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Vietnam’s Decree on Personal Data Protection: Key Provisions and Implications for Businesses

Hanoi, Vietnam - The Vietnamese government has issued a comprehensive decree on personal data protection, which comes into effect on July 1, 2023. The decree aims to protect the rights of individuals with regard to their personal data and imposes significant obligations on organizations that process such data.

The decree explicitly recognizes that partial or conditional consent can be valid in certain circumstances, providing more flexibility for businesses when obtaining consent from data subjects.

Notices to Data Subjects Must Meet Certain Content Requirements

The decree requires notices to data subjects to include information on any consequences or damage that the data subject might not expect, but are likely to occur, as well as the start and end times of the processing.

Mandatory Breach Reporting Requirements

In the event of a breach of personal data, organizations must notify the Ministry of Public Security’s Department of Cybersecurity and High-Techn Crime Prevention (AO5) within 72 hours using a prescribed form. The notification must include details such as:

  • Nature of the breach
  • Contact information of the data protection officer
  • Possible consequences
  • Remedial measures taken

Impact Assessments Required

The decree requires organizations to conduct impact assessments before processing personal data, which must include information on:

  • Purposes of the processing
  • Types of data being processed
  • Recipients of the data
  • Security measures applied
  • Assessment of benefits and risks

Requirements for Transferring Personal Data Overseas

Outbound transfers of personal data from Vietnam require a transfer impact assessment, which must include details such as:

  • Objectives of the transfer
  • Types of personal data being transferred
  • Security measures applied
  • Assessment of the impact on data subjects

The decree also requires organizations to submit documentation to the AO5 within 60 days of processing the data.

Repercussions for Contravention

Violations of the decree may result in:

  • Disciplinary action
  • Administrative sanctions
  • Criminal penalties (as determined by regulations issued under the decree)

Implications for Businesses

The decree has significant implications for businesses operating in Vietnam, particularly those that process personal data. With an implementation date of July 1, 2023, without any grace period, it is essential for affected businesses to act promptly to comply with the decree’s requirements.

Organizations are advised to:

  • Conduct impact assessments
  • Prepare documentation for cross-border transfers
  • Ensure compliance

Conclusion

Vietnam’s new decree on personal data protection marks a significant step towards strengthening data privacy in the country. Businesses operating in Vietnam must familiarize themselves with the decree’s requirements and take necessary steps to comply, particularly regarding impact assessments, breach reporting, and cross-border transfers. Failure to do so may result in severe consequences.

Disclaimer

This article is for general information purposes only and does not constitute legal advice. Readers are advised to consult with qualified professionals before taking any action.