Pass the IAPP Certified Information Privacy Professional CIPP-E Questions and answers with CertsForce

Viewing page 9 out of 9 pages
Viewing questions 81-90 out of questions
Questions # 81:

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?

Options:

A.

Because of the misrepresentation of personal data as an endorsement.


B.

Because of the juxtaposition of the quotation with others’ quotations.


C.

Because of the use of personal data outside of the social networking service (SNS).


D.

Because of the misapplication of the household exception in relation to a social networking service (SNS).


Expert Solution
Questions # 82:

MagicClean is a web-based service located in the United States that matches home cleaning services to customers. It otters its services exclusively in the United States It uses a processor located in France to optimize its data. Is MagicClean subject to the GDPR?

Options:

A.

Yes, because MagicClean is processing data in the EU


B.

Yes. because MagicClean's data processing agreement with the French processor is an establishment in the EU


C.

No, because MagicClean is located m the United States only.


D.

No. because MagicClean is not offering services to EU data subjects.


Expert Solution
Questions # 83:

According to the European Data Protection Board, if a controller that is not established in the EU but still subject to the GDPR becomes aware of a personal data breach, which supervisory authority or authorities must be notified?

Options:

A.

Only the supervisory authority of the EU member state in which the controller's EU representative (pursuant to Article 27) is established.


B.

Only one lead supervisory authority, as a controller benefits from the one-stop shop mechanism under the GDPR's enforcement regime.


C.

Every supervisory authority of the EU member states where the controller is offering goods or services.


D.

Every supervisory authority for which affected data subjects reside in their EU member state.


Expert Solution
Questions # 84:

In which of the following cases, cited as an example by a WP29 guidance, would conducting a single data protection impact assessment to address multiple processing operations be allowed?

Options:

A.

A medical organization that wants to begin genetic testing to support earlier research for which they have performed a DPIA.


B.

A data controller who plans to use a new technology product that has already undergone a DPIA by the product’s provider.


C.

A marketing team that wants to collect mailing addresses of customers for whom they already have email addresses.


D.

A railway operator who plans to evaluate the same video surveillance in all the train stations of his company.


Expert Solution
Questions # 85:

The transparency principle is most directly related to which of the following rights?

Options:

A.

Right to object


B.

Right to be informed.


C.

Right to be forgotten.


D.

Right to restriction of processing.


Expert Solution
Questions # 86:

SCENARIO

Please use the following to answer the next question:

Jane starts her new role as a Data Protection Officer (DPO) at a Malta-based

company that allows anyone to buy and sell cryptocurrencies via its online platform.

The company stores and processes the personal data of its customers in a

dedicated data center located in Malta (EU).

People wishing to trade cryptocurrencies are required to open an online account on

the platform. They then must successfully pass a Know Your Customer (KYC) due

diligence procedure aimed at preventing money laundering and ensuring

compliance with applicable financial regulations.

The non-European customers are also required to waive all their GDPR rights by

reading a disclaimer written in bold and ticking a checkbox on a separate page in

order to get their account approved on the platform.

All customers must likewise accept the terms of service of the platform. The terms

of service also include a privacy policy section, saying, among other things, that if a

customer fails the KYC process, its KYC data will be automatically shared with the

national anti-money laundering agency.

The KYC procedure requires customers to answer many questions, including

whether they have any criminal convictions, whether they use recreational drugs or

have problems with alcohol, and whether they have a terminal illness. While

providing this data, customers see a conspicuous message saying that this data is

meant only to prevent fraud and account takeover, and will be never shared with

private third parties.

The company regularly conducts external security testing of its online systems by

independent cybersecurity companies from the EU. At the final stage of testing, the

company provides cybersecurity assessors with access to its central database to

review security permissions, roles and policies. Personal data in the database is

encrypted; however, cybersecurity assessors usually have access to the decryption

keys obtained while running initial security testing. The assessors must strictly

follow the guidelines imposed by the company during the entire testing and auditing

process.

All customer data, including trading activities and all internal communications with

technical support, are permanently stored in a secured AWS S3 Glacier cloud data

storage, located in Ireland, for backup and compliance purposes. The data is

securely transferred to the cloud and then is properly encrypted while at rest by

using AWS-native encryption mechanisms. These mechanisms give AWS the

necessary technical means to encrypt and decrypt the data when such is required

by the company. There is no data processing agreement between AWS and the

company.

Should Jane modify the required GDPR rights waiver for non-European residents?

Options:

A.

Yes, the waiver must not apply to any residents of countries with an adequacy decision from the EC.


B.

Yes, this clause must be entirely removed as all customers,

regardless of residence or nationality, shall enjoy the same individual rights granted under GDPR.


C.

No, the non-EU residents are not protected by GDPR unless they are physically located in the EU.


D.

No, but all non-EU residents must manually sign a separate waiver to ensure its lawfulness and enforceability under GDPR.


Expert Solution
Questions # 87:

In addition to the European Commission, who can adopt standard contractual clauses, assuming that all required conditions are met?

Options:

A.

Approved data controllers.


B.

The Council of the European Union.


C.

National data protection authorities.


D.

The European Data Protection Supervisor.


Expert Solution
Questions # 88:

What is an important difference between the European Court of Human Rights (ECHR) and the Court of Justice of the European Union (CJEU) in relation to their roles and functions?

Options:

A.

ECHR can rule on issues concerning privacy as a fundamental right, while the CJEU cannot.


B.

CJEU can force national governments to implement and honor EU law, while the ECHR cannot.


C.

CJEU can hear appeals on human rights decisions made by national courts, while the ECHR cannot.


D.

ECHR can enforce human rights laws against governments that fail to implement them, while the CJEU cannot.


Expert Solution
Viewing page 9 out of 9 pages
Viewing questions 81-90 out of questions