CMB MAGAZINE cmba-achc.ca summer 2016 | 23
pipedaamended
The Cost of Protecting Privacy: Pay
Now or Possibly Pay More Later
OVERVIEW: Some mortgage brokers will
soon be subject to new protection-of-privacy
requirements. e requirements involve
mortgage brokers reporting privacy breaches
to the Privacy Commissioner, notifying parties
of breaches of privacy and keeping records
concerning breaches of privacy.
ese responsibilities are mandatory and
can carry a considerable cost, either to put
processes and systems in place related to
compliance or to pay fines related to non-
compliance.
PIPEDA Amended
e Personal Information Protection
and Electronic Documents Act (PIPEDA)
has been amended to impose reporting
and notification requirements in the
case of privacy breaches, as well as
further record-keeping requirements.
e requirements would apply to those
mortgage brokers (as discussed below)
subject to PIDEDA.
e amendments do not come into
force until regulations concerning them
have been passed. e regulations are
presently being formulated.
The purpose of PIPEDA
PIPEDA is intended to govern private-sector
organizations (such as mortgage brokers) in
the collection, use and disclosure of personal
information. It tries to achieve its goal by
recognizing both:
1
the right of the individual to have his or
her personal information protected,
and
2
the need of organizations to collect,
use and disclose personal information
for purposes that a reasonable person
would consider appropriate.
Failure to follow new requirements could be expensive for some mortgage brokers
BY RAY BASI, LL.B. STAFF, EDUCATION AND POLICY REVIEW
Privacy
matters
