Canadian Lawyer

30 S E P T E M B E R 2 0 1 8 w w w . c a n a d i a n l a w y e r m a g . c o m "We are now in the fourth industrial revolution, where data is an important economic input," Therrien explains. "If the economy is to flourish, there needs to be a legal framework such that citizens and consumers will have trust in the digital economy." Violating that trust can be costly. In July, still reeling from the impact of the Cambridge Analytica scandal, Facebook's shares dropped nearly 19 per cent — one of the largest one-day drops for a stock in history — wiping out an estimated US$119 billion in share value. Contributing to Facebook's loss was a drop in revenue because of Europe's GDPR, strict new privacy rules that many consider the new gold standard in privacy law. Among the sweeping changes, customers must consent to the collection of their information and be informed about how it is going to be used. Privacy by design and privacy by default — first developed by former Ontario Information and Privacy commis- sioner Ann Cavoukian — are key principles. EU citizens can take their data with them and can request their data be erased — the right to be forgotten. Fines for violating the GDPR can range as high as four per cent of a company's global gross revenue, up to 20 million euros. Europe has traditionally considered Canada's privacy pro- tections equivalent or "adequate," allowing businesses to easily exchange data and personal information about customers. How- ever, people like McEvoy, Cavoukian and University of Ottawa law professor Michael Geist say there is a very real risk that Canada could lose its adequacy status if privacy laws aren't strengthened. "Canada's adequacy finding is very likely to be put at risk if there is a review to see whether it meets the current European privacy law standards," says Geist, adding that GDPR-compliant companies could begin to see Canada's privacy law framework as a business risk. The EU's European data protection supervisor, Giovanni But- tarelli, agrees there is a risk. "Yes, it's true, more or less. But we do not go for a negative find- ing. We're not creating a blacklist of enemies. The question is that other countries will move, will ask for [an adequacy finding] and, therefore, we have to apply the principle of first come, best served. So, if Canada knocks on the door two years from now, it will have to wait a lot because of the queue." Buttarelli says Japan and South Korea have already expressed interest in getting adequacy status. Others, however, question whether Canada needs to adopt all the measures found in the GDPR. "Canada needs to do what is right for Canada," says Morin, pointing out that many of the GDPR's concepts are already found in Canada's privacy laws. "We should not be too quick to adopt methods from other jurisdictions that might not be right for ours." Gratton says Canada's laws are well-balanced. "We have decent laws. They're not perfect. They're not as stringent as what they have in Europe, but [they're] definitely QUICKLY FIND WHAT YOU NEED IN YOUR LEGAL COMMUNITY ALBERTA LEGAL TELEPHONE DIRECTORY 2018-19 Includes Alberta, Northwest Territories, Nunavut and Yukon The Alberta Legal Telephone Directory 2018-19 helps you find lawyers, courts, government departments and any other legal entities you need. Published annually, it includes new and updated names, mailing addresses, email addresses, phone numbers and fax numbers for up to 10,000 listings. Order your copy today! Visit www.store.thomsonreuters.ca or call 1.800.387.5164 for a 30-day no risk evaluation. Spiralbound • August 2018 • $49.50* • Order No. L7798-8403 • ISBN 978-0-7798-8403-2 Multiple copy discounts available *Plus applicable taxes and shipping & handling. Prices subject to change without notice. Untitled-13 1 2018-08-15 2:42 PM

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