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IAPP Certified Information Privacy Manager (CIPM) Sample Questions (Q120-Q125):

NEW QUESTION # 120
SCENARIO
Please use the following to answer the next QUESTION:
Henry Home Furnishings has built high-end furniture for nearly forty years. However, the new owner, Anton, has found some degree of disorganization after touring the company headquarters. His uncle Henry had always focused on production - not data processing - and Anton is concerned. In several storage rooms, he has found paper files, disks, and old computers that appear to contain the personal data of current and former employees and customers. Anton knows that a single break-in could irrevocably damage the company's relationship with its loyal customers. He intends to set a goal of guaranteed zero loss of personal information.
To this end, Anton originally planned to place restrictions on who was admitted to the physical premises of the company. However, Kenneth - his uncle's vice president and longtime confidante - wants to hold off on Anton's idea in favor of converting any paper records held at the company to electronic storage. Kenneth believes this process would only take one or two years. Anton likes this idea; he envisions a password- protected system that only he and Kenneth can access.
Anton also plans to divest the company of most of its subsidiaries. Not only will this make his job easier, but it will simplify the management of the stored dat a. The heads of subsidiaries like the art gallery and kitchenware store down the street will be responsible for their own information management. Then, any unneeded subsidiary data still in Anton's possession can be destroyed within the next few years.
After learning of a recent security incident, Anton realizes that another crucial step will be notifying customers. Kenneth insists that two lost hard drives in Question are not cause for concern; all of the data was encrypted and not sensitive in nature. Anton does not want to take any chances, however. He intends on sending notice letters to all employees and customers to be safe.
Anton must also check for compliance with all legislative, regulatory, and market requirements related to privacy protection. Kenneth oversaw the development of the company's online presence about ten years ago, but Anton is not confident about his understanding of recent online marketing laws. Anton is assigning another trusted employee with a law background the task of the compliance assessment. After a thorough analysis, Anton knows the company should be safe for another five years, at which time he can order another check.
Documentation of this analysis will show auditors due diligence.
Anton has started down a long road toward improved management of the company, but he knows the effort is worth it. Anton wants his uncle's legacy to continue for many years to come.
In terms of compliance with regulatory and legislative changes, Anton has a misconception regarding?

• A. The type of required qualifications.
• B. The timeline for monitoring.
• C. The method of recordkeeping.
• D. The use of internal employees.

Answer: B

Explanation:
In terms of compliance with regulatory and legislative changes, Anton has a misconception regarding the timeline for monitoring. He believes that the company should be safe for another five years after conducting a compliance assessment and documenting the analysis. However, this is a risky and unrealistic assumption that could expose the company to legal liabilities and penalties. Regulatory and legislative changes are dynamic and frequent in today's business environment. They can affect various aspects of the company's operations, such as data protection, online marketing, consumer rights, labor laws, tax laws, environmental laws, etc5 Therefore, the company needs to monitor these changes continuously and proactively to ensure compliance at all times. Waiting for five years to check for compliance again could result in missing important updates or requirements that could impact the company's business practices or obligations. Moreover, compliance monitoring is not only a one-time activity but an ongoing process that involves evaluating the effectiveness of the company's policies and procedures in meeting the regulatory standards and expectations6 Compliance monitoring also helps to identify any gaps or weaknesses in the company's compliance program and take corrective actions to improve it. Therefore, Anton should revise his timeline for monitoring regulatory and legislative changes and adopt a more regular and systematic approach that aligns with the company's risk profile and regulatory environment. Reference: 5: Regulatory Change Management: How To Keep Up With Regulatory Changes; 6: Compliance Monitoring - What Is It?

NEW QUESTION # 121
Under the General Data Protection Regulation (GDPR), when would a data subject have the right to require the erasure of his or her data without undue delay?

• A. When the erasure is in the public interest.
• B. When the data subject is a public authority.
• C. When the processing is carried out by automated means.
• D. When the data is no longer necessary for its original purpose.

Answer: D

Explanation:
This answer is one of the situations when a data subject would have the right to require the erasure of his or her data without undue delay under the General Data Protection Regulation (GDPR), which is also known as the right to be forgotten or the right to erasure. This right allows a data subject to request that a data controller deletes his or her personal data when one of the following grounds applies:
The data is no longer necessary for its original purpose.
The data subject withdraws his or her consent for processing.
The data subject objects to processing based on legitimate interests or direct marketing.
The processing is unlawful or violates other laws or regulations.
The processing is related to online services offered to children.

NEW QUESTION # 122
What is most critical when outsourcing data destruction service?

• A. Ensure that they keep an asset inventory of the original data.
• B. Conduct an annual in-person audit of the provider's facilities.
• C. Confirm data destruction must be done on-site.
• D. Obtain a certificate of data destruction.

Answer: A

NEW QUESTION # 123
SCENARIO
Please use the following to answer the next question
You were recently hired by InStyte Date Corp as a privacy manager to help InStyle Data Corp become compliant with a new data protection law The law mandates that businesses have reasonable and appropriate security measures in place to protect personal dat a. Violations of that mandate are heavily fined and the legislators have stated that they will aggressively pursue companies that don t comply with the new law You are paved with a security manager and tasked with reviewing InStyle Data Corp s current state and advising the business how it can meet the "reasonable and appropriate security" requirement InStyle Data Corp has grown rapidly and has not kept a data inventory or completed a data mapping InStyte Data Corp has also developed security-related policies ad hoc and many have never been implemented The various teams involved in the creation and testing of InStyle Data Corp s products experience significant turnover and do not have well defined roles There's little documentation addressing what personal data is processed by which product and for what purpose Work needs to begin on this project immediately so that InStyle Data Corp can become compliant by the time the law goes into effect. You and you partner discover that InStyle Data Corp regularly sends files containing sensitive personal data back to its customers through email sometimes using InStyle Data Corp employees personal email accounts. You also team that InStyle Data Corp s privacy and information security teams are not informed of new personal data flows, new products developed by InStyte Data Corp that process personal data, or updates to existing InStyle Data Corp products that may change what or how the personal data is processed until after the product or update has gone have.
Through a review of InStyle Date Corp's test and development environment logs, you discover InStyle Data Corp sometimes gives login credentials to any InStyle Data Corp employee or contractor who requests them. The test environment only contains dummy data but the development environment contains personal data including Social Security Numbers, hearth

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