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Privacy is Good for Business

On 1 January 2004, the Personal Information Protection Act (PIPA)* came into force. The Act requires that organisations define and implement privacy policies, procedures and designate a Privacy Officer. 

Our experience shows that most small to medium sized businesses don’t have the staff resources or expertise available to formulate privacy policies and procedures. This can leave them vulnerable to a Privacy Breach - which can have a severe impact on a business. For example.

  • Operational risks
    • Civil legal actions
    • Criminal legal actions
  • Compliance risks
    • Punishment by the government or industry regulator**
  • Reputation risks
    • Lost business and broken contracts
    • Adverse publicity
    • Breakdown in employee relationships
    • Loss of credibility
    • Market erosion
    • Brand damage

We can help mitigate your privacy and security risk by working with your company to define and implement privacy policy and procedures. Call us on 604.466.5964.

 

* About the Act

The Personal Information Protection Act (PIPA) is in force as of January 2004.

The purpose of PIPA is to govern the means by which private sector organizations handle personal information in a manner that recognizes both the right of an individual to have his or her personal information protected and the need of organizations to collect, use or disclose personal information for purposes that are reasonable.

PIPA will provide individuals the opportunity to request access to their own personal information, and will include provisions regarding the correction and care of personal information by organizations. PIPA will also apply to personal employee information.

** Some examples of the organizations to which PIPA is expected to apply to include:

ཉ  non-profit organizations
ཉ  trade unions
ཉ  private schools
ཉ  partnerships
ཉ  corporations
ཉ  unincorporated associations
ཉ  professional regulatory associations
ཉ  any individual acting in a commercial capacity
ཉ  any individual acting on behalf of a corporation, unincorporated association, trade union or partnership

 

** Offences

Matters are generally disposed of under PIPA by investigation and mediation or by an inquiry by the Commissioner. However, in the course of undertaking these activities, if the Commissioner believes that conduct by an organization or individual may be an offence, the Commissioner may refer the matter to the Crown for prosecution. According to section 59(1), the offences under PIPA are as follows:

  • wilfully collecting, using or disclosing personal information in contravention of PIPA;
  • wilfully attempting to gain or gaining access to personal information contrary to the Act;
  • disposing of or altering, falsifying, concealing or destroying personal information or any record relating to personal information, or directing another person to do so, with an intent to evade a request for access to the information or the record;
  • obstructing the Commissioner or an authorized delegate of the Commissioner in the performance of the Commissioner’s duties, powers or functions under the Act;
  • knowingly making a false statement to the Commissioner, or knowingly misleading or attempting to mislead the Commissioner, in the course of the Commissioner’s performance of the Commissioner’s duties, powers or functions under this Act;
  • failing to comply with an order made by the Commissioner under PIPA.

The Commissioner does not have authority to apply penalties or levy fines. Rather, fines are assessed by a British Columbia Court judge after successful prosecution; in other words, following a conviction.

Fines

According to section 59(2) of PIPA, individuals convicted of an offence under the Act may be subject to fines up to $10,000; organizations may be fined up to $100,000 after a conviction. These fines are assessed by a Provincial Court judge, not the Commissioner.

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