Save Big on Taxes with Expert Assisted ITR Filing from ₹799!

Got an ITR notice? Talk to our CA for the right response.
Privacy Policy

10 Common Issues with Privacy Policies

Privacy policies are crucial in the digital realm, ensuring user data protection and fostering trust. However, many companies face common pitfalls. Explore the top ten issues associated with these policies and get clarity on pressing questions about privacy regulations in India.

Over the years, there has been a drastic increase in online data breaches. Lack of internet literacy and complicated procedures often lead to data theft by unlawful means; later, this data is sold through unauthorised means. To begin with, legal frameworks that protect user rights, personal information, and privacy should be the foundation of ID systems. The ID system and other government or private-sector initiatives that process personal data are covered by general data protection and privacy legislation that many nations have implemented.

These laws often include extensive regulations and principles specific to the gathering, storing, and using of personal information in conformity with international privacy and data protection standards. 

Why Is a Solid Privacy Policy Important?

An independent supervisory or regulatory authority frequently oversees data protection and privacy in general and ID systems to ensure compliance with privacy and data protection law, including safeguarding individuals’ rights. The supervisory authority could be a single government representative, an ombudsman, or a group of people. Now protect your data with Vakilsearch! Click on Terms and Conditions for Website Page to Know more!

The genuine independence of such an authority is a crucial factor. Independence is measured by structural factors like the authority’s composition, the process used to appoint members, the authority’s authority and the time frame for exercising oversight functions, the distribution of adequate resources, and the authority’s capacity to make essential decisions without interference from outside parties.

Secure storage and processing of personal data are required, as well as protection from loss, theft, destruction, and damage. Given the risk of cyber-attacks, this idea becomes more and more crucial for digital ID systems. Common safeguards for data security that the law might require: some of which are covered in more detail under Section III. 

Included in privacy & security are

  • Personal data encryption
  • Personal data anonymisation
  • Personal data pseudonymisation
  • Data and system confidentiality that uses or produces personal data
  • Data and system integrity that use or produce personal data
  • After a technical or physical incident, the ability to recover data and systems that use or create personal data.
  • Ongoing testing, evaluation, and assessment of the security of systems that produce or use personal data

Data Privacy

The obligation to inform data subjects of severe data breaches impacting their data is mandated by several international standards. Moreover, nations may have legislation that punishes unlawful access to, use of, or manipulation of data in addition to laws intended to identify and counter cyber risks. Lastly, legal frameworks should have adequate sanctions for third parties and data administrators who access, use, or alter personal data without authorisation, including criminalising:

  • Accessing personal data stored in ID systems or other databases without authorisation
  • Unlawful use of personal data or monitoring/surveillance of ID systems or other databases holding it
  • Data collected or stored as part of ID systems or other personal data databases has been altered without authorisation.
  • Interference with ID systems or other databases that contain personal data without authorisation.

One commonly accepted privacy concept states that personal information about an individual should only be obtained and used with that person’s agreement, barring any other legal justifications. When a person’s consent is required for the collection, that person must be transparently informed of the type of personal data being gathered about them and the purposes for which it will be put.

When the government collects data by a legal mandate, such as when data is collected for ID systems, many international and regional standards and national laws make exceptions to the consent requirement for the collection and use of personal information (see, for instance, the EU Commission’s model contracts for international data transfers). Transparency can at least offer understandable justifications in situations where permission is neither necessary nor possible to ensure public confidence and avoid misunderstandings. People can be made aware of which information is private or public.

Some nations employ a privacy policy as a simple guide describing how personal data is gathered and handled in plain English. To spread knowledge about collecting and using personal data. However, public awareness efforts are equally essential. These can clarify misconceptions, ease worries, and show where to direct inquiries and grievances.

Guidelines to be Followed While Drafting a Privacy Policy 

The following must be ensured in a privacy policy 

  • Lawfulness: Personal data should only be collected and used based on legal justifications, such as consent, contractual necessity, legal compliance, protection of essential interests, public interest, and legitimate interest.
  • Fairness and openness: Personal information should be gathered and used fairly and openly.
  • Accuracy: Personal information must be current and accurate, and errors must be quickly fixed.
  • Storage constraints: Transaction metadata should not be retained for any longer than is required to fulfil the purposes for which it was gathered and processed. People may be offered a choice regarding the retention period for transaction metadata.
  • Privacy Enhancing Technologies (PETs): Requirements to use privacy-protecting technologies, such as the tokenisation of unique identity numbers, which reduce or eliminate the collection of personal data, stop it from being processed inadvertently or unnecessarily, and make it easier to comply with data protection laws.
  • Accountability: Suitable, independent oversight authority and the data subjects themselves should keep an eye on the processing of personal data in compliance with the criteria above.

In general, personal information should only be lawfully obtained (typically through freely given consent) for a specific purpose. Governments or other parties should not use it for unauthorised surveillance, profiling, or unrelated purposes without consent (unless otherwise required under the law). The ability to obtain and correct inaccurate data about users and mechanisms to seek redress to secure these rights are all rights that users should have over the data that is about them.

Bottom Line

Data portability is the term used to describe how quickly personal information about an individual may be moved, copied or transferred from one technology environment to another. People can use the data gathered in various situations to its portability. Regarding commercial organisations, such portability reduces the dangers of customers becoming trapped in a single service provider, which would otherwise provide an advantage over rivals who lack ready access to such data about an ID system. Such a right might allow people to utilise the personal information gathered by the system for other technological applications, preventing customers from becoming ‘locked’ to certain services. To understand more about data protection and information collection, contact our team at Vakilsearch.

10 Common Issues with Privacy Policies

  • Vague Language: 

Many policies use ambiguous terms that don’t clearly define what data is collected or how it’s used.

  • Non-compliance with Local Laws: 

Not all policies adhere to the legal requirements of every jurisdiction they operate in.

  • Lack of Transparency: 

Some policies fail to openly disclose third-party sharing or data storage practices.

  • Outdated Information: 

Privacy policies that aren’t regularly updated can have outdated or incorrect data practices.

  • Ignoring Mobile Data: 

Many policies overlook data collected from mobile apps or devices.

  • Missing Rights of the User: 

Some policies don’t address user rights, like data deletion or access.

  • Overly Complex Language: 

Policies written in complex legalese can be hard for average users to understand.

  • Inadequate Security Descriptions: 

Not detailing how user data is protected can be a major oversight.

  • Hidden Consent Mechanisms: 

Failing to get explicit consent from users for data collection can lead to issues.

  • Absence of Contact Information: 

Users should always have a way to reach out with concerns about their data.

FAQs on Privacy Policy

What is violation of privacy policy in India?

In India, violating a privacy policy can lead to legal repercussions under the Information Technology Act, 2000, and other relevant data protection regulations.

What is the purpose of privacy policy?

A privacy policy is designed to inform users about how their personal data is collected, stored, and used by a website or application.

Also, Read:

Subscribe to our newsletter blogs

Back to top button


Remove Adblocker Extension