Free IAPP CIPP-E Exam Questions

Question 1

SCENARIO -

Please use the following to answer the next question:

Financially, it has been a very good year at ARRA Hotels: Their 21 hotels, located in Greece (5), Italy (15) and Spain (1), have registered their most profitable results ever. To celebrate this achievement, ARRA Hotels' Human Resources office, based in ARRA's main Italian establishment, has organized a team event for its 420 employees and their families at its hotel in Spain.

Upon arrival at the hotel, each employee and family member is given an electronic wristband at the reception desk. The wristband serves a number of functions:

• Allows access to the "party zone" of the hotel, and emits a buzz if the user approaches any unauthorized areas

• Allows up to three free drinks for each person of legal age, and emits a buzz once this limit has been reached

• Grants a unique ID number for participating in the games and contests that have been planned.

Along with the wristband, each guest receives a QR code that leads to the online privacy notice describing the use of the wristband. The page also contains an unchecked consent checkbox. In the case of employee family members under the age of 16, consent must be given by a parent.

Among the various activities planned for the event, ARRA Hotels' HR office has autonomously set up a photocall area, separate from the main event venue, where employees can come and have their pictures taken in traditional carnival costume. The photos will be posted on ARRA Hotels' main website for general marketing purposes.

On the night of the event, an employee from one of ARRA's Greek hotels is displeased with the results of the photos in which he appears. He intends to file a complaint with the relevant supervisory authority in regard to the following:

• The lack of any privacy notice in the separate photocall area

• The unlawful cross-border processing of his personal data

• The unacceptable aesthetic outcome of his photos

Which of the following is NOT necessarily considered a factor in identifying whether the processing could be considered a "cross-border processing"?

A : The total number of the data subjects interested.

B : The potential harm for the data subjects affected.

C : The limitation of rights of the data subjects concerned.

D : The exposure of the information of the data subjects involved.

Answer: A

Question 2

SCENARIO

Please use the following to answer the next question: Joe started the Gummy Bear Company in 2000 from his home in Vermont, USA. Today, it is a multi-billion-dollar candy company operating in every continent. All of the company's IT servers are located in Vermont. This year Joe hires his son Ben to join the company and head up Project Big, which is a major marketing strategy to triple gross revenue in just 5 years. Ben graduated with a PhD in computer software from a top university. Ben decided to join his father's company, but is also secretly working on launching a new global online dating website company called Ben Knows Best. Ben is aware that the Gummy Bear Company has millions of customers and believes that many of them might also be interested in finding their perfect match. For Project Big, Ben redesigns the company's online web portal and requires customers in the European Union and elsewhere to provide additional personal information in order to remain a customer.

Project Ben begins collecting data about customers' philosophical beliefs, political opinions and marital status. If a customer identifies as single, Ben then copies all of that customer's personal data onto a separate database for Ben Knows Best. Ben believes that he is not doing anything wrong, because he explicitly asks each customer to give their consent by requiring them to check a box before accepting their

information. As Project Big is an important project, the company also hires a first year college student named Sam, who is studying computer science to help Ben out. Ben calls out and Sam comes across the Ben Knows Best database. Sam is planning on going to Ireland over Spring Beak with 10 of his friends, so he copies all of the customer information of people that reside in Ireland so that he and his friends can contact people when they are in Ireland. Joe also hires his best friend's daughter, Alice, who just graduated from law school in the U.S., to be the company's new General Counsel. Alice has heard about the GDPR, so she does some research on it. Alice approaches Joe and informs him that she has drafted up Binding Corporate Rules for everyone in the company to follow, as it is important for the company to have in place a legal mechanism to transfer data internally from the company's operations in the European Union to the U.S.

Joe believes that Alice is doing a great job, and informs her that she will also be in-charge of handling a major lawsuit that has been brought against the company in federal court in the U.S. To prepare for the lawsuit, Alice instructs the company's IT department to make copies of the computer hard drives from the entire global sales team, including the European Union, and send everything to her so that she can review everyone's information. Alice believes that Joe will be happy that she did the first level review, as it will save the company a lot of money that would otherwise be paid to its outside law firm. In preparing the company for its impending lawsuit, Alice's instruction to the company's IT

Department violated Article 5 of the GDPR because the company failed to first do what?

A : nd out consent forms to all of its employees.

B : nimize the amount of data collected for the lawsuit.

C : form all of its employees about the lawsuit.

D : crypt the data from all of its employees.

Answer: B

Question 3

Through a combination of hardware failure and human error, the decryption key for a bank’s customer account transaction database has been lost. An investigation has determined that this was not the result of hacking or malfeasance, simply an unfortunate combination of circumstances. Which of the following accurately indicates the nature of this incident?

A : A data breach has not occurred because the loss was not the result of hacking.

B : A data breach has not occurred because no data was exposed to any unauthorized individual.

C : A data breach has occurred because the loss of the key has resulted in the data no longer being accessible.

D : A data breach has occurred because the loss of the key has resulted in the loss of confidentiality or integrity of the data.

Answer: D

Question 4

Which failing of Privacy Shield, cited by the CJEU as a reason for its invalidation, is the Trans-Atlantic Data Privacy Framework intended to address?

A : Data Subject Rights.

B : Right of Action.

C : Necessity.

D : Consent.

Answer: B

Question 5

Under Article 9 of the GDPR, which of the following categories of data is NOT expressly prohibited from data processing?

A : rsonal data revealing ethnic origin.

B : rsonal data revealing genetic information.

C : rsonal data revealing financial information.

D : Personal data revealing trade union membership.

Answer: C