RA - 10173-Data - Privacy - Act - of - 2012 IRR - v.072716 PDF

PROPOSED
IRR (July 27, 2016)
Republic of the Philippines

NATIONAL PRIVACY COMMISSION
Metro Manila
Implementing Rules and Regulations of Republic Act No.

10173, known as the Data Privacy Act of 2012
Pursuant to the mandate of the National Privacy Commission to

administer and implement the provisions of the Data Privacy Act of
2012, and to monitor and ensure compliance of the country with
international standards set for data protection, the following rules
and regulations are hereby promulgated to effectively implement the
provisions of the Act:
Rule I. Preliminary Provisions

1. Title
2. Policy
3. Definitions
Rule II. Scope of Application
4. Scope
5. Non-applicability
6. Protection afforded to journalists and their sources
7. Protection afforded to data subjects
Rule III. National Privacy Commission
8. Mandate
9. Functions
10. Administrative Issuances
11. Reports and Public Information
12. Confidentiality of Personal Data
13. Organizational Structure
14. Secretariat
15. Effect of Lawful Performance of Duty
16. Magna Carta for Science and Technology Personnel
Rule IV. Data Privacy Principles
17. General Principles
18. Principles of Transparency, Legitimate Purpose and Proportionality
19. Principles in Collection, Processing and Retention
a. Collection must be for a specified and legitimate purpose
b. Personal Data shall be processed fairly and lawfully
c. Processing should ensure data quality
d. Personal data shall not be retained longer than necessary
e. Any authorized further processing shall have adequate safeguards
20. Principles for Data Sharing
Rule V. Lawful Processing of Personal Data
21. Lawful Processing of Personal Information
22. Lawful Processing of Sensitive Personal Information and Privileged
Information
23. Extension of Privileged Communication
24. Surveillance of Subjects and Interception of Recording of Communications
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PROPOSED IRR (July 27, 2016)
Rule VI. Security Measures for Data Protection

25. Data Privacy and Security
26. Organizational Security
27. Physical Security
28. Technical Security
29. Appropriate Level of Security
Rule VII. Data Privacy and Security in Government.
30. Responsibility of Heads of Agencies
31. Requirements Relating to Access by Agency Personnel to Sensitive Personal
Information
32. Implementation of Security Requirements
33. Applicability to Government Contractors
Rule VIII. Rights of Data Subject
34. Rights of the Data Subject
a. Right to be informed
b. Right to object
c. Right to access
d. Right to correct
e. Right to rectification, erasure or blocking
35. Transmissibility of Rights of the Data Subject
36. Right to Data Portability
37. Limitation on Rights
Rule IX. Data Breach Notification.
38. Data Breach Notification
39. Contents of Notification
40. Delay of Notification
41. Breach Report
42. Procedure for Notification
Rule X. Outsourcing and Subcontracting Agreements.
43. Subcontract of Personal Data
44. Agreements for Outsourcing
45. Duty of Personal Information Processor
Rule XI. Registration and Compliance Requirements
46. Enforcement of the Data Privacy Act
47. Registration of Data Processing Systems
48. Notification for Automatic Processing Operations
49. Approval of Data Sharing Agreements
50. Review by the Commission
Rule XII. Rules on Accountability
51. Accountability for Transfer of Personal Information
52. Accountability for Violation of the Act, these Rules and other issuances
Rule XIII. Penalties
53. Unauthorized Processing of Personal Information and Sensitive Personal
Information
54. Accessing Personal Information and Sensitive Personal Information Due to
Negligence
55. Improper Disposal of Personal Information and Sensitive Personal
Information
56. Processing of Personal Information and Sensitive Personal Information for
Unauthorized Purposes
57. Unauthorized Access or Intentional Breach
58. Concealment of Security Breaches Involving Sensitive Personal Information
59. Malicious Disclosure
60. Unauthorized Disclosure
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61. Combination or Series of Acts

62. Extent of Liability
63. Large-Scale
64. Offense Committed by Public Officer
65. Restitution
66. Fines and Penalties
Rule XIV. Miscellaneous Provisions
67. Appeal
68. Period for Compliance
69. Interpretation
70. Separability Clause
71. Repealing Clause
72. Effectivity Clause
Rule I. Preliminary Provisions
Section 1. Title. These rules and regulations shall be known as the

Implementing Rules and Regulations of Republic Act No. 10173
known as the Data Privacy Act of 2012, or the Rules.
Section 2. Policy. These rules and regulations further enforce the

Data Privacy Act and adopts generally accepted international
principles and standards for data protection, safeguarding the
fundamental right of every individual to privacy while supporting
the free flow of information for innovation, growth and national
development. These rules and regulations recognize the vital role of
information and communications technology in nation-building and
enforce the States inherent obligation to ensure that personal data in
information and communications systems in the government and in
the private sector are secured and protected.
Section 3. Definitions. Whenever used in these Rules, the following

terms shall have the respective meanings hereafter set forth:
*security incident an event or occurrence that affects or tends to

affect data protection, or that may compromise the availability,
integrity and confidentiality of personal data, including those
incidents that would have resulted to a security breach if not for
safeguards in place
*data sharing the disclosure or transfer of personal data under
custody of a natural or juridical person or other entity involved in the
processing of personal data to a third party, excludes outsourcing or
instructions to personal information processor
*data processing systems the structure and procedure by which
personal data is collected and further processed in an information
and communications system or relevant filing system, including the
purpose and intended output of the processing
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*automatic processing systems the use of information and

communications system to perform operation or set of operations on
personal data involving under a logical framework or automated
instructions
a. Act refers to the Data Privacy Act.
b. Breach is a security incident that leads to unlawful or

unauthorized processing of personal, sensitive or privileged
information, or that otherwise compromises the availability,
integrity or confidentiality of personal data processed under the
control of a personal information controller.
c. Commission refers to the National Privacy Commission created

by virtue of the Data Privacy Act.
d. Consent of the data subject refers to any freely given, specific,

informed indication of will, whereby the data subject agrees to
the collection and processing of his or her personal, sensitive or
privileged information. Consent shall be evidenced by written,
electronic or recorded means. It may also be given on behalf of
a data subject by a lawful representative or an agent
specifically authorized by the data subject to do so.
e. Data subject refers to an individual whose personal, sensitive

personal or privileged information is processed.
f. Direct marketing refers to communication by whatever means

of any advertising or marketing material which is directed to
particular individuals.
g. Filing system refers to any set of information relating to natural

or juridical persons to the extent that, although the information
is not processed by equipment operating automatically in
response to instructions given for that purpose, the set is
structured, either by reference to individuals or by reference to
criteria relating to individuals, in such a way that specific
information relating to a particular person is readily accessible.
h. Information and Communications System refers to a system for

generating, sending, receiving, storing or otherwise processing
electronic data messages or electronic documents and includes
the computer system or other similar device by or which data is
recorded, transmitted or stored and any procedure related to
the recording, transmission or storage of electronic data,
electronic message, or electronic document.
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i. Personal data is the term used when referring to personal

information, sensitive personal information and privileged
information collectively.
j. Personal information refers to any information whether

recorded in a material form or not, from which the identity of
an individual is apparent or can be reasonably and directly
ascertained by the entity holding the information, or when put
together with other information would directly and certainly
identify an individual.
k. Personal information controller refers to a natural or juridical

person or any other body who controls the processing of
personal data or instructs another to process personal data on
his or her behalf. The term excludes:
1. A natural or juridical person or any other body who
performs such functions as instructed by another; or
2. A natural person who processes personal data in connection
with his or her personal, family or household affairs.
There is control if the natural or juridical person or any other

body decides on what information is collected, or the purpose
or extent of processing.
l. Personal information processor refers to any natural or juridical

person or any other body to whom a personal information
controller may outsource or instruct the processing of personal
data pertaining to a data subject.
m. Processing refers to any operation or any set of operations

performed upon personal data including, but not limited to, the
collection, recording, organization, storage, updating or
modification, retrieval, consultation, use, consolidation,
blocking, erasure or destruction of data. Processing may be by
by automated means, or manual processing, if the personal
data are contained or are intended to be contained in a filing
system.
n. Privileged information refers to any and all forms of data which

under the Rules of Court and other pertinent laws constitute
privileged communication. For purpose of these rules,
privileged information that is not personal information or
sensitive personal information shall not be included.
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o. Sensitive personal information refers to personal information:

