Free IAPP CIPP-E Exam Questions

Question 1

The GDPR forbids the practice of "forum shopping", which occurs when companies do what?

A : Choose the data protection officer that is most sympathetic to their business concerns.

B : ignate their main establishment in member state with the most flexible practices.

C : le appeals of infringement judgments with more than one EU institution simultaneously.

D : lect third-party processors on the basis of cost rather than quality of privacy protection.

Answer: B

Question 2

Jerry, the Chief Marketing Officer for a sports apparel and trophy company, sells products to schools and athletic clubs globally. Recently the company has decided to invest in a new line of customized sports equipment. Jerry plans to email his current customer base to offer them a discount on their first purchase of such equipment.

Jerry tells Kate, the Director of Privacy, about his plan. What is the best guidance Kate can provide to Jerry?

A : Permit Jerry to carry out his plan on the basis of marketing similar products to existing customers.

B : Require Jerry to send all current customers a second notice to allow them to opt-in to marketing emails

C : Permit Jerry to carry out his marketing plan on the basis of legitimate interest

D : Require Jerry to include an option to opt out of marketing emails in the future

Answer: D

Question 3

SCENARIO -

Please use the following to answer the next question:

CreditPlaya, SA is an established Spanish online insurance company whose exclusive activity is providing health insurance for legal residents of Spain, regardless of their nationality.

CreditPlaya autonomously manages its own website, through which a potential customer, engaging in a free pre-contractual activity, enters his or her full name, e-mail address, tax identification number (to verify residence in Spain), age, profession, and the full names of any other adult members of his or her family.

With this data, CreditPlaya immediately sends an email granting or denying eligibility for a health insurance policy. In the case of eligibility, the email also contains the eventual cost of the policy and two PDF documents – one with the contractual Terms and Conditions, and the other with the privacy notice as required by Article 13 of the GDPR.

The CreditPlaya Information Tracking System (ITS) is very efficient, with a low rate of unpaid insurance policies. The ITS is automatically fed by the information provided by every applicant, whose data is then used to refine insurance policy rates.

To ensure their back-up procedures, in January 2021 CreditPlaya started sending weekly copies of the whole database with all the applicants' personal data to an independent company in Uruguay. The information was sent through state-of-the-art encrypting tools, but once in Uruguay was stored without any encryption method.

In March 2022, the entire data base stored on the Uruguay's company servers was encrypted by malicious ransomware. There was no evidence that the data was accessed by unauthorized persons, much less altered or exfiltrated. Despite the incident, CreditPlaya found that they could rely on the locally based Spanish back-up information and carry on its activity without interrupting its operations. The incident caused the termination of the professional relationship between the two companies.

The content of the email that CreditPlaya sends does not comply with GDPR requirements because it lacks what?

A : The list of information with regard to personal data that were not obtained from the data subject, according to Article 14.

B : The list of the processors and subprocessors involved in the processing, as required by Article 28.

C : The list of processing activities as set out in the records of processing activities, according to Article 30.

D : The list of technical and organizational measures that will be implemented, according to Article 32.

Answer: D

Question 4

A grade school is planning to use facial recognition to track student attendance. Which of the following may provide a lawful basis for this processing?

A : school places a notice near each camera.

B : school gets explicit consent from the students.

C : ocessing is necessary for the legitimate interests pursed by the school.

D : tate law requires facial recognition to verify attendance.

Answer: A

Question 5

SCENARIO

Please use the following to answer the next question:

Anna and Frank both work at Granchester University. Anna is a lawyer responsible for data protection, while Frank is a lecturer in the engineering department. The University maintains a number of types of records

Student records, including names, student numbers, home addresses, pre-university information, university attendance and performance records, details of special educational needs and financial information.

Staff records, including autobiographical materials (such as curricula, professional contact files, student evaluations and other relevant teaching files)

Alumni records, including birthplaces, years of birth, dates of matriculation and conferrals of degrees. These records are available to former students after registering through Granchester's Alumni portal.

Department for Education records, showing how certain demographic groups (such as first-generation students) could be expected, on average, to progress. These records do not contain names or identification numbers.

Under their security policy, the University encrypts all of its personal data records in transit and at rest.

In order to improve his teaching, Frank wants to investigate how his engineering students perform in relational to Department for Education expectations. He has attended one of Anna's data protection training courses and knows that he should use no more personal data than necessary to accomplish his goal. He creates a program that will only export some student data: previous schools attended, grades originally obtained, grades currently obtained and first time university attended. He wants to keep the records at the individual student level. Mindful of Anna's training, Frank runs the student numbers through an algorithm to transform them into different reference numbers. He uses the same algorithm on each occasion so that he can update each record over time.

One of Anna's tasks is to complete the record of processing activities, as required by the GDPR. After receiving her email reminder, as required by the GDPR. After receiving her email reminder, Frank informs Anna about his performance database.

Ann explains to Frank that, as well as minimizing personal data, the University has to check that this new use of existing data is permissible. She also suspects that, under the GDPR, a risk analysis may have to be carried out before the data processing can take place. Anna arranges to discuss this further with Frank after she has done some additional research.

Frank wants to be able to work on his analysis in his spare time, so he transfers it to his home laptop (which is not encrypted). Unfortunately, when Frank takes the laptop into the University he loses it on the train. Frank has to see Anna that day to discuss compatible processing. He knows that he needs to report security incidents, so he decides to tell Anna about his lost laptop at the same time.

Which of the University's records does Anna NOT have to include in her record of processing activities?

A : udent records

B : aff and alumni records

C : ank's performance database

D : partment for Education records

Answer: C