IAPP CIPP-US Practice Test Questions Answers

 Matt’s decision to report the marketer’s activities is based on his suspicion that the marketer violated the Children’s Online Privacy Protection Act (COPPA), which is a federal law that regulates the online collection, use, and disclosure of personal information from children under 13 years of age1. According to COPPA, operators of websites or online services that are directed to children or knowingly collect personal information from children must:

Provide notice to parents about their information practices and obtain verifiable parental consent before collecting, using, or disclosing personal information from children12.

Give parents the choice of consenting to the operator’s collection and internal use of a child’s information, but prohibiting the operator from disclosing that information to third parties (unless disclosure is integral to the site or service, in which case, this must be made clear to parents)12.

Provide parents access to their child’s personal information to review and/or have the information deleted and give parents the opportunity to prevent further use or online collection of a child’s personal information12.

Maintain the confidentiality, security, and integrity of information they collect from children, including by taking reasonable steps to release such information only to parties capable of maintaining its confidentiality and security12.

Retain personal information collected online from a child for only as long as is necessary to fulfill the purpose for which it was collected and delete the information using reasonable measures to protect against its unauthorized access or use12.

Establish and maintain reasonable procedures to protect the confidentiality, security, and integrity of personal information collected from children12.

In Matt’s case, he did not receive any notice from the marketer about the survey or the contest, nor did he give his consent for the collection or disclosure of his son’s personal information. He also did not have any access or control over his son’s information or the ability to prevent further use or collection. Moreover, he noticed that his son’s information seemed to have been shared with other marketers, as evidenced by the commercial emails in his son’s inbox. These actions indicate that the marketer did not comply with COPPA’s requirements and may have exposed his son’s information to unauthorized or inappropriate parties. Therefore, Matt decided to report the marketer’s activities to the proper authorities, such as the Federal Trade Commission (FTC), which enforces COPPA and can impose civil penalties for violations13. References: 1: Children’s Online Privacy Protection Act | Federal Trade Commission, 1. 2: 16 CFR Part 312 – Children’s Online Privacy Protection Rule, 3. 3: Children’s Online Privacy Protection Act - Wikipedia, 2.

The annual privacy notice requirement under the Gramm-Leach-Bliley Act (GLBA) applies to financial institutions that collect nonpublic personal information from customers and disclose it to nonaffiliated third parties, unless they qualify for an exception. A financial institution is any entity that engages in activities that are financial in nature or incidental to such activities, as defined by section 4(k) of the Bank Holding Company Act of 1956. The King County Savings and Loan is a financial institution under this definition, as it engages in lending money and accepting deposits. Therefore, it is required to provide its customers with an annual privacy notice, unless it meets the conditions for an exception. The Four Winds Tribal College, the Golden Gavel Auction House, and the Breezy City Housing Commission are not financial institutions under the GLBA, as they do not engage in activities that are financial in nature or incidental to such activities. Therefore, they are not required to provide their customers with an annual privacy notice under the GLBA. References:

Amendment to the Annual Privacy Notice Requirement Under the Gramm-Leach-Bliley Act, section I. Background, paragraph 2.

17 CFR § 248.5 - Annual privacy notice to customers required., paragraph (a) (1).

IAPP CIPP/US Study Guide, page 65.

 U.S. federal laws protect individuals from employment discrimination based on a number of protected characteristics, such as age, pregnancy, and genetic information. However, marital status is not one of them. There is no federal law that prohibits employment discrimination based on marital status, although some states and localities have enacted such laws. The other statements are incorrect because:

A. Age is a protected characteristic under the Age Discrimination in Employment Act of 1967 (ADEA), which protects people who are 40 or older from discrimination because of age1.

B. Pregnancy is a protected characteristic under the Pregnancy Discrimination Act, which amended Title VII of the Civil Rights Act of 1964 to make it illegal to discriminate against a woman because of pregnancy, childbirth, or a medical condition related to pregnancy or childbirth2.