1. About an individuals race, ethnic origin, marital status, age,
color, and religious, philosophical or political affiliations;
2. About an individuals health, education, genetic or sexual
life of a person, or to any proceeding for any offense
committed or alleged to have been committed by such
person, the disposal of such proceedings, or the sentence of
any court in such proceedings;
3. Issued by government agencies peculiar to an individual
which includes, but not limited to, social security numbers,
previous or current health records, licenses or its denials,
suspension or revocation, and tax returns; and
4. Specifically established by an executive order or an act of
Congress to be kept classified.
Rule II. Scope of Application
Section 4. Scope. The Data Privacy Act and these Rules apply to the
processing of personal, sensitive personal or privileged information,
in the government or private sector, under any of the following
conditions:
a. The natural or juridical person involved in the processing of
personal data is found or established in the Philippines.
b. The act, practice or processing relates to personal data about a
Philippine citizen or Philippine resident.
c. The processing of personal data is being done in the
Philippines.
d. The act, practice or processing of personal data is done or
engaged in by an entity with links to the Philippines, with due
consideration to international law and comity, which may
include:
1. Use of equipment located in the country, or maintains an
office, branch or agency in the Philippines for processing of
personal data;
2. A Contract entered in the Philippines;
3. A Juridical entity unincorporated in the Philippines but has
central management and control in the country;
4. An entity that has a branch, agency, office or subsidiary in
the Philippines and the parent or affiliate of the Philippine
entity has access to personal data; or
5. An entity that carries on business in the Philippines
6. An entity collects and holds personal data in the Philippines
Section 5. Non-applicability. The Data Privacy Act does not apply to

the following personal data, to the extent of allowable collection,
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access, use, disclosure or other processing, laid down in the

succeeding paragraphs. The non-applicability does not extend to the
personal information controllers or personal information processors,
which process the same or other personal data, in a manner or for a
purpose that is not specifically provided in this section.
a. The Act and these Rules shall not be used to restrict access to
information that fall within matters of public concern, and for
this purpose shall not apply to:
1. Information about any individual who is or was an officer or
employee of a government institution that relates to the
position or functions of the individual, including:
(a) The fact that the individual is or was an officer or
employee of the government institution;
(b) The title, business address and office telephone number
of the individual;
(c) The classification, salary range and responsibilities of the
position held by the individual; and
(d)The name of the individual on a document prepared by
the individual in the course of employment with the
government.
2. Information about an individual who is or was performing

service under contract for a government institution only in
so far as it relates to the services performed, including the
terms of the contract, and the name of the individual given
in the course of the performance of those services;
3. Information relating to a benefit of a financial nature

conferred on an individual upon the discretion of
government, such as the granting of a license or permit,
including the name of the individual and the exact nature of
the benefit, provided that benefits given in the course of an
ordinary transaction or as a matter of right are not
discretionary benefits under these Rules.
b. The Act and these Rules do not apply to personal information

processed for journalistic, artistic or literary purpose. It shall be
considered for journalistic, artistic or literary purpose if
processing is undertaken with view to publication or
exhibition, upholding freedom of speech, of expression, or of
the press, subject to requirements of other applicable law or
regulations.
c. The Act and these Rules do not apply to personal information

that will be processed for research purpose, subject to relevant
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provisions in the Act or issuances of the Commission. Research

covered by the Act shall be supported to the extent that
research purposes will be achieved without compromising
privacy and security of personal data, and rights of data
subjects.
d. The Act and these Rules do not apply to information necessary

in order to carry out functions of public authority only to the
extent of collection and further processing consistent with a
constitutionally or statutorily mandated function pertaining to
law enforcement, taxation and other regulatory function,
including the performance of the functions of the independent,
central monetary authority. The public authority must
process the information, mindful of the rights of the individual
data subject to privacy and security, and subject to other
restrictions provided by law. If processing is by a personal
information processor, the responsibility of the public authority
as personal information controller remains. Nothing in this Act
shall be construed as to have amended or repealed Republic
Act No. 1405, otherwise known as the Secrecy of Bank Deposits
Act; Republic Act No. 6426, otherwise known as the Foreign
Currency Deposit Act; and Republic Act No. 9510, otherwise
known as the Credit Information System Act (CISA).
e. The Act and these Rules do not apply to information necessary

for banks, other financial institutions under the jurisdiction of
the independent, central monetary authority or Bangko Sentral
ng Pilipinas, and other bodies authorized by law, to comply
with Republic Act No. 9510, and Republic Act No. 9160, as
amended, otherwise known as the Anti-Money Laundering Act
and other applicable laws. Banks and financial institutions
involved in processing of personal data shall be covered by the
act and these Rules where the information collected and
processed to comply with law will be subjected to processing
for other purpose.
f. The Act and these Rules shall not apply to personal information
originally collected from residents of foreign jurisdictions in
accordance with the laws of those foreign jurisdictions,
including any applicable data privacy laws, which is being
processed in the Philippines. The burden of proving the law of
the foreign jurisdiction falls on the person or body seeking
exemption. In the absence of proof, including proof that the
law of the foreign jurisdiction specifically applies to processing
in the Philippines, the applicable law shall be presumed to be
the Act and these Rules.
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Section 6. Protection Afforded to Journalists and their Sources.

a. Publishers, editors or duly accredited reporters of any
newspaper, magazine or periodical of general circulation shall
not be compelled to reveal the source of any news report or
information appearing in said publication if it was related in
any confidence to such publisher, editor, or reporter.
b. Publishers, editors and duly accredited reporters who are
likewise personal information controllers or processors within
the meaning of the law are still bound to follow the Data
Privacy Act and related issuances with regard to the processing
of personal data, upholding rights of their data subjects and
maintaining compliance with other provisions that are not
incompatible with the protection provided by Republic Act No.
53.
Section 7. Protection afforded to Data Subjects.

a. Unless directly incompatible or inconsistent with the preceding
sections, the personal information controller or processor shall
use reasonable means to protect the privacy and security of
personal data.
b. The burden of proving that the Data Privacy Act is not
applicable to a particular information falls on those involved in
the processing of personal data or the party claiming the non-
applicability.
c. In all cases, the determination of the applicability of the Data
Privacy Act shall be liberally interpreted in favor of the rights
and interests of the data subject.
Rule III. National Privacy Commission
Section 8. Mandate. The National Privacy Commission is an

independent body mandated to administer and implement the Data
Privacy Act of 2012, and to monitor and ensure compliance of the
country with international standards set for data protection.
Section 9. Functions. The National Privacy Commission shall have the

following functions:
a. Rule Making. The Commission shall promulgate, review or

amend its rules and regulations, and publish or issue
administrative issuances for the effective implementation of the
Act. This includes:
1. Issue guidelines on security measures for personal data
protection, encryption, and off-site access in government,
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and on the electronic format and technical standards for data

