employees' personal data can be processed or not.

C.

Determining whether employees' personal data can be processed or not.

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D.

Determining what changes will affect employee working conditions.

D.

Determining what changes will affect employee working conditions.

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Suggested answer: A

Explanation:

Works councils are employee representative bodies that exist in some European countries, such as Germany, France, Spain and Italy. They have various roles and powers depending on the national laws and collective agreements, but generally they aim to protect and promote the interests of the employees in relation to the employer. Some of the common roles of works councils are:

Determining whether to approve or reject certain decisions of the employer that affect employees, such as transfers, dismissals, redundancies, working hours, health and safety, etc.

Determining whether employees' personal data can be processed or not, based on the principle of co-determination, which means that the employer needs the consent of the works council for any data processing that involves employee monitoring, evaluation or control.

Determining what changes will affect employee working conditions, such as wages, benefits, training, social facilities, etc.

However, works councils do not have the role of determining the monetary fines to be levied against employers for data breach violations of employee data. This is the role of the data protection authorities, which are independent public bodies that supervise, through investigative and corrective powers, the application of the data protection law. Works councils may cooperate with the data protection authorities or file complaints on behalf of the employees, but they do not have the authority to impose sanctions on the employers.Reference:Free CIPP/E Study Guide, page 27;CIPP/E Certification, page 13.

Under the Data Protection Law Enforcement Directive of the EU, a government can carry out covert investigations involving personal data, as long it is set forth by law and constitutes a measure that is both necessary and what?

A.

Prudent.

A.

Prudent.

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B.

Important.

B.

Important.

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C.

Proportionate.

C.

Proportionate.

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D.

DPA-approved.

D.

DPA-approved.

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Suggested answer: C

Explanation:

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.Reference: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.

Which GDPR requirement will present the most significant challenges for organizations with Bring Your Own Device (BYOD) programs?

A.

Data subjects must be sufficiently informed of the purposes for which their personal data is processed.

A.

Data subjects must be sufficiently informed of the purposes for which their personal data is processed.

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B.

Processing of special categories of personal data on a large scale requires appointing a DPO.

B.

Processing of special categories of personal data on a large scale requires appointing a DPO.

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C.

Personal data of data subjects must always be accurate and kept up to date.

C.

Personal data of data subjects must always be accurate and kept up to date.

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D.

Data controllers must be in control of the data they hold at all times.

D.

Data controllers must be in control of the data they hold at all times.

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Suggested answer: D

Explanation:

According to theFree CIPP/E Study Guide, page 12, "the GDPR requires data controllers to implement appropriate technical and organizational measures to ensure and to be able to demonstrate that processing is performed in accordance with the GDPR. These measures should take into account the nature, scope, context and purposes of processing as well as the risks of varying likelihood and severity for the rights and freedoms of natural persons." The GDPR also requires data controllers to ensure the security of personal data, to notify data breaches to the supervisory authorities and data subjects, and to cooperate with the supervisory authorities in providing any information necessary for the performance of their tasks. Therefore, the GDPR requirement that data controllers must be in control of the data they hold at all times will present the most significant challenges for organizations with BYOD programs, as they will have to deal with the increased risks of data loss, theft, unauthorized access, or misuse that may arise from the use of personal devices by employees or contractors. The other options are not necessarily more challenging for organizations with BYOD programs, 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 12

GDPR, Articles 24, 25, 28, 32, 33, 34 and 58

A company in France suffers a robbery over the weekend owing to a faulty alarm system. When it is determined that the break-in involves the loss of a substantial amount of data, the company decides on a CCTV system to monitor for future incidents. Company technicians install cameras in the entrance of the building, hallways and offices. Footage is recorded continuously, and is monitored by the home office in the United States. What is 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?

A.

Seek informed consent from company employees.

A.

Seek informed consent from company employees.

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B.

Have cameras recording during work hours only.

B.

Have cameras recording during work hours only.

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C.

Retain captured footage for no more than 30 days.

C.

Retain captured footage for no more than 30 days.

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D.

Restrict camera placement to building entrances only.

D.

Restrict camera placement to building entrances only.

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Suggested answer: D

Explanation:

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.Reference:

Article 5 of the GDPR

[Article 12-23 of the GDPR]

[Article 44-50 of the GDPR]

[Article 6 of the GDPR]

Which of the following is an example of direct marketing that would be subject to European data protection laws?

A.

An updated privacy notice sent to an individual's personal email address.

A.

An updated privacy notice sent to an individual's personal email address.

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B.

A charity fundraising event notice sent to an individual at her business address.

B.

A charity fundraising event notice sent to an individual at her business address.

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C.

A service outage notification provided to an individual by recorded telephone message.

C.

A service outage notification provided to an individual by recorded telephone message.

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D.

A revision of contract terms conveyed to an individual by SMS from a marketing organization.

D.

A revision of contract terms conveyed to an individual by SMS from a marketing organization.

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Suggested answer: D

Explanation:

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.Reference:

[IAPP article on direct marketing (EU specific)]

Lexology article on direct marketing requirements under the GDPR

Article 9 of the GDPR lists exceptions to the general prohibition against processing biometric data. Which of the following is NOT one of these exceptions?

A.

The processing is done by a non-profit organization and the results are disclosed outside the organization.

A.

The processing is done by a non-profit organization and the results are disclosed outside the organization.

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B.

The processing is necessary to protect the vital interests of the data subject when he or she is incapable of giving consent.

B.

The processing is necessary to protect the vital interests of the data subject when he or she is incapable of giving consent.

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C.

The processing is necessary for the establishment, exercise or defense of legal claims when courts are acting in a judicial capacity.

C.

The processing is necessary for the establishment, exercise or defense of legal claims when courts are acting in a judicial capacity.

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D.

The processing is explicitly consented to by the data subject and he or she is allowed by Union or Member State law to lift the prohibition.

D.

The processing is explicitly consented to by the data subject and he or she is allowed by Union or Member State law to lift the prohibition.

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Suggested answer: A

Explanation:

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.

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

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

Which marketing-related activity is least likely to be covered by the provisions of Privacy and Electronic Communications Regulations (Directive 2002/58/EC)?

A.

Advertisements passively displayed on a website.

A.

Advertisements passively displayed on a website.

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B.

The use of cookies to collect data about an individual.

B.

The use of cookies to collect data about an individual.

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C.

A text message to individuals from a company offering concert tickets for sale.

C.

A text message to individuals from a company offering concert tickets for sale.

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D.

An email from a retail outlet promoting a sale to one of their previous customer.

D.

An email from a retail outlet promoting a sale to one of their previous customer.

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Suggested answer: A

Explanation:

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.

PECR

e-privacy Directive

ICO guide to PECR

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