D. Genetic information is a protected characteristic under the Genetic Information Nondiscrimination Act of 2008 (GINA), which makes it illegal to discriminate against employees or applicants because of genetic information, such as family medical history, genetic tests, or participation in genetic research2. References: Prohibited Employment Policies/Practices, Employment discrimination law in the United States, Civil Rights Requirements- Federal Employment Discrimination Laws

Janice’s first draft of the privacy policy may be too restrictive and impractical for Fitness Coach, Inc. to follow, given the nature of its business and the expectations of its customers. By limiting the retention of personal information to one year and requiring written consent for any third-party sharing, the policy may create operational challenges and customer dissatisfaction. For example, customers may want to resume their fitness programs after a long hiatus and expect the company to have their previous records and preferences. Similarly, third-party contractors may need access to customer information to provide better services and tailor their classes. If the company fails to adhere to its own privacy policy, it may face legal consequences, reputational damage, and loss of trust from its customers. Therefore, the company should adopt a more realistic and flexible privacy policy that balances its business needs and its customers’ privacy rights. References:

Privacy Policy for Health Coaches

Privacy Policies for Online Coaches

Privacy Policy - Coaching.com

Under Section 702 of the Foreign Intelligence Surveillance Act (FISA), the National Security Agency (NSA) is authorized to collect and analyze communications of non-U.S. persons located outside the United States for foreign intelligence purposes. Section 702 allows the NSA to compel U.S.-based service providers, such as AWS or Microsoft, to provide access to data without requiring a warrant from the Foreign Intelligence Surveillance Court (FISC) if certain criteria are met.

Key Aspects of Section 702:

Scope of Surveillance:Section 702 applies to non-U.S. persons located outside the United States. It cannot be used to target U.S. citizens or individuals located within the United States, even if they communicate with non-U.S. persons.

Provider Obligations:The NSA can compel U.S.-based service providers (e.g., AWS, Microsoft) to disclose information about communications involving foreign individuals if the data is relevant to foreign intelligence purposes.

Explanation of the Options:

A. Compel AWS to disclose Jane's email communications with a Taiwanese national residing in Taiwan:Incorrect. Jane is a U.S. citizen, and Section 702 cannot be used to directly target U.S. persons or their communications, even if the other party in the communication is a non-U.S. person.

B. Compel AWS to disclose email communications between two Chinese nationals residing in the EU:Correct. Section 702 allows the NSA to target non-U.S. persons located outside the U.S. without a warrant, even if their communications are hosted by a U.S.-based service provider like AWS. This scenario falls directly under the scope of Section 702.

C. Compel Microsoft to disclose Patrick's Skype calls with a Brazilian national living in Peru:Incorrect. Patrick is a U.S. resident, even though he is a French citizen. Section 702 cannot be used to target individuals who are lawfully residing in the United States.

D. Compel Jane to disclose the PIN code for her corporate mobile phone:Incorrect. Section 702 applies to electronic communications data held by service providers, not to individuals. Compelling an individual to disclose a PIN code would require a different legal authority, such as a court-issued subpoena or warrant.

Legal Framework:

Section 702 of FISA: Provides the NSA with the authority to compel U.S.-based service providers to assist in collecting data on non-U.S. persons located outside the U.S. for foreign intelligence purposes.

Targeting Limitations: Section 702 cannot be used to intentionally target U.S. persons or anyone located within the United States.

Service Providers: Examples include U.S.-based companies such as Amazon AWS, Microsoft, and Google.

Practical Considerations for Jones Labs:

Jones Labs should be aware that:

Data stored with U.S.-based providers (even if located in the EU) may still be subject to Section 702 requests.

International data transfer compliance may require careful consideration of Standard Contractual Clauses (SCCs) or other safeguards to align with EU privacy regulations, such as the GDPR, in light of the extraterritorial nature of U.S. surveillance laws.

References from CIPP/US Materials:

FISA Section 702 (50 U.S.C. § 1881a): Outlines the legal authority for targeting non-U.S. persons located outside the United States.

IAPP CIPP/US Certification Textbook: Discusses Section 702 and its implications for U.S.-based service providers handling international data.

Schrems II Decision: Highlights conflicts between U.S. surveillance laws and EU privacy laws, particularly for data stored by U.S. companies overseas.