portability;
2. Issue standards for organizational, physical and technical
security measures for data protection taking into account
current data privacy best practices and most appropriate
standard recognized by the information and
communications technology industry;
3. Consult with relevant regulatory agencies in the formulation
of privacy standards or requirements to implement the Act,
with respect to the persons, entities, business activities and
business sectors that said regulatory bodies are authorized to
principally regulate pursuant to law;
4. Propose legislation, amendments or modifications to
Philippine laws on privacy or data protection, as may be
necessary.
b. Advisory. The Commission shall be the advisory body on

matters affecting data privacy and security. This includes:
1. Comment or report on the implication on data privacy of
proposed national or local statutes, regulations or
procedures, issue advisory opinions and interpret the
provisions of this Act and other data privacy laws;
2. Review, approve, reject or require modification of privacy
codes voluntarily adhered to by personal information
controllers, which may include private dispute resolution
mechanisms for complaints against any participating
personal information controller.
c. Public Education. The Commission shall undertake necessary

or appropriate efforts to inform and educate the public of data
privacy, data protection and fair information rights and
responsibilities. This includes:
1. Publish on a regular basis a guide to all laws relating to data
protection;
2. Publish a compilation of agency system of records and
notices, including index and other finding aids;
3. Coordinate with other government agencies and the private
sector on efforts to formulate and implement plans and
policies to strengthen the protection of personal data in the
country;
4. Document and report on the activities of the Commission in
carrying out the provisions of the Act.
d. Compliance and Monitoring. The Commission shall perform

compliance and monitoring functions to ensure effective
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implementation of the Act, these Rules and other issuances.

This includes:
1. Ensure compliance of personal information controllers with
the provisions of the Act, including registration of data
processing systems in the country, and notification prior to
processing of personal data that could adversely affect the
rights and freedoms of data subjects.
2. Monitor the compliance of all government agencies or
instrumentalities on their security and technical measures
and recommend the necessary action in order to meet
minimum standards for protection of personal data
pursuant to the Act;
3. Ensure proper and effective coordination with data privacy
regulators in other countries and private accountability
agents, participate in international and regional initiatives
for data privacy protection;
4. Negotiate and contract with other data privacy authorities
of other countries for cross-border application and
implementation of respective privacy laws and generally
perform such acts as may be necessary to facilitate cross-
border enforcement of data privacy protection;
5. Provide assistance on matters relating data protection at the
request of a national or local agency, a private entity or any
person, including enforcement of rights of data subject;
6. Assist Philippine companies doing business abroad to
respond to data protection laws and regulations;
7. Manage the registration of the personal information
processing system of contractors and its employees entering
into contracts with government that involves accessing or
requiring sensitive personal information from one thousand
(1,000) or more individuals.
e. Complaints and Investigations. The Commission shall

adjudicate on complaints and investigations arising from a
privacy complaint, security breach, a violation of the rights of
data subjects, and failure to comply with the Act, these rules
and other issuances of the Commission. This includes:
1. Receive complaints and institute investigations regarding a
violation of the Act or the rights of data subjects, including
reports of a Security Breach;
For this purpose, the Commission may compel access to
personal data that is subject of any complaint and to collect
the information necessary to perform its functions under the
Act, including the issuance of subpoena to compel
testimony or production of evidence. In resolving any
complaint or investigation, except where amicable
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settlement is reached by the parties, the Commission shall

act as a collegial body.
2. Facilitate or enable settlement of complaints through the use
of alternative dispute resolution processes, and adjudicate
on matters affecting any personal data;
3. Prepare reports on disposition of complaints and resolution
of any investigation it initiates, and, in cases it deems
appropriate, publicize any such report.
f. Enforcement. The Commission shall do all acts as may be

necessary to effectively implement the Data Privacy Act, these
Rules and other issuances of the Commission, and to enforce its
Orders, Resolutions or Decisions, including the imposition of
sanctions, fines or penalties. This includes:
1. Adjudicate privacy or security complaints and related issues
and issue compliance or enforcement orders;
2. Award indemnity on matters affecting privacy or security of
personal data, or rights of data subjects;
3. Issue cease and desist orders, impose a temporary or
permanent ban on the processing of personal data, upon
finding that the processing will be detrimental to national
security, public interest, or in order to preserve and protect
the rights of data subjects;
4. Recommend to the Department of Justice (DOJ) the
prosecution and imposition of penalties specified in the Act;
5. Compel or petition any entity, government agency or
instrumentality to abide by its orders or take action on a
matter affecting data privacy;
6. Impose fines and other administrative penalties for
violations of the Act, these Rules, and other issuances of the
Commission.
g. Other functions. The Commission shall exercise such other

functions as may be necessary to fulfill its mandate under the
law.
Section 10. Administrative Issuances. The Commission shall publish

or issue official directives and administrative issuances, orders and
circulars:
a. To govern the rules of procedure in the exercise of its quasi-
judicial functions, subject to suppletory application of the Rules
of Court;
b. To publish the schedule of fines and penalties for the violation
of the Act, these Rules, issuances or the orders of the
Commission and the fees for its administrative services and
filing fees;
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c. To provide or update the minimum standards for data

protection, in addition to those already provided in these Rules,
considering best practices or to account for the current state of
information and communications technology and the generally
accepted data privacy and security standards;
d. To give an advisory or legal opinions on matters affecting
privacy and security of personal data;
e. To resolve a complaint or investigation and enforce its orders;
f. Other administrative issuances consistent with its mandate.
Section 11. Reports and Public Information. The Commission shall

annually report to the President and Congress on its activities in
carrying out the provisions of this Act. The Commission shall
undertake whatever efforts it may determine to be necessary or
appropriate to inform and educate the public of data privacy, data
protection and fair information rights and responsibilities.
Section 12. Confidentiality of Personal Data. The Commission shall

ensure at all times the confidentiality of any personal data that comes
to its knowledge and possession. Members, employees and
consultants of the Commission, even after their term, employment or
contract has ended, are to be subject to a duty of professional secrecy
with regard to confidential information to which they were given
access.
Section 13. Organizational Structure. The National Privacy

Commission is attached to the Department of Information and
Communications Technology for policy and program coordination in
accordance with Section 38(3) of Executive Order No. 292 series of
1987. The Commission shall remain completely independent in the
performance of its functions.
The Commission shall be headed by a Privacy Commissioner, who

shall act as Chairman of the Commission. The Privacy Commissioner
must be at least thirty-five (35) years of age and of good moral
character, unquestionable integrity and known probity, and a
recognized expert in the field of information technology and data
privacy. The Privacy Commissioner shall enjoy the benefits,
privileges and emoluments equivalent to the rank of Secretary.
The Privacy Commissioner shall be assisted by two (2) Deputy

Privacy Commissioners, one to be responsible for Data Processing
Systems, and one to be responsible for Policies and Planning. The
Deputy Privacy Commissioners must be recognized experts in the
field of information and communications technology and data
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privacy. They shall enjoy the benefits, privileges and emoluments

equivalent to the rank of Undersecretary.
Section 14. Secretariat. The Commission is authorized to establish a

Secretariat, which shall assist the Office of the Commissioner in the
performance of its functions. The Secretariat shall be headed by an
Executive Director and shall be organized according to the following
offices:
a. Data Security and Compliance Office;
b. Legal and Enforcement Office;
c. Finance and Administrative Office;
d. Privacy Policy Office.
Majority of the members of the Secretariat, in so far as practicable,

must have served for at least five (5) years in any agency of the
government that is involved in the processing of personal
information including, but not limited to, the following offices: Social
Security System (SSS), Government Service Insurance System (GSIS),
Land Transportation Office (LTO), Bureau of Internal Revenue (BIR),
Philippine Health Insurance Corporation (PhilHealth), Commission
on Elections (COMELEC), Department of Foreign Affairs (DFA),
Department of Justice (DOJ), and Philippine Postal Corporation
(Philpost).
The organizational structure shall be subject to review and

modification of the Commission, including the creation of new
divisions and units as it may deem necessary, and shall appoint
officers and employees of the Commission in accordance with the
civil service law, rules and regulations.
Section 15. Effect of Lawful Performance of Duty. The Privacy

Commissioner, the Deputy Commissioners, or any person acting on
their behalf or under their direction, shall not be civilly liable for acts
done in good faith in the performance of their duties. However, he or
she shall be liable for willful or negligent acts done by him or her
which are contrary to law, morals, public policy and good customs
even if he or she acted under orders or instructions of superiors:
Provided, that in case a lawsuit is filed against such official on the
subject of the performance of his or her duties, where such
performance is lawful, he or she shall be reimbursed by the
Commission for reasonable costs of litigation.
Section 16. Magna Carta for Science and Technology Personnel.

