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General Data Protection Regulation (GDPR)

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Definition

The General Data Protection Regulation (GDPR) is a comprehensive data protection law in the European Union that went into effect on May 25, 2018. It aims to give individuals greater control over their personal data and to simplify the regulatory environment for international business by unifying data protection regulations across the EU. This regulation emphasizes the importance of privacy and confidentiality in handling personal information, requiring organizations to implement strict measures to protect user data and ensure transparency in data processing activities.

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5 Must Know Facts For Your Next Test

  1. GDPR applies to all organizations that process personal data of EU residents, regardless of where the organization is based.
  2. Individuals have several rights under GDPR, including the right to access their personal data, the right to have inaccuracies corrected, and the right to request deletion of their data.
  3. Organizations must appoint a Data Protection Officer (DPO) if they process large amounts of sensitive personal data or if their core activities involve regular monitoring of individuals.
  4. GDPR imposes significant fines for non-compliance, which can reach up to €20 million or 4% of the company's global annual revenue, whichever is higher.
  5. Under GDPR, explicit consent must be obtained from individuals before processing their personal data, and organizations must provide clear information about how their data will be used.

Review Questions

  • How does GDPR enhance individual rights regarding personal data compared to previous regulations?
    • GDPR significantly enhances individual rights by providing more robust protections and clearer guidelines for the handling of personal data. It grants individuals rights such as access to their data, rectification of inaccuracies, and the right to erasure, often referred to as the 'right to be forgotten.' These rights empower individuals to have more control over their personal information and how it is processed, making it easier for them to hold organizations accountable.
  • Discuss the responsibilities that organizations have under GDPR in relation to personal data processing.
    • Under GDPR, organizations are required to adhere to principles of transparency, accountability, and security when processing personal data. They must implement appropriate technical and organizational measures to protect this data and ensure that it is only processed for legitimate purposes. Additionally, organizations need to maintain detailed records of their data processing activities and conduct Data Protection Impact Assessments (DPIAs) when necessary to identify risks associated with processing personal data.
  • Evaluate the impact of GDPR on businesses operating internationally and how it shapes global data protection standards.
    • GDPR has had a profound impact on businesses operating internationally by setting a high standard for data protection that many companies must now adhere to. This regulation not only affects EU-based companies but also any business that processes the personal data of EU residents, compelling them to implement strict compliance measures. As a result, many organizations worldwide are adopting GDPR-like policies to ensure they meet these rigorous standards, leading to a more unified approach towards global data protection and influencing legislation in other regions.

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