CIPP-E EXAM STUDY GUIDE, CIPP-E RELIABLE STUDY QUESTIONS

CIPP-E Exam Study Guide, CIPP-E Reliable Study Questions

CIPP-E Exam Study Guide, CIPP-E Reliable Study Questions

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IAPP Certified Information Privacy Professional/Europe (CIPP/E) Sample Questions (Q203-Q208):

NEW QUESTION # 203
SCENARIO
Please use the following to answer the next question:
Liem, an online retailer known for its environmentally friendly shoes, has recently expanded its presence in Europe. Anxious to achieve market dominance, Liem teamed up with another eco friendly company, EcoMick, which sells accessories like belts and bags. Together the companies drew up a series of marketing campaigns designed to highlight the environmental and economic benefits of their products. After months of planning, Liem and EcoMick entered into a data sharing agreement to use the same marketing database, MarketIQ, to send the campaigns to their respective contacts.
Liem and EcoMick also entered into a data processing agreement with MarketIQ, the terms of which included processing personal data only upon Liem and EcoMick's instructions, and making available to them all information necessary to demonstrate compliance with GDPR obligations.
Liem and EcoMick then procured the services of a company called JaphSoft, a marketing optimization firm that uses machine learning to help companies run successful campaigns. Clients provide JaphSoft with the personal data of individuals they would like to be targeted in each campaign. To ensure protection of its clients' data, JaphSoft implements the technical and organizational measures it deems appropriate. JaphSoft works to continually improve its machine learning models by analyzing the data it receives from its clients to determine the most successful components of a successful campaign. JaphSoft then uses such models in providing services to its client-base. Since the models improve only over a period of time as more information is collected, JaphSoft does not have a deletion process for the data it receives from clients. However, to ensure compliance with data privacy rules, JaphSoft pseudonymizes the personal data by removing identifying information from the contact information. JaphSoft's engineers, however, maintain all contact information in the same database as the identifying information.
Under its agreement with Liem and EcoMick, JaphSoft received access to MarketIQ, which included contact information as well as prior purchase history for such contacts, to create campaigns that would result in the most views of the two companies' websites. A prior Liem customer, Ms. Iman, received a marketing campaign from JaphSoft regarding Liem's as well as EcoMick's latest products. While Ms. Iman recalls checking a box to receive information in the future regarding Liem's products, she has never shopped EcoMick, nor provided her personal data to that company.
Under the GDPR, Liem and EcoMick's contract with MarketIQ must include all of the following provisions EXCEPT?

  • A. Processing the personal data upon documented instructions regarding data transfers outside of the EEA.
  • B. Notification regarding third party requests for access to Liem and EcoMick's personal data.
  • C. Assistance to Liem and EcoMick in their compliance with data protection impact assessments.
  • D. Returning or deleting personal data after the end of the provision of the services.

Answer: C


NEW QUESTION # 204
Under Article 21 of the GDPR, a controller must stop profiling when requested by a data subject, unless it can demonstrate compelling legitimate grounds that override the interests of the individual. In the Guidelines on Automated individual decision-making and Profiling, the WP 29 says the controller needs to do all of the following to demonstrate that it has such legitimate grounds EXCEPT?

  • A. Demonstrate that the profiling is for the purposes of direct marketing.
  • B. Consider the impact of the profiling on the data subject's interest, rights and freedoms.
  • C. Carry out an exercise that weighs the interests of the controller and the basis for the data subject's objection.
  • D. Consider the importance of the profiling to their particular objective.

Answer: A

Explanation:
According to the UK GDPR, the data subject has the right to object, on grounds relating to his or her particular situation, to the processing of personal data concerning him or her which is based on point (e) or (f) of Article 6(1), including profiling based on those provisions1. The controller must stop the processing unless it demonstrates compelling legitimate grounds for the processing which override the interests, rights and freedoms of the data subject or for the establishment, exercise or defence of legal claims1. The WP 29 Guidelines on Automated individual decision-making and Profiling provide some guidance on how to assess the existence of such compelling legitimate grounds2. The controller needs to carry out an exercise that weighs the interests of the controller and the basis for the data subject's objection, consider the impact of the profiling on the data subject's interest, rights and freedoms, and consider the importance of the profiling to their particular objective2. However, the controller does not need to demonstrate that the profiling is for the purposes of direct marketing, as this is a separate ground for objection under Article 21(2) of the UK GDPR, which gives the data subject an absolute right to object to such processing13. Therefore, option C is the correct answer, as it is not required by the controller to demonstrate that it has compelling legitimate grounds for profiling. Reference: 132
https://gdpr.eu/article-21-right-to-object/ https://ico.org.uk/for-organisations-2/guide-to-data-protection/guide-to-the-general-data-protection-regulation-gdpr/individual-rights/right-to-object/