Qualified employees of the Commission shall be covered by Republic
Act No. 8349, which provides a magna carta for scientists, engineers,
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researchers and other science and technology personnel in the

government.
Rule IV. Data Privacy Principles
Section 17. General Principles. The processing of personal data shall

be allowed, subject to compliance with the requirements of the Data
Privacy Act, other laws allowing disclosure of information to the
public and these Rules. All natural and juridical persons and other
body involved in processing of personal data must ensure
implementation of personal data processing principles set out in the
Act, these Rules and other issuances of the Commission.
Section 18. Principles of Transparency, Legitimate Purpose and

Proportionality. The processing of personal data shall adhere to the
principles of transparency, legitimate purpose and proportionality.
a. Transparency. Processing of personal data shall be known to
the data subject, who must be informed about the nature,
purpose, method, and extent of processing; the rights of data
subject and how these can be exercised; and the identity and
contact details of the personal information controller.
b. Legitimate purpose. The processing of information shall be
compatible with a declared and specified purpose which must
not be contrary to law, morals or public policy.
c. Proportionality. The processing of information shall be
adequate, relevant, suitable, necessary and not excessive in
relation to a declared and specified purpose.
Section 19. General principles in collection, processing and retention.

The processing of personal data shall adhere to the following general
principles with regard to collection, processing and retention.
a. Collection must be for a specified and legitimate purpose

1. There must be consent, which is time-bound, and may be
withdrawn, unless specifically provided by Act, these Rules,
or relevant laws that consent for collection and processing is
not required.
2. The data subject must be provided specific information with
regard to the purpose and extent of processing, including
automatic processing of his or her personal data, or
processing for direct marketing, profiling, and data sharing.
3. The purpose shall be declared before collection unless it is
not reasonable and practicable, in which case purpose must
be declared after collection but before any other processing,
provided that collection and processing of sensitive personal
information or privileged information is prohibited unless
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specifically authorized by law or there is prior consent from

data subject.
4. Personal data to be collected shall only be that which is
necessary and compatible with declared, specified and
legitimate purpose.
b. Personal data shall be processed fairly and lawfully

1. Processing shall be in accordance with the rights of the data
subject, and shall be transparent, affording data subject
sufficient information as to the identity of personal
information controller and recipients of data, right to refuse
or withdraw consent, or to object, and other information
relevant to the processing.
2. Information provided to a data subject must always be in
clear and plain language, easy to understand and easily
accessible.
3. Processing must be compatible with declared, specified and
legitimate purpose.
4. Processed personal data should be adequate, relevant and
not excessive in relation to the declared, specified and
legitimate purpose.
5. Adequate privacy and security safeguards should be in place
in the processing of personal data.
c. Processing should ensure data quality

1. Personal data should be accurate, relevant and complete
with respect to the purpose of processing.
2. Personal data shall be kept up to date when necessary for the
declared, specified and legitimate purpose.
3. Inaccurate or incomplete data must be rectified,
supplemented, destroyed or their further processing
restricted.
d. Personal Data shall not be retained longer than necessary

1. Retention of personal data shall only be until the declared,
specified and legitimate purpose has been achieved or the
processing relevant to the purpose has been terminated.
2. Retention of personal data may be allowed when necessary
to establish, exercise or defend legal claims, for legitimate
business purposes, or when provided by law, which must be
in accordance with standards followed by the applicable
industry or approved by appropriate government agency.
3. Personal data shall be disposed or discarded in a secure
manner that would prevent further processing,
unauthorized access or disclosure to any other party or the
public, or prejudice to the interests of the data subjects.
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e. Any authorized further processing shall have adequate

safeguards.
1. Personal data originally collected for a declared, specified or
legitimate purpose may be retained longer and processed
further for historical, statistical or scientific purposes, and
other purpose specifically authorized by law when there are
adequate safeguards for data privacy and security.
2. Personal data which is aggregated or in a form which does
not permit identification of data subjects may be kept longer
than necessary for the declared, specified and legitimate
purpose.
3. Personal data can not be retained in perpetuity in
contemplation of a possible future use still to be determined.
Section 20. General principles for Data Sharing. Further Processing

of Personal Data collected from a party other than the Data Subject
shall be allowed under any of the following conditions:
a. Data sharing is specifically provided by law, where the law

authorizing the sharing provides adequate safeguards for data
privacy and security.
b. Data Sharing in the Private Sector shall be allowed if the data

subject consents to data sharing.
1. Consent for data sharing shall be required even when the
data is to be shared with an affiliate or mother company, or
similar relationships, unless the data sharing is specifically
authorized by law;
2. Data sharing for commercial purpose, including direct
marketing, shall be covered by a data sharing agreement.
(a) The data sharing agreement should put in place adequate
safeguards for data privacy and security, uphold rights of
data subjects and provide a system by which data subject
can obtain relief for violations.
(b) The data sharing agreement shall be subject to review of
the Commission on it sown initiative or upon complaint
of data subject.
3. The data subject shall be provided with the following
information prior to collection or before data is shared:
(a) Identity of all controllers or processors who will be given
access to data;
(b) Purpose of further processing;
(c) Categories of personal data concerned;
(d) Intended recipients or categories of recipients of
personal data;
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(e) Existence of rights of data subject, including right to

access and correction, and right to object;
(f) Other information that would sufficiently notify the data
subject of the extent of data sharing and manner of
processing.
4. Further processing of shared data shall adhere to the data
protection principles laid down in the Act, these Rules and
other issuances of the Commission.
c. Data collected from parties other than the data subject for
purpose of research shall be allowed when the personal data is
publicly available, or has the consent of the data subject for
purpose of research, provided that adequate safeguards are in
place, and no decision directly affecting the data subject shall be
made on the basis of the data collected or processed. Rights of
data subject shall be upheld without compromising research
integrity.
d. Data Sharing in government agencies for purpose of a public

function or provision of a public service shall be allowed
provided the personal information controller sharing
information under its control or custody with another personal
information controller enters into a data sharing agreement.
The Commission should be notified prior to data sharing.
Rule V. Lawful Processing of Personal Data
Section 21. Criteria for Lawful Processing of Personal Information.

