Data privacy has become a paramount concern for individuals and organizations in an increasingly digital world. To address these concerns, various regions have implemented data protection regulations. Among these, the General Data Protection Regulation (GDPR) in the European Union and the Digital Personal Data Protection Act (DPDPA) in India are two significant frameworks. While both aim to protect personal data, they have distinct features and implications. This article explores the key differences between GDPR and DPDPA.
1. Scope and Applicability
- GDPR: Enforced since May 25, 2018, GDPR applies to all organizations operating within the EU, as well as to those outside the EU that offer goods or services to, or monitor the behavior of, EU data subjects. It has a broad scope, covering any data that can be used to identify an individual directly or indirectly.
- DPDPA: Enacted to protect the personal data of Indian citizens, DPDPA applies to all data fiduciaries and data processors within India and those outside India that process personal data in connection with any business carried out in India. This includes the offering of goods or services to data principals within India.
2. Legal Basis for Processing
- GDPR: GDPR sets out six lawful bases for processing personal data: consent, performance of a contract, compliance with a legal obligation, protection of vital interests, performance of a task carried out in the public interest, and legitimate interests pursued by the data controller or a third party.
- DPDPA: While DPDPA also emphasizes obtaining consent for data processing, it provides additional grounds such as processing for the performance of a contract, legal compliance, protection of vital interests, and the necessity for the purposes of legitimate interests pursued by the data fiduciary.
- GDPR: GDPR grants data subjects extensive rights, including the right to access, rectify, erase, restrict processing, data portability, and object to processing. These rights are designed to give individuals greater control over their personal data.
- DPDPA: DPDPA also provides similar rights to data principals, such as the right to access and correct personal data. However, the DPDPA emphasizes the importance of consent management and the right to be forgotten, aligning closely with GDPR principles but with an Indian context.
4. Data Breach Notifications
- GDPR: GDPR mandates that data breaches must be reported to the relevant supervisory authority within 72 hours of becoming aware of the breach, unless the breach is unlikely to result in a risk to the rights and freedoms of individuals. Data subjects must also be informed without undue delay if the breach poses a high risk to their rights and freedoms.
- DPDPA: DPDPA requires data fiduciaries to inform the Data Protection Board of India about data breaches as soon as possible. The Act also specifies that affected individuals should be notified, especially if the breach is likely to harm the data principal.
5. Penalties and Enforcement
- GDPR: GDPR imposes hefty fines for non-compliance, with penalties reaching up to €20 million or 4% of the annual global turnover of the preceding financial year, whichever is higher. The regulation is enforced by national supervisory authorities within each EU member state.
- DPDPA: DPDPA also sets stringent penalties for violations, with fines up to ?5 crores or 2% of the annual turnover for certain infringements. The Data Protection Board of India is responsible for enforcement and ensuring compliance with the Act.
Both GDPR and DPDPA are critical in the realm of data protection, reflecting the growing importance of safeguarding personal data in our digital age. While GDPR serves as a comprehensive regulatory model in the EU, DPDPA tailors its provisions to the specific needs and legal context of India. Understanding these differences is essential for organizations operating in multiple jurisdictions to ensure compliance and protect the privacy rights of individuals.