IAPP CIPP-E Certified Information Privacy Professional/Europe Exam Practice Test

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Total 295 questions
Question 1

When would a data subject NOT be able to exercise the right to portability?



Question 2

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?



Question 3

SCENARIO

Please use the following to answer the next question:

Brady is a computer programmer based in New Zealand who has been running his own business for two years. Brady's business provides a low-cost suite of services to customers throughout the European Economic Area (EEA). The services are targeted towards new and aspiring small business owners. Brady's company, called Brady Box, provides web page design services, a Social Networking Service (SNS) and consulting services that help people manage their own online stores.

Unfortunately, Brady has been receiving some complaints. A customer named Anna recently uploaded her plans for a new product onto Brady Box's chat area, which is open to public viewing. Although she realized her mistake two weeks later and removed the document, Anna is holding Brady Box responsible for not noticing the error through regular monitoring of the website. Brady believes he should not be held liable.

Another customer, Felipe, was alarmed to discover that his personal information was transferred to a third- party contractor called Hermes Designs and worries that sensitive information regarding his business plans may be misused. Brady does not believe he violated European privacy rules. He provides a privacy notice to all of his customers explicitly stating that personal data may be transferred to specific third parties in fulfillment of a requested service. Felipe says he read the privacy notice but that it was long and complicated

Brady continues to insist that Felipe has no need to be concerned, as he can personally vouch for the integrity of Hermes Designs. In fact, Hermes Designs has taken the initiative to create sample customized banner advertisements for customers like Felipe. Brady is happy to provide a link to the example banner ads, now posted on the Hermes Designs webpage. Hermes Designs plans on following up with direct marketing to these customers.

Brady was surprised when another customer, Serge, expressed his dismay that a quotation by him is being used within a graphic collage on Brady Box's home webpage. The quotation is attributed to Serge by first and last name. Brady, however, was not worried about any sort of litigation. He wrote back to Serge to let him know that he found the quotation within Brady Box's Social Networking Service (SNS), as Serge himself had posted the quotation. In his response, Brady did offer to remove the quotation as a courtesy.

Despite some customer complaints, Brady's business is flourishing. He even supplements his income through online behavioral advertising (OBA) via a third-party ad network with whom he has set clearly defined roles. Brady is pleased that, although some customers are not explicitly aware of the OBA, the advertisements contain useful products and services.

Under the General Data Protection Regulation (GDPR), what is the most likely reason Serge may have grounds to object to the use of his quotation?



Answer : C

The GDPR defines personal data as ''any information relating to an identified or identifiable natural person'' (Article 4(1)). This includes names, quotations, and any other data that can be linked to a specific individual. The GDPR also requires that personal data be processed lawfully, fairly, and transparently, and that it be collected for specified, explicit, and legitimate purposes (Article 5(1)). Furthermore, the GDPR grants data subjects the right to object to the processing of their personal data for direct marketing purposes or for the purposes of the legitimate interests of the controller or a third party (Article 21).

In this scenario, Serge may have grounds to object to the use of his quotation on Brady Box's home webpage, as it constitutes the processing of his personal data outside of the original purpose for which it was collected. Serge posted the quotation on Brady Box's SNS, which is a separate service from Brady Box's web page design service. By using the quotation on the home webpage, Brady Box is processing Serge's personal data for a different purpose than the one for which Serge provided it, and without his consent or a legitimate interest. This may violate the principles of purpose limitation and lawfulness under the GDPR. Moreover, Serge may object to the use of his quotation as it implies his endorsement of Brady Box's service, which may affect his reputation or interests.

The other options are less likely to be valid grounds for objection, as they are not directly related to the GDPR's provisions on personal data protection. The misrepresentation of personal data as an endorsement may be a matter of contract law or consumer protection law, but not necessarily a GDPR issue. The juxtaposition of the quotation with others' quotations may not affect Serge's rights or interests, unless it creates a false or misleading impression of his views or opinions. The misapplication of the household exception in relation to a SNS may not apply in this case, as the household exception only covers the processing of personal data by a natural person in the course of a purely personal or household activity (Article 2(2)). Serge's posting of the quotation on a SNS may not qualify as a purely personal or household activity, as it involves the disclosure of personal data to a wider audience.


GDPR

GDPR and social media

How does GDPR affect social media marketing?

Data Protection & Social Media: How GDPR Influences Today's Social Media Marketing

Question 4

According to the Personal Data Protection Commission's (PDPC) "Guide to basic data anonymization techniques," recently adopted by the Spanish

Data Protection Agency, which of the following is NOT a valid basic anonymization technique?



Answer : C

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.


1: GUIDE TO BASIC DATA ANONYMISATION TECHNIQUES Published 25 January 2018 - PDPC2: GUIDE TO BASIC ANONYMISATION - PDPC3: Guide to basic anonymisation and free tool from PDPC

Question 5
Question 6

When hiring a data processor, which action would a data controller NOT be able to depend upon to avoid liability in the event of a security breach?



Answer : C

The GDPR imposes several obligations on data controllers when they engage data processors to process personal data on their behalf.One of these obligations is to ensure that the contract or other legal act between the controller and the processor stipulates that the processor must assist the controller in complying with its obligations under the GDPR, including the obligation to notify personal data breaches to the competent supervisory authority and, where applicable, to the affected data subjects1. However, this does not mean that the processor can directly notify the supervisory authority without the involvement of the controller.The GDPR clearly states that it is the controller's responsibility to notify the supervisory authority without undue delay and, where feasible, not later than 72 hours after having become aware of the breach2.The processor must only notify the controller without undue delay after becoming aware of the breach3. Therefore, requiring that the processor directly notify the appropriate supervisory authority is not an action that a data controller can depend upon to avoid liability in the event of a security breach, as it would be contrary to the GDPR and the controller's own obligation.Options A, B and D are actions that a data controller can take to reduce the risk of liability, as they demonstrate that the controller has exercised due diligence, assessed the potential impact of outsourcing, and chosen a reliable and compliant processor.Reference:1: Article 28(3)(f) of the GDPR2: Article 33(1) of the GDPR3: Article 33(2) of the GDPR


Question 7

A company is located in a country NOT considered by the European Union (EU) to have an adequate level of data protection. Which of the following is an obligation of the company if it imports personal data from another organization in the European Economic Area (EEA) under standard contractual clauses?



Answer : D

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.Reference:1: Article 46(1) of the GDPR2:Standard Contractual Clauses (SCC) - European Commission3: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) 2016/6795: Clause 5(b) of the SCCs for the transfer of personal data to third countries pursuant to Regulation (EU) 2016/6796: Clause 9 of the SCCs for the transfer of personal data to third countries pursuant to Regulation (EU) 2016/6797: Article 31 of the GDPR


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Total 295 questions