The new General Data Protection Law (LGPD), approved in August 2018, will come into effect in August 2020. Aimed at regulating the collection, use, and processing of data from identified and identifiable individuals, it will have a significant impact on our country.
The law will apply to situations where the processing and collection of data is carried out in Brazil and when the data pertains to individuals located within the national territory. However, it will not apply to situations where data processing is carried out by individuals for private and non-economic purposes, as well as data used for journalistic, artistic, or academic purposes, or for public security, national defense, state security, criminal investigation, and prosecution.
It is the right of the data subject to have easy and structured access to their data; to have data portability; the right to request updates to their data; to request that their data be deleted when there is no reason for it to be kept; to object to the processing of personal data concerning them; and to receive notifications regarding changes in data processing.
The penalties.
With all the applications and rights surrounding the new law, questions also remain regarding the penalties for those who fail to comply. We have already published [this]. here Regarding the information you need to know about the LGPD (Brazilian General Data Protection Law), we have now outlined what we believe to be the three main penalties for non-compliance with the law.
First, the Publicizing InformationThis could cause significant damage to the company's image. In 2019, Accenture Interactive conducted a survey of 8.000 consumers in nine countries. The results showed that seven out of ten consumers would stop buying from a brand because it misuses their personal data. Therefore, non-compliance could pose a huge risk to the business itself, potentially leading to a loss of credibility and consequently, customers/users.
The second is the fine A daily fine of 2% of the company's total revenue, limited to R$ 50 million, is applied for each infraction/incident.
Finally, the third penalty is... suspension of data processingDepending on the company, this can generate incalculable losses, as the processing of personal data is prohibited for a maximum period of 6 months. And yes, it can be extended for an equal period.
We've reached a point where adapting to the new law is of utmost importance. Is your company ready to begin adapting to the LGPD (Brazilian General Data Protection Law)?
