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What is POPIA?

The Protection of Personal Information Act, sometimes called POPIA or the POPI Act, is a consumer data privacy law active in South Africa. It’s a comprehensive piece of legislation that aims to protect the personal data of individuals in South Africa by outlining requirements and obligations for businesses that collect, process, use, and store consumer information. It shares many similarities with Europe’s General Data Protection Regulation (GDPR) but differs in notable ways. For example, penalties for violating POPIA could lead to possible jail time. It came info effect on June 30, 2021, after a one-year grace period.

Where does the POPIA apply?

It applies to anyone processing personal data in South Africa, or those outside the country processing data related to South African residents, provided the processing is linked to offering goods/services or monitoring behavior. It is the same extraterritorial applicability standard present in many other data protection laws globally.

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What are possible reasons for a POPIA penalty?

Some common reasons include:
- Failure to protect Personal Data. Example: A data breach caused by poor cybersecurity practices.
- Processing data without a lawful basis, such as using customer data for marketing without their consent.
- Non-Compliance with Data Subject rights. Ignoring requests from individuals to access, correct, or delete their personal information.

Who is liable for a penalty under POPIA?

Businesses that determine the purpose and methods of consumer data processing are the main subjects under POPIA. Operators processing data on behalf of responsible parties can also face liability if they fail to comply with the Act. Individuals within organizations may also face personal liability for willful or negligent actions leading to non-compliance.

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What are the POPIA penalties for
non-Compliance?

Fines can go up to 10 million ZAR (~€500,000), depending on the severity of the violation.

For severe cases, such as obstructing the Information Regulator or unlawfully sharing sensitive information, the penalty can be imprisonment of up to 10 years, a fine, or both.

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Frequently Asked Questions

What is consent under POPIA?

Consent under POPIA can be either expressed (explicitly given in writing, electronically, or verbally) or implied (through actions that indicate agreement, such as providing data to complete a purchase). However, for sensitive personal information, such as health, biometric, or racial data, explicit consent is required unless another legal basis applies. Importantly, POPIA allows individuals to withdraw their consent at any time, and businesses must provide a straightforward mechanism for withdrawal, such as an unsubscribe link or preference management portal.

To demonstrate compliance, organizations must keep records of how, when, and for what purpose consent was obtained. Non-compliant practices, such as using pre-ticked boxes or hiding consent requests in lengthy terms and conditions, violate POPIA.

What is the difference between GDPR and POPIA?

While GDPR and POPIA both aim to protect personal data and grant data subjects similar rights, GDPR is more comprehensive in certain areas, such as data portability and automated decision-making. Another notable difference lies in consent requirements. GDPR mandates that consent must be freely given, specific, informed, and unambiguous, always requiring an affirmative action like checking a box. POPIA has similar standards but allows for implied consent in some cases, making it less strict than GDPR. However, explicit consent is required under POPIA for sensitive personal data, such as health or biometric information. Also, penalties under GDPR are significantly higher. POPIA imposes fines up to 10 million ZAR (~€500,000) but also includes criminal penalties, such as imprisonment for up to 10 years, which GDPR does not.

How do I make my business compliant with POPIA?

To assure POPIA compliance for your business, start by implementing clear data protection policies and procedures. One of the easiest ways to simplify compliance is by using a Consent Management Platform (CMP) like Consentmo, which is designed specifically for Shopify stores. Our app helps you manage cookie consent, data requests, and user rights, verifying your store meets POPIA requirements.

I need more information regarding POPIA.

Make sure to check out our detailed blog post covering all important notes for Shopify stores.

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