Processing of personal information is allowed unless prohibited by
law. For processing to be lawful:
a. The data subject must have given his or her consent prior to
collection, or as soon as practicable and reasonable.
b. It involves processing of personal information of a data subject
who is a party to a contractual agreement, in order to fulfill
obligations under the contract or to take steps at the request of
the data subject prior to entering into a contract.
c. The processing of information is necessary to comply with
obligations imposed on the personal information controller by
law or rules.
d. The processing of the personal information of a data subject is
necessary to protect his or her vitally important interests,
including life and health.
e. The processing of personal information is to the extent
necessary to respond to national emergency or to comply with
the requirements of public order and safety as prescribed by
law.
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f. The processing of personal information is to the extent

necessary for the performance of the constitutional or statutory
mandate of a public authority.
g. The processing must be necessary to pursue the legitimate
interests pursued by the personal information controller or by a
third party or parties to whom the data is disclosed, except
where such interests are overridden by fundamental rights and
freedoms of the data subject which require protection under the
Philippine Constitution. The interest is legitimate if it relates to
a compelling benefit of both the personal information controller
and the public with minimal impact on the rights of data
subject.
Section 22. Sensitive Personal Information and Privileged

Information. The processing of sensitive personal and privileged
information is prohibited. It shall be allowed only in the following
cases:
a. Consent is given pursuant to a declared, specified and
legitimate purpose by data subject prior to the processing of
sensitive personal information, or by parties to the exchange
prior to processing of privileged information.
b. The processing of the sensitive personal or privileged
information is in accordance with existing laws and regulations
that does not require consent of data subject for processing, and
which guarantees the protection of the sensitive personal
information and the privileged information.
c. The processing is necessary to protect the life and health of the
data subject or another person, and the data subject is not
legally or physically able to express his or her consent prior to
the processing.
d. The processing is necessary to achieve the lawful and
noncommercial objectives of public organizations and their
associations provided that:
(1) Processing is confined and related to the bona fide members
of these organizations or their associations;
(2) The sensitive personal information are not transferred to
third parties; and
(3) Consent of the data subject was obtained prior to
processing.
e. The processing is necessary for purposes of medical treatment,
is carried out by a medical practitioner or a medical treatment
institution, and an adequate level of protection of personal data
is ensured. The use, access to, disclosure and other processing
of personal data for purposes other than for medical treatment
of the data subject requires consent.
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f. The processing concerns such sensitive personal or privileged

information as is necessary for the protection of lawful rights
and interests of natural or legal persons in court proceedings, or
the establishment, exercise or defense of legal claims, or when
provided to government or public authority based on a specific
constitutional or statutory provision.
Section 23. Extension of Privileged Communication. Personal

information controllers may invoke the principle of privileged
communication over privileged information that they lawfully
control or process. Subject to existing laws and regulations, any
evidence gathered on privileged information is inadmissible.
When the Commission inquires upon communication claimed to be

privileged, the Personal Information Controller should prove the
nature of the communication in an executive session. Should the
communication be determined as privileged, it shall be excluded
from evidence, and the contents of the communication shall not form
part of the records of the case. This rule will apply unless the
privileged communication is itself the subject of the breach or privacy
concern, in which case the privileged communication will be subject
of investigation, only to the extent necessary for purposes of
investigation without including the contents of the communication in
the records.
Section 24. Surveillance of Suspects and Interception of Recording of

Communications. The provision of Section 7 of Republic Act No.
9372, otherwise known as the "Human Security Act of 2007, is
hereby amended to include the condition that the processing of
personal data for purpose of surveillance and interception of
recording of communications must comply with the Data Privacy
Act, including adherence to the principles of transparency,
proportionality and legitimate purpose.
Rule VI. Security Measures for Data Protection
Section 25. Data Privacy and Security. The personal information

controller shall put in place organizational, physical and technical
security measures for data protection, including policies for
evaluation, monitoring and review of operations and security risks.
The same obligation shall be required from personal information
processors engaged by the personal information controller to process
personal data on its behalf.
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These measures shall aim to maintain the availability, integrity and

confidentiality of personal data, and prevent negligent, unlawful or
fraudulent processing, access and other interference, use, disclosure,
alteration, loss and destruction of personal data.
The guidelines in the succeeding sections shall be implemented by

any natural or juridical person involved in the processing of data,
which shall also be included in the privacy and security policy of the
company.
Section 26. Guidelines for organizational security measures shall

include:
a. Compliance Officers. Any natural or juridical person or other

body involved in the processing of personal data shall
designate an individual or individuals who shall be
accountable for ensuring compliance with applicable laws and
regulations for protection of data privacy and security. These
accountable officers may be a compliance officer, privacy
officer, information officer or a data protection officer, provided
that the officer or officers so designated shall manage the
privacy and security aspect in the different areas of the
operations, and shall plan, implement and evaluate policies and
programs for data privacy and security.
b. Accountability and Transparency. Any natural or juridical

person or other body involved in the processing of personal
data shall sufficiently describe its data processing system, and
identify duties and responsibilities of those who will have
access to personal data. The privacy policy should include:
1. Information about the purpose of collection and processing
of personal data, including purpose of any intended future
processing, data sharing, access or disclosure;
2. Information about the data flow within the organization,
from the time of collection, processing, retention and
disposal of personal data;
3. A description of data processing system and the physical
and technical security measures being implemented at every
stage of processing;
4. A governance and accountability structure for the processing
of personal data, which shall identify the duties and
responsibilities of those directly involved in the processing
of personal data, including identification of the compliance
officer or any other individual or individuals accountable for
ensuring compliance with applicable laws and regulations
for protection of data privacy and security.
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c. Management of Human Resources. Any natural or juridical

person or other entity involved in the processing of personal
data shall have the responsibility of selecting and supervising
its employees, agents or representatives, particularly those who
will have access to personal data. It shall implement:
1. Procedures for hiring of employees involved in the
processing of personal data, which shall include an
assessment of the potential employees capacity and
competence to perform the functions of the position being
applied for, which may include evaluation of other
conditions that may impact the fitness of the applicant to
handle and access personal data;
2. Capacity building, orientation or training programs for
employees regarding privacy and security policies;
3. Duty of Strict confidentiality on individuals involved in the
processing of personal data, which should form part of the
terms of engagement or employment and which shall
continue even after the individual leaves the service,
transfers to another position or upon termination of
employment or contractual relations;
4. A formal process for ending a person's employment or a
user's access so that inappropriate access to personal data
does not occur;
5. Procedure for incident reporting, investigations and
sanctions for violation of the Act, these rules, or other
company policy.
d. Policy for Collection and Processing of Personal Data. Any

natural or juridical person or other entity involved in the
processing of personal data shall develop, implement and
review:
1. A protocol and design for collection of personal data,
including procedures for obtaining consent, and other rules
relating to the effective period of any consent given, when
applicable;
2. Policy and procedure for data subjects to exercise their rights
under the Data Privacy Act, including the right of
notification, access, correction, or withdrawal of any consent
previously given pertaining to the processing of their
personal data;
3. An access management policy which shall include a process
for accreditation and authentication of authorized users
granted access to the system, policies to implement role-
based access controls, and maintenance of a secure user
record database;
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4. Procedures to limit the processing of data, to ensure that it is

only to the extent necessary to the declared and specified
purpose at time of collection;
5. Policy and procedure to monitor the system for security
breach or any other irregularity that may compromise the
availability, integrity and confidentiality of the personal
data, including a process for identifying and accessing
reasonably foreseeable vulnerabilities in its computer
networks;
6. A protocol to be followed in case of security incident or
technical problems, including procedures for prevention,
investigation, correction and mitigation of any damage that
might result due to a security incident or security breach;
7. Data retention schedule approved by appropriate body,
when applicable, including erasure or disposal of records.
e. Contracts with processors or third parties. The personal

information controller must further ensure that personal
information processors or third parties processing personal
data on its behalf shall implement the security measures
required by the Act, these Rules and other issuances of the
Commission. Contracts with an information processor or any
third party shall ensure continued protection of personal data,
which may include stipulations providing the minimum
standards for data protection and data management,
restrictions on access, use and disclosure of personal data, and
provisions on damages.
f. Review and Monitoring. Any natural or juridical person or

other entity involved in the processing of personal data shall
adopt a quality management program and put in place
procedures for review and monitoring, including:
1. Procedure for security incident reporting, including
notification of the National Privacy Commission in cases of
security breach;
2. Procedures for implementing quality management and
internal audits within the organization or agency;
3. Policy for documentation, regular review, evaluation and
updating of the privacy and security policies and practices.
Section 27. Guidelines for Physical security measures shall include:

