Canadian Privacy Commissioner Releases Findings on Disclosure of Consumer Personal Information

On October 16, 2002, the Canadian Privacy Commissioner ("CPC") released a series of findings based on complaints that a number of companies had disclosed customer information without consent, for secondary marketing purposes. The complaints also alleged that the companies had failed to notify customers that personal data would be shared with affiliates and did not provide customers with an opportunity to opt-out of such disclosures. The complaints were brought by the consumer advocacy group, the Public Interest Advocacy Centre ("PIAC"). The CPC found that the complaints against Scotia Bank, Bell Canada, a retail company, and a telecommunications company were unfounded. In case of Scotia Bank, the Commissioner was satisfied that the bank's policy provided a valid basis for knowledge and consent. Scotia Bank representatives would notify their customers of the bank's detailed privacy policies – which explain that customers have the right to withdraw consent – and guide them through the opt-out process. In contrast, the Commissioner found that Bell Mobility, Bell Express Vu, MBNA Canada and Loyalty Management Group (the operator of the Air Miles program) all contravened the Personal Information Protection and Electric Documents Act ("PIPEDA"). Some practices that the Commissioner found unsatisfactory included: providing information to customers that is so broad and uninformative that it precludes consent; failing to provide convenient and immediate opting-out procedures to withdraw consent; and using telephone scripts that fail to indicate that using personal information for marketing purposes is optional and that consent to such purposes may be withdrawn. To view the Commissioner's findings, visit: http://www.privcom.gc.ca/cf-dc/cf-dc_021016_1_e.asp http://www.privcom.gc.ca/cf-dc/cf-dc_021016_2_e.asp http://www.privcom.gc.ca/cf-dc/cf-dc_021016_3_e.asp http://www.privcom.gc.ca/cf-dc/cf-dc_021016_4_e.asp http://www.privcom.gc.ca/cf-dc/cf-dc_021016_5_e.asp http://www.privcom.gc.ca/cf-dc/cf-dc_021016_6_e.asp http://www.privcom.gc.ca/cf-dc/cf-dc_021016_7_e.asp For the PIAC's press releases, visit: http://www.piac.ca/NewsRelease10-02.htm For a copy of PIPEDA, visit: http://laws.justice.gc.ca/en/publaw/46330_17799.html