Can data protection in services be subcontracted? An institution needs to take good steps to defend PI before it transfers it to a third-party assistance provider or sub-contractor. This article examines the data protection in services and the subcontracting of data protection services.
Can Data Protection in Services Be Subcontract?
The Data Protection Act 1998 (DPA) was to ensure that data is in a lawful, fair, and transparent manner. So, the DPA defines a ‘data controller’ as an individual or organization who determines the purposes for which, and how, personal data is processed.
A ‘data processor’ is an individual or organization that processes personal data on behalf of the data controller. On the other hand, a ‘data subject’ is an individual about whom information is in a personal data system.
Before transferring or sub-contracting the services of data processing to a third party, an organization should make sure that it has the necessary data protection controls in place.
The main purpose of these controls is to ensure that all personal data is following the Data Protection Act. Also, adequate security measures are to prevent any unauthorized access, modification, or disclosure.
The Data Protection Act provides several ways in which an organization can transfer or sub-contract away its responsibilities regarding data protection. Also, as long as it remains ultimately responsible for complying with the Act.
Using a Third Party Supplier/Service Provider:
An organization can transfer its obligations to a third-party supplier/service provider by ensuring that a written contract is between them. However, this does not relieve the organization from any liability under the DPA (s. 14 DPA), unless it has been specifically provided for in the contract between them.
An organization should put in place appropriate contractual provisions which will enable it to take control over the third party’s compliance with its data protection obligations. This is especially true if there are significant changes within either of the organizations involved in such contracts, such as mergers or takeovers, etc.
A spokesperson for (the Department of Trade & Industry) said: “Organizations should ensure that their contracts contain proper provisions relating to their responsibilities and liabilities under data protection law.”
Subcontracting Data Protection Services:
Another way in which an organization can transfer its obligations under the Data Protection Act is by appointing a subcontractor who is responsible. Also, it is for carrying out certain activities relating to processing personal data on behalf of the initial ‘data controller’.
It includes organizations such as professional advisors; software suppliers; outsourcers; recruiters; training organizations; outsourcing service providers; mailing houses, etc. However, the organization remains responsible for compliance with the DPA.
Using a Third-Party Processor
An organization can appoint a third-party processor to process personal data on its behalf. Also, it is the main ‘data controller of such information. However, before doing so, an organization must have a written contract in place that contains certain data protection clauses.
The organization should also be able to retain control over the third-party processor’s security measures and ensure that it takes appropriate measures to protect any personal data it processes on behalf of the organization.
Conclusion
To ensure compliance with the DPA, an organization should take adequate measures to protect any personal data it holds. Also, as to ensure that any third-party service provider or sub-contractor is fully aware of its data protection obligations.