DATA

Striking the Data Balance

The COVID-19 pandemic has driven an influx of companies and consumers into the digital world, but are they aware of and ready to tackle the data risks? Sarah Morgan reports.

“Every day, more customers are using digital processes in their lives. This was already a ‘no turning back’ process, and the COVID-19 pandemic has accelerated it,” said Otavio Saraiva Padilha Velasco, IP attorney, Soerensen Garcia Advogados Associados (Brazil).

Mr. Velasco was moderating the session Data as an Asset and Worldwide Current Trends, which took place yesterday.

He noted that many customers who had avoided the digital world prior to the pandemic began using an increasing number of apps for deliveries, groceries, medicines, and “anything else you could imagine” as the crisis continued.

The pandemic also drove companies, governments, and health regulators toward data, using this goldmine of virtual information to make vital decisions for their countries and the world.

Flavia Mitri, privacy director–Latin America, Uber (Brazil), said that Uber, as part of its standard practice, does a significant amount of data-sharing with governments in jurisdictions that regulate its operations.

Early in the pandemic, government authorities and public health officials in Brazil had contacted Uber to share personal data about passengers taking rides to and from hospitals.

The company was asked to inform the government about customers coming in and out of a building where the city’s first publicly known COVID-19 case was discovered, for the purpose of contact tracing.

Ms. Mitri said the original request was for that data not to be anonymous or in aggregate. “We did not see that the government had a valid legal basis to request that at the time,” she said, “so instead we counter-offered and said, ‘We will not provide you with the specific names as part of this bulk data-sharing, but we will provide you with aggregate data of day one.’”

“There is a very real problem of consumer misinformation or misunderstanding about privacy rights around their vaccination status.”
Tara Aaron-Stelluto, Aaron | Sanders PLLC (US)

More Transparency

In Germany, public health authorities also used bulk data to help establish the effect of government restrictions on social interaction.

Mark Peters, information technology and intellectual property attorney, Grünecker (Germany), said: “Aggregated mobile phone data was used to analyze where these measures were effective or whether stricter measures were necessary.”

According to Mr. Peters, there was huge public discussion over Germany’s contact tracing app and whether data should be stored in a cloud service or locally.

German authorities eventually decided against central storage, he said, noting, “This was meant to increase trust, to help spread the technology, and to invite as many people as possible to participate.”

However, uptake of the app was low, and today, there are 34 million installed apps in a population of approximately 80 million, he noted.

Unfortunately, user awareness of data and privacy or lack thereof can be a real problem in the data world.

As just one example, said Tara Aaron-Stelluto, partner, Aaron | Sanders PLLC (US), “There is a very real problem of consumer misinformation or misunderstanding about privacy rights around their vaccination status.”

Providing another example of concerns about data privacy, Uber has deployed a facial scan globally to identify whether drivers and passengers are wearing facial masks.

“There was a significant level of discomfort when we rolled out this feature because people misunderstood and thought that we were doing a biometric validation of their faces,” said Ms. Mitri.

Rather, she explained, Uber is not storing the pictures it takes—it is scanning only to identify whether a mask is properly placed on a person’s face.

While the health crisis has brought such issues into the spotlight, there were questions about the balance between privacy and safety before it began.

“If consumers have such a misunderstanding about their privacy rights, it is more difficult to put in place robust and consistent policies and legislation and to make the case for them,” said Ms. Aaron-Stelluto.

“Personal data is not only a name or address. It’s everything related to an identified or identifiable person.”
Mark Peters, Grünecker (Germany)

User Awareness and Best Practice

Given the difficulties around consumer awareness of data and privacy, developing an easy-to-understand privacy policy is crucial.

Mr. Peters said: “The challenge for companies is to create terms that the layperson, not just the expert, can read. A lot of work is needed to be comprehensive and precise and use simple language.”

In agreement, Ms. Mitri added that a number of companies had been investigated because, although they had a comprehensive privacy policy, it was not intelligible to the ordinary person.

“You can have the best privacy policy in the world but if it is 15 pages long, nobody is going to read it. Invest in shortcuts—especially if you have a business-to-consumer operation—that can expedite a data subject’s access to privacy tools which are going to be frequently used,” she said.

Mr. Velasco added that the Instituto Brasileiro de Defesa do Consumidor (the Brazilian Institute of Consumer Protection) states that when any consumer agreement has a possibility of restricting their rights, it must be put in upper case letters and in the Portuguese language.

However, things can get complicated. In the United States, states are adding more components that are required to be featured in a privacy policy, whether or not these components apply to the data that is collected, said Ms. Aaron-Stelluto.

Awareness isn’t just for consumers. Companies must not underestimate the impact that the inadequate handling of data can have on a brand.

Mr. Peters added: “The most important thing is to know your data. Know what data you’re collecting, what data you have in your company, and be aware of what personal data is.

“I use the example of a photo of a person—that’s personal data. Personal data is not only a name or address. It’s everything related to an identified or identifiable person.”

According to Ms. Mitri, it is usual in the Latin American market for companies to over-collect data and for data subjects to happily hand over their data to companies.

In a message specifically for Latin American brands, she said: “I can assure you that you’re probably over-collecting data because Latin America is just waking up from a lifetime of sleep, privacy-wise. There really is no strong privacy awareness in the region.”

Ms. Mitri concluded with a prediction: “Latin America is an extremely litigious jurisdiction and privacy laws today are what consumer laws were in the 1980s. It led to a peak of consumer-based litigation because companies were not adequately following consumer defense codes. The same thing is going to happen for privacy.”


Video courtesy of Adobe Stock / andriyasd

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Friday, November 19, 2021

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