When do you need a privacy policy? A company typically needs a privacy policy when it collects, uses, or processes personal information. The requirement for publishing privacy policies arises when a company operates in jurisdictions with privacy laws that require transparency and disclosure of how personal data is processed. Common scenarios in which a company is generally required to have a privacy policy include:
- Collecting Personal Information: If a company collects personal information such as names, email addresses, phone numbers, or any other identifiable data from individuals or households;
- Online Presence: Companies that have websites, mobile applications, or online services that collect user information, use cookies, or track user activity;
- Engaging In E-Commerce: If a company sells products or services online and collects customer information for billing, shipping, or other transactional purposes;
- Sharing Data with Third Parties: Companies that share personal information with third-party service providers, vendors, partners, or affiliates; and
- Legal Compliance: Some jurisdictions have specific privacy laws or regulations that mandate the presence of a privacy policy, such as California (CalOPPA) and the European Union’s General Data Protection Regulation (GDPR).
Once you group online presence, e-commerce, and legal compliance together, you quickly realize that most companies doing business on line that target persons living in the US or EU should have privacy policies. Moreover, even if a company does not fall into any of the above categories, having a privacy policy can still be beneficial for establishing trust with customers and demonstrating a commitment to protecting their privacy.
Finally, more important that having a privacy policy is having an accurate privacy policy. Privacy policies are not one size fits all – copying another company’s privacy policy for your website because it looks good can carry a huge risk unless you process personal information in the exact same manner (which is unlikely). Such corporate “borrowing” could lead to unwittingly making false representations in your privacy policy, which could be worse (fines and penalties) than having no privacy policy at all. “Say what you do and do what you say” is a good motto when working through your privacy policy.
Whether your company is drafting its first privacy policy or already has one in place that needs updating, Roberts Law can help. Contact us for a free consultation to discuss your needs and how we can help your business run smoothly.
Author: Josh Roberts
Email: josh@joshrobertslaw.com
Josh Roberts is a business and litigation attorney at Roberts Law, PLLC with over a decade of BigLaw and in-house experience assisting business and business owners to navigate contracts, privacy concerns, negotiations, and dispute resolution.
Disclaimer: The information in this blog post (“post”) is provided for general informational purposes only and may not reflect the current law in your jurisdiction or the jurisdiction applicable to your issue/matter. No information contained in this post should be construed as legal advice from Roberts Law, PLLC or the individual author, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through, this post without seeking the appropriate legal or other professional advice on the particular facts and circumstances at issue from a lawyer licensed in the recipient’s state, country or other appropriate licensing jurisdiction.