a. The personal information controller shall implement policies
and procedures to limit physical access to its facility and work
stations, including guidelines which specify proper use of and
access to workstations and electronic media.
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b. Design of office space and work stations, including the physical

arrangement of furniture and equipment, shall provide privacy
to anyone processing personal data, taking into consideration
the environment and accessibility to public.
c. Policies and procedures shall be implemented to monitor and
limit activities in the room or workstation. The duties,
responsibilities and schedule of individuals involved in the
processing of personal data shall be clearly defined to ensure
that only the individuals actually performing official duties
shall be in the room or work station, at any given time.
d. The personal information controller should implement policies
and procedures regarding the transfer, removal, disposal, and
re-use of electronic media, to ensure appropriate protection of
personal data.
e. Policies and procedures to prevent mechanical destruction of
files and equipment shall be in place. The room and
workstation shall in so far as may be practical be secured
against natural disasters, power disturbances, external access
and other similar threats.
Section 28. Guidelines for Technical security measures shall include:

a. Personal information controllers shall have in place technical
and logical security measures for data protection, intended to
safeguard the availability, integrity and confidentiality of
personal data.
b. Personal data in a computer network should be protected
against risks such as accidental, unlawful or unauthorized
usage, any interference which will affect data integrity or
hinder functioning or availability of system, and unauthorized
access transmitted over an electronic network. Regular
assessment for vulnerabilities in its computer systems should
be conducted.
c. Hardware, software, and procedural mechanisms to record and
examine access and other activity in information systems
containing personal data, including the monitoring and
tracking of any alterations, deletions or additions made to
records shall be implemented.
d. Technical Security measures such as data encryption, during
storage and while in transit, authentication process, and other
measures to control and limit access to electronic data should be
in place.
Section 29. Appropriate Level of Security. The Commission shall

monitor compliance of natural or juridical person or other body
involved in the processing of personal data on their security
measures based on the guidelines provided in these Rules and
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subsequent issuances of the Commission. The determination of the

appropriate level of security measures must take into account the
nature of the personal information to be protected, the risks
represented by the processing, the size of the organization and
complexity of its operations, current data privacy best practices and
the cost of security implementation. The security measures provided
herein shall be subject to regular review and evaluation, and shall be
updated by the Commission in separate issuances, as may be
necessary, taking into account the most appropriate standard
recognized by the information and communications technology
industry and data privacy best practices.
Rule VII. Data Privacy and Security in Government.
Section 30. Responsibility of Heads of Agencies. All sensitive

personal information maintained by the government, its agencies and
instrumentalities shall be secured, as far as practicable, with the use
of the most appropriate standard recognized by the information and
communications technology industry, subject to these Rules and
other issuances of the Commission. The head of each government
agency or instrumentality shall be responsible for complying with the
security requirements mentioned herein. The Commission shall
monitor agency compliance and may recommend the necessary
action in order to satisfy the minimum standards.
Section 31. Requirements Relating to Access by Agency Personnel to

Sensitive Personal Information.
a. On-site and Online Access.
1. No employee of the government shall have access to
sensitive personal information on government property or
through online facilities unless the employee has received a
security clearance from the head of the source agency. The
source agency is the agency who originally collected the
personal data.
2. A source agency shall strictly regulate access to sensitive
personal data under its custody or control, particularly when
it allows online access, and shall grant a security clearance
only when the performance of official functions or provision
of a public service directly depends on and can not
otherwise be performed unless online access is allowed to
the agency personnel.
3. Online access to sensitive personal information shall be
allowed, upon approval of the head of the source agency,
subject to the following:
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(a) An information technology governance framework has

been designed and implemented.
(b) Sufficient organizational, physical and technical security
measures are in place.
(c) The agency is capable of protecting sensitive personal
information in accordance with best data privacy
practices and standards recognized by information and
communication technology industry.
(d)The agency personnel given online access has a security
clearance which provides access limited only to that
information needed for the performance of official
functions.
b. Off-site access.
1. Sensitive personal information maintained by an agency
may not be transported or accessed from a location off
government property whether by its agent or employee
unless the head of agency has ensured implementation of
privacy policies and appropriate security measures. A
request for such transportation or access is submitted to and
approved by the head of the agency, which must include
proper accountability structures in the processing of data.
2. The head of agency shall approve requests for off-site access
in accordance with the following guidelines:
(a) Deadline for Approval or Disapproval In the case of any
request submitted to the head of an agency, such head of
the agency shall approve or disapprove the request within
two (2) business days after the date of submission of the
request. In case there is no action by the head of the
agency, then such request is considered disapproved;
(b) Limitation to One thousand (1,000) Records If a request
is approved, the head of the agency shall limit the access
to not more than one thousand (1,000) records at a time,
subject to the succeeding paragraph. Exceptions to this
limitation may be approved by the head of source agency
if necessary to a public function or provision of public
service subject to the same conditions for approving
online access.
3. Encryption. Any technology used to store, transport or
access sensitive personal information for purposes of off-site
access approved under this subsection shall be secured by
the use of the most secure encryption standard recognized
by the Commission.
Section 32. Implementation of Security Requirements.

Notwithstanding the effective date of these Rules, the requirements
26
in the preceding paragraphs shall be implemented before any off-site

or online access request is approved. The Commission shall be
notified of any data sharing agreement between a source agency and
another government agency.
Section 33. Applicability to Government Contractors. In entering into

any contract that may involve accessing or requiring sensitive
personal information from one thousand (1,000) or more individuals,
an agency shall require a contractor and its employees to register
their personal data processing system with the Commission in
accordance with this Act and to comply with the other provisions of
this Act including the immediately preceding sections, in the same
manner as agencies and government employees comply with such
requirements.
Rule VIII. Rights of Data Subject
Section 34. Rights of the Data Subject. The data subject is entitled to
the following rights:
a. Right to be informed.
1. The data subject has a right to know whether personal data
pertaining to him or her shall be, are being or have been
processed, and whether the processing is partly or wholly
automatic. In cases where the collection of data shall be
done over a period of time, including automatic collection of
categories of data, the data subject must be notified in clear
and simple language of this fact, and his or her express
consent must be obtained prior to the processing.
2. The data subject shall be notified and furnished the
information indicated hereunder before the entry of his or
her personal data into the processing system of the personal
information controller, or at the next practical opportunity:
(a) Description of the personal data to be entered into the
system;
(b) Purposes for which they are being or are to be processed,
including processing for direct marketing or historical,
statistical or scientific purpose;
(c) Scope and method of the personal data processing;
(d)The recipients or classes of recipients to whom they are
or may be disclosed;
(e) Methods utilized for automated access, if the same is
allowed by the data subject, and the extent to which such
access is authorized;
27
(f) The identity and contact details of the personal data

controller or its representative;
(g) The period for which the information will be stored; and
(h) The existence of their rights including the right to access,
correction, and object to the processing, as well as the
right to lodge a complaint before the Commission.
b. Right to object. The data subject shall be notified and given an

opportunity to object or withhold consent to processing in case
of changes or any amendment to the information supplied or
declared to the data subject in the preceding paragraph, unless
the change refers to processing of personal data in the following
cases:
1. The personal data is needed pursuant to a subpoena;
2. When the collection and processing are for obvious
purposes, including when it is necessary for the performance
of or in relation to a contract or service to which the data
subject is a party, or when necessary or desirable in the
context of an employer-employee relationship between the
collector and the data subject; or
3. When the information is being collected and processed as a
result of a legal obligation.
c. Right to Access. The data subject has the right to reasonable

