The Personal Information Protection and Electronic Documents Act (PIPEDA)
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What is it?
The Personal Information Protection and Electronic Documents Act (PIPEDA) is federally enacted legislation which regulates the private sector's management of personal information by establishing rules governing the collection, use and disclosure of personal information in the course of commercial activities.
Who is covered?
PIPEDA is now in force and has applied to businesses and organizations involved in federal works and undertakings or federally regulated sectors for almost three years. As of January 1, 2004 it has also applied to all Ontario's private sector (including not-for-profit organizations) unless and until the Province enacts similar legislation. Although Ontario is currently exploring such option no such legislation is currently proposed.
What is covered?
Personal Information is defined as: information about an identifiable individual but does not include the name, title or business address or telephone number of an employee of an organization. The scope of the definition is quite broad and would include name, age, home address, telephone number, email address, education, purchasing and spending habits, credit and loan records, employee files, opinions and evaluations regarding the individual although this list is certainly not exhaustive.
What are the Compliance Requirements?
Most of the obligations under PIPEDA are set out in Schedule 1 to the legislation which reflect the following ten privacy principles:
- Accountability. An organization is responsible for personal information under its control and shall designate an individual or individuals who are accountable for the organization?s compliance with the principles.
- Identifying Purposes. The purpose for which personal information is collected shall be identified at or before the time the information is collected.
- Consent. The knowledge and consent of the individual shall be required for the collection, use or disclosure of personal information, except where inappropriate.
- Limiting Collection. The collection of personal information shall be limited to what is necessary for the purposes identified by the organization. Information shall be collected by fair and lawful means.
- Limiting Use, Disclosure and Retention. Personal information shall not be used or disclosed for purposes other then those for which it is collected, except with consent of the individual or as required by law. Personal information shall only be retained for so long as necessary for the fulfilment of those purposes.
- Accuracy. Personal information shall be as accurate, complete and up-to-date as is necessary for the purposes for which it is to be used.
- Safeguards. Personal information shall be protected by security safeguards appropriate to the sensitivity of the information.
- Openness. An organization shall make readily available to individuals specific information about its policies and practices relating to the management of personal information.
- Individual Access. Upon request, an individual shall be informed of the existence, use, and disclosure of his or her personal information and shall be given access to that information. An individual shall be able to challenge the accuracy and completeness of the information and have it amended as appropriate.
- Challenging Compliance. An individual shall be able to address a challenge concerning compliance with the above principles to the designated individual or individuals accountable for the organization?s compliance.
These principles are guidelines for what businesses must do when they collect, use or disclose personal information.
What should you do?
You should become familiar with the legislation and the requirements of Schedule 1. A Guide for Businesses and Organizations to Canada's Personal Information Protection and Electronic Documents Act is available from the Office of the Privacy Commissioner and is available at the web-site: www.privcom.gc.ca
You will need to establish an internal process for compliance with the privacy principles which should include the following:
- Selection of a privacy officer with responsibility for and resources needed to meet these new requirements
- Conduct an internal audit of your privacy practices, including how you collect, store and disclose personal information
- Develop a privacy policy with procedures for protecting privacy, obtaining consent and addressing complaints
- Train staff on the requirements of the privacy policy and procedures
- Intitute on-going internal audit procedures to ensure continued compliance
What is O'Connor MacLeod Hanna LLP's Privacy Policy?
We have always been keenly aware of and sensitive to the need to protect confidential information in the conduct of our business. The application of this legislation to all Ontario business activities has encouraged us to codify our policy and practices more formally in a Privacy Policy. A copy of our Privacy Policy is posted on our website: www.omh.ca
Dated: April 2004