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In a global economy, it is critical that businesses understand how to protect the personal data they hold. With the increased flow of personal data across borders, it is important for businesses to be aware of the laws and regulations in place to ensure compliance with these transfer rules.

This is particularly relevant in Hong Kong where the PDPO establishes significant privacy rights for data subjects and specific obligations for data controllers, which are based on six data protection principles. The PDPO includes:

A requirement to adopt contractual or other means to prevent personal data transferred to data processors, whether within or outside Hong Kong, from being kept longer than is necessary for processing of the data (DPP 2(3)). A requirement to explicitly notify data subjects of the classes of persons to whom their personal data may be disclosed in a specified manner, and to obtain their consent for that disclosure of their data for any new purpose (DPP 4(2)).

It is common for a business to transfer personal data to another location, either to meet the needs of an individual customer or as part of a corporate transaction. It is therefore vital that businesses are mindful of the laws and regulations in place to protect personal data, and to consider carrying out a transfer impact assessment when making transfers. This will allow them to reduce their risk and promote efficient compliance across their organisation. Padraig Walsh, Partner, Tanner De Witt, explains what you need to know about transfer impact assessments and their application in Hong Kong. He also discusses some of the issues that can arise when a PIA is not carried out. This is particularly important given the increasing cross-border flows of data between Hong Kong and mainland China under the ‘one country, two systems’ principle. Mainland China is a separate legal jurisdiction with its own data privacy laws. Therefore, a transfer impact assessment conducted in relation to the laws of mainland China will not be directly applicable to data transfers between Hong Kong and other locations. It will, however, provide valuable context and insight when assessing the PDPO’s applicability to these transfers.