access to, upon demand, of the following:
1. Contents of his or her personal data that were processed;
2. Sources from which personal data were obtained;
3. Names and addresses of recipients of the personal data;
4. Manner by which such data were processed;
5. Reasons for the disclosure of the personal data to recipients;
6. Information on automated processes where the data will or
likely to be made as the sole basis for any decision
significantly affecting or will affect the data subject;
7. Date when his or her personal data concerning the data
subject were last accessed and modified; and
8. The designation, or name or identity and address of the
personal information controller.
d. Right to correct. The data subject has the right to dispute the
inaccuracy or error in the personal data and have the personal
information controller correct it immediately and accordingly,
unless the request is vexatious or otherwise unreasonable. If the
personal data have been corrected, the personal information
controller shall ensure the accessibility of both the new and the
retracted information and the simultaneous receipt of the new
and the retracted information by recipients thereof: Provided,
28
That the third parties who have previously received such

processed personal data shall be informed of its inaccuracy and
its rectification upon reasonable request of the data subject.
e. Right to Rectification, Erasure or Blocking. The data subject

shall have the right to suspend, withdraw or order the blocking,
removal or destruction of his or her personal data from the
personal information controllers filing system.
1. This right may be exercised upon discovery and substantial
proof that:
(a) The personal data is incomplete, outdated, false, or
unlawfully obtained;
(b) The personal data is being used for purpose not
authorized by the data subject;
(c) The personal data is no longer necessary for the purposes
for which they were collected;
(d) The personal data concerns private information that is
prejudicial to data subject unless matter of public concern,
part of fair and true reporting or otherwise justified; or
(e) The personal information controller or processor violated
the rights of the data subject.
2. The data subject may request the personal information

controller to notify third parties who have previously
received such processed personal data.
f. Right to damages. The data subject shall be indemnified for any

damages sustained due to such inaccurate, incomplete,
outdated, false, unlawfully obtained or unauthorized use of
personal data or any injury that may have been incurred due to
a violation of his or her rights and freedoms as data subject.
Section 35. Transmissibility of Rights of the Data Subject. The lawful

heirs and assigns of the data subject may invoke the rights of the data
subject for which he or she is an heir or assignee at any time after the
death of the data subject or when the data subject is incapacitated or
incapable of exercising the rights as enumerated in the immediately
preceding section.
Section 36. Right to Data Portability. The data subject shall have the
right, where personal data is processed by electronic means and in a
structured and commonly used format, to obtain from the personal
information controller a copy of data undergoing processing in an
electronic or structured format, which is commonly used and allows
for further use by the data subject. The exercise of this right shall
primarily take into account the right of data subject to have greater
29
control over personal data being processed for commercial purpose,

without compromising national security matters and intelligence
information, trade or industrial secrets, integrity of research, and
other matters which are deemed confidential under the law. The
Commission may specify the electronic format referred to above, as
well as the technical standards, modalities, procedures and other
rules for their transfer.
Section 37. Limitation on Rights. The immediately preceding sections

on the transmissibility of the rights of data subjects and the right to
data portability shall not be applicable if the processed personal data
are used only for the needs of scientific and statistical research and,
on the basis of such, no activities are carried out and no decisions are
taken regarding the data subject: Provided, that the personal data
shall be held under strict confidentiality and shall be used only for
the declared purpose. Likewise, the said sections are not applicable to
processing of personal data gathered for the purpose of
investigations in relation to any criminal, administrative or tax
liabilities of a data subject. The data subject shall exercise his or her
rights in a manner that would not compromise the investigation or
research integrity.
Rule IX. Data Breach Notification.
Section 38. Data Breach Notification.

a. The Commission and affected data subjects shall be notified by
the personal information controller within 72 hours upon
knowledge of or reasonable belief by the personal information
controller or personal information processor that a security
breach requiring notification has occurred.
b. Notification of security breach shall be required when sensitive
personal information or other information that may, under the
circumstances, be used to enable identity fraud are reasonably
believed to have been acquired by an unauthorized person, and
the personal information controller or the Commission believes
that such unauthorized acquisition is likely to give rise to a real
risk of serious harm to any affected data subject.
c. Depending on the nature of the incident, or if there is delay or
failure to notify, the Commission may investigate the
circumstances surrounding the information security breach.
Investigations may include on-site examination of systems and
procedures.
Section 39. Contents of Notification. The notification shall at least

describe the nature of the breach, the sensitive personal information
possibly involved, and the measures taken by the entity to address
30
the breach. The notification to the data subject should also include
measures taken to reduce negative consequence, the authorities or
contact details where the data subject can obtain additional
information about the breach, and any assistance to be provided the
affected data subjects.
Section 40. Delay of Notification. Notification may be delayed only to

the extent necessary to determine the scope of the breach, to prevent
further disclosures, or to restore reasonable integrity to the
information and communications system.
a. In evaluating if notification is unwarranted, the Commission
may take into account compliance by the personal information
controller with this section and existence of good faith in the
acquisition of personal data.
b. The Commission may exempt a personal information controller
from notification where, in its reasonable judgment, such
notification would not be in the public interest or in the
interests of the affected data subjects.
c. The Commission may authorize postponement of notification
where it may hinder the progress of a criminal investigation
related to a serious breach.
Section 41. Breach Report.

a. The personal information controller shall notify the
Commission by submitting a report, whether written or
electronic, containing the required contents of notification. The
personal information controller shall also include in the report
the name of a designated representative and his or her contact
information. In case of submission by electronic mail, the
personal information controller shall ensure secure
transmission.
b. All security incident or security breach shall be documented
even if not covered by the notification requirements. For
security breach, these should include the facts surrounding the
incidents, effects and the remedial actions taken. For other
security incidents, aggregated data shall constitute sufficient
compliance. These reports shall be made available upon
demand. An electronic summary shall be submitted to the
Commission annually.
Section 42. Procedure for Notification. The Procedure for security

breach notification shall be in accordance with the Act and these
Rules, and any other issuance of the Commission.
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Rule X. Outsourcing and Subcontracting Agreements.
Section 43. Subcontract of Personal Data. A personal information

controller may subcontract the processing of personal data, provided
that the personal information controller shall use contractual or other
reasonable means to ensure that proper safeguards are in place to
ensure the confidentiality of the personal data processed, prevent its
use for unauthorized purposes, and generally, comply with the
requirements of the Act and other applicable laws, these Rules and
other issuances for processing of personal data.
Section 44. Agreements for Outsourcing. Agreements for outsourcing

or subcontracting shall include the following:
a. Subject and duration of work;
b. The extent, type and purpose of data processing;
c. Organization, Physical and Technical measures to be taken;
d. The rectification, erasure and blocking of data;
e. The personal information processor's obligations, particularly
with regard to monitoring;
f. Rights regarding subcontracting;
g. The personal information controller's monitoring rights;
h. The subcontractor's notification obligations, including
notification of the personal information controller in case of
security breach;
i. The extent of the controller's authority to issue instructions to
the processor;
j. The return and/or erasure of data by the processor at the
conclusion of the work;
k. The geographic location/s at which the processing under the
subcontracting agreement will be performed.
Section 45. Duty of personal information processor. The personal

information processor shall comply with all the requirements of this
Act and other applicable laws, in addition to obligations provided in
the agreement with a personal information controller. These shall
include the duty to put in place adequate safeguards for data privacy
and security, to comply with standards for organizational, physical
and technical security measures, and to uphold the rights of data
subjects.
Rule XI. Registration and Compliance Requirements
Section 46. Enforcement of the Data Privacy Act. Pursuant to the

mandate of the Commission to administer and implement the Act,
and to ensure compliance of personal information controllers with its
obligations under the law, the Commission requires:
32
a. Registration of personal data processing systems operating in

the country, including the personal data processing system of
contractors and its employees entering into contracts with
government that involves accessing or requiring sensitive
personal information from one thousand (1,000) or more
individuals;
b. Notification of the Commission prior to data sharing if the
personal data to be shared is under control or custody of the
government;
c. Annual report on documented security incidents; and
d. Compliance with other requirements that may be provided in
other issuances of the Commission.
Section 47. Registration of Personal Data Processing Systems.