NEW QUESTION # 205
SCENARIO
Please use the following to answer the next question:
ProStorage is a multinational cloud storage provider headquartered in the Netherlands. Its CEO. Ruth Brown, has developed a two-pronged strategy for growth: 1) expand ProStorage s global customer base and 2) increase ProStorage's sales force by efficiently onboarding effective teams. Enacting this strategy has recently been complicated by Ruth's health condition, which has limited her working hours, as well as her ability to travel to meet potential customers. ProStorage's Human Resources department and Ruth's Chief of Staff now work together to manage her schedule and ensure that she is able to make all her medical appointments The latter has become especially crucial after Ruth's last trip to India, where she suffered a medical emergency and was hospitalized m New Delhi Unable to reach Ruths family, the hospital reached out to ProStorage and was able to connect with her Chief of Staff, who in coordination with Mary, the head of HR. provided information to the doctors based on accommodate on requests Ruth made when she started a: ProStorage In support of Ruth's strategic goals of hiring more sales representatives, the Human Resources team is focused on improving its processes to ensure that new employees are sourced, interviewed, hired, and onboarded efficiently. To help with this, Mary identified two vendors, HRYourWay, a German based company, and InstaHR, an Australian based company. She decided to have both vendors go through ProStorage's vendor risk review process so she can work with Ruth to make the final decision. As part of the review process, Jackie, who is responsible for maintaining ProStorage's privacy program (including maintaining controller BCRs and conducting vendor risk assessments), reviewed both vendors but completed a transfer impact assessment only for InstaHR. After her review of both vendors, she determined that InstaHR satisfied more of the requirements as it boasted a more established privacy program and provided third-party attestations, whereas HRYourWay was a small vendor with minimal data protection operations.
Thus, she recommended InstaHR.
ProStorage's marketing team also worked to meet the strategic goals of the company by focusing on industries where it needed to grow its market share. To help with this, the team selected as a partner UpFinance, a US based company with deep connections to financial industry customers. During ProStorage's diligence process, Jackie from the privacy team noted in the transfer impact assessment that UpFinance implements several data protection measures including end-to-end encryption, with encryption keys held by the customer.
Notably, UpFinance has not received any government requests in its 7 years of business. Still, Jackie recommended that the contract require UpFinance to notify ProStorage if it receives a government request for personal data UpFinance processes on its behalf prior to disclosing such data.
What transfer mechanism did ProStorage most likely rely on to transfer Ruth's medical information to the hospital?

  • A. Performance of a contract with Ruth.
  • B. Protecting against legal liability from Ruth.
  • C. Protecting the vital interest of Ruth.
  • D. Ruth's implied consent.

Answer: C

Explanation:
According to the GDPR, one of the legal bases for transferring personal data to a third country or an international organization is when the transfer is necessary for the protection of the vital interests of the data subject or of another person, where the data subject is physically or legally incapable of giving consent (Article 49(1)). This exception applies only in very limited and exceptional situations, such as life- threatening medical emergencies. In this scenario, ProStorage most likely relied on this legal basis to transfer Ruth's medical information to the hospital in India, where she suffered a medical emergency and was hospitalized. Ruth was presumably unable to give her consent due to her health condition, and the transfer of her medical information was necessary to protect her vital interests, such as her life or health. Therefore, this transfer mechanism was more appropriate than the other options, which either require consent or are not relevant to the situation.
References: GDPR, Article 49(1)1; EDPB Guidelines 2/2018 on derogations of Article 49 under Regulation
2016/6792, page 9.


NEW QUESTION # 206
In addition to the European Commission, who can adopt standard contractual clauses, assuming that all required conditions are met?

  • A. The Council of the European Union.
  • B. The European Data Protection Supervisor.
  • C. National data protection authorities.
  • D. Approved data controllers.

Answer: D


NEW QUESTION # 207
A Spanish electricity customer calls her local supplier with Questions: about the company's upcoming merger. Specifically, the customer wants to know the recipients to whom her personal data will be disclosed once the merger is final. According to Article 13 of the GDPR, what must the company do before providing the customer with the requested information?

  • A. Verify that the identity of the customer can be proven by other means.
  • B. Verify that the personal data has not already been sent to the customer.
  • C. Verify that the request is applicable to the data collected before the GDPR entered into force.
  • D. Verify that the purpose of the request from the customer is in line with the GDPR.

Answer: A

Explanation:
According to Article 13 of the GDPR, the controller (in this case, the electricity supplier) has the obligation to provide the data subject (in this case, the customer) with information about the processing of their personal data, including the recipients or categories of recipients of the personal data, if any. However, before providing such information, the controller must verify the identity of the data subject, to ensure that the information is not disclosed to unauthorized persons. This verification can be done by other means than the personal data already collected, such as asking for additional information, sending a verification code, or using a secure online portal. The other options (A, B, and C) are not relevant for this verification, as they do not relate to the identity of the data subject, but to the scope, purpose, and history of the processing. References:
* Article 13 of the GDPR
* The right to be informed (transparency) (Article 13 & 14 GDPR)
* Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, and repealing Directive 95/46/EC (General Data Protection Regulation)


NEW QUESTION # 208
......

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