Personal information controller and personal information processors
shall register with the Commission their processing operations and
data processing systems when processing of personal data involves
one thousand (1,000) or more individuals.
a. The contents of registration shall include:
1. The name and address of the controller or processor, and of
his representative, if any, including their contact details;
2. The purpose or purposes of the processing, and whether
processing is being done under an outsourcing or
subconracting agreement;
3. A description of the category or categories of data subject
and of the data or categories of data relating to them;
4. The recipients or categories of recipient to whom the data
might be disclosed;
5. Proposed transfers of data outside the Philippines;
6. A general description of privacy and security measures for
data protection;
7. Name/address/contact details of the compliance or
accountable officer, which shall immediately be updated in
case of changes.
8. Description of the information and communications system;
9. Copy of all policies relating to data governance, data
privacy, and information security; and
10.Attestation to all certifications attained that are related to
information and communications processing.
b. In case of complaints or violations of the Act or these Rules, the

failure to register shall be taken into consideration in imposing
the fine or penalty.
c. The procedure for registration shall be in accordance with these
Rules and the issuances of the Commission.
33
Section 48. Notification for Automatic Processing Operations. The

personal information controller carrying out any wholly or partly
automatic processing operations or set of such operations intended to
serve a single purpose or several related purposes shall notify the
Commission when the automatic processing becomes the sole basis of
making decisions about a data subject and when the decision would
significantly affect the data subject.
a. The contents of notification should include the following
information:
1. Purpose of processing;
2. Data or categories of data to undergo processing;
3. Category or categories of data subject;
4. Consent forms or manner of obtaining consent;
5. The recipients or categories of recipient to whom the data
are to be disclosed;
6. The length of time the data are to be stored;
7. Methods and logic utilized for automated processing;
8. Decisions relating to the data subject that would be made
on the basis of processed data or that would significantly
affect the rights and freedoms of data subject.
9. Name/address/contact details of the compliance or
accountable officer
b. No decision with legal effects concerning the data subject shall
be made solely on the basis of automated processing, unless
data subject consents.
Section 49. Prior Notification of Data Sharing Agreements. Prior

notification of the Commission shall be required in cases where data
sharing involves personal data under control and custody of any
government body, unless the proposed data sharing is specifically
authorized by law and there are adequate safeguards for privacy and
security of personal data.
Section 50. Review by the Commission. The following are subject to

review of the Commission, upon its own initiative or upon
complaint:
a. Compliance by a personal information controller or personal
information processor with the data privacy act, these Rules
and other issuances of the Commission;
b. Compliance with the requirement of putting in place adequate
safeguards for data privacy and security;
c. Any data sharing agreement, outsourcing contract and similar
contracts involving processing of personal data, and its
implementation;
34
d. Any off-site or online access to sensitive personal data in

government allowed by head of agency;
e. Processing of personal data for research purpose, public
function, or commercial activities;
f. Any reported violation of the rights and freedoms of data
subject;
g. Other matters necessary to ensure effective implementation and
administration of the Act, these Rules and other issuances of the
Commission.
Rule XII. Rules on Accountability
Section 51. Accountability for Transfer of Personal Information. Each

personal information controller is responsible for personal data under
its control or custody, including information that have been
transferred to a personal information processor or a third party for
processing, whether domestically or internationally, subject to cross-
border arrangement and cooperation.
a. The personal information controller is accountable for
complying with the requirements of this Act and shall use
contractual or other reasonable means to provide a comparable
level of protection while the information are being processed by
a personal information processor or a third party.
b. The personal information controller shall designate an
individual or individuals who are accountable for the
organizations compliance with this Act. The identity of the
individual or individuals so designated shall be made known to
any data subject upon request.
Section 52. Accountability for violation of the Act, these Rules and
other issuances.
a. Administrative Liability. Any natural or juridical person or
other body involved in the processing of personal data, and
who fails to comply with the requirements of the Act, these
Rules and other issuances, shall be liable for the violation, and
the corresponding penalty or fine.
b. Civil Liability. In cases where a data subject files a complaint
for violation of his or her rights as data subject, and for any
injury suffered as a result of the processing of his or her
personal data, the Commission shall award indemnity on the
basis of the applicable provisions of the Civil Code.
c. Criminal Liability. In case of criminal acts and corresponding
personal penalties, the person who committed the unlawful act
or omission based on substantial evidence shall be
35
recommended for prosecution. The personal information

controller or personal information processor is the offender if
the commission of the unlawful act or omission was committed
pursuant to a policy, order or instruction of the personal
information controller or personal information processor, or if
the crime is one defined under the Act as being committed by
the personal information controller or processor. If the
offender is a corporation, partnership or any juridical person,
the penalty shall be imposed upon the responsible officers, as
the case may be, who participated in, or by their gross
negligence, allowed the commission of the crime.
Rule XIII. Penalties
Section 53. Unauthorized Processing of Personal Information and

Sensitive Personal Information.
a. The unauthorized processing of personal information shall be
penalized by imprisonment ranging from one (1) year to three
(3) years and a fine of not less than Five hundred thousand
pesos (Php500,000.00) but not more than Two million pesos
(Php2,000,000.00) and shall be imposed on persons who process
personal information without the consent of the data subject, or
without being authorized under this Act or any existing law.
b. The unauthorized processing of sensitive personal information
shall be penalized by imprisonment ranging from three (3)
years to six (6) years and a fine of not less than Five hundred
thousand pesos (Php500,000.00) but not more than Four million
pesos (Php4,000,000.00) and shall be imposed on persons who
process sensitive personal information without the consent of
the data subject, or without being authorized under this Act or
any existing law.
Section 54. Accessing Personal Information and Sensitive Personal

Information Due to Negligence.
a. Accessing personal information due to negligence shall be
penalized by imprisonment ranging from one (1) year to three
(3) years and a fine of not less than Five hundred thousand
pesos (Php500,000.00) but not more than Two million pesos
(Php2,000,000.00) and shall be imposed on persons who, due to
negligence, provided access to personal information without
being authorized under this Act or any existing law.
b. Accessing sensitive personal information due to negligence
shall be penalized by imprisonment ranging from three (3)
years to six (6) years and a fine of not less than Five hundred
thousand pesos (Php500,000.00) but not more than Four
million pesos (Php4,000,000.00) and shall be imposed on
36
persons who, due to negligence, provided access to sensitive

personal information without being authorized under this Act
or any existing law.
Section 55. Improper Disposal of Personal Information and Sensitive

Personal Information.
a. The improper disposal of personal information shall be
penalized by imprisonment ranging from six (6) months to two
(2) years and a fine of not less than One hundred thousand
pesos (Php100,000.00) but not more than Five hundred
thousand pesos (Php500,000.00) and shall be imposed on
persons who knowingly or negligently dispose, discard or
abandon the personal information of an individual in an area
accessible to the public or has otherwise placed the personal
information of an individual in its container for trash collection.
b. The improper disposal of sensitive personal information shall
be penalized by imprisonment ranging from one (1) year to
three (3) years and a fine of not less than One hundred
thousand pesos (Php100,000.00) but not more than One million
pesos (Php1,000,000.00) and shall be imposed on persons who
knowingly or negligently dispose, discard or abandon the
sensitive personal information of an individual in an area
accessible to the public or has otherwise placed the sensitive
personal information of an individual in its container for trash
collection.
Section 56. Processing of Personal Information and Sensitive Personal

Information for Unauthorized Purposes.
a. The processing of personal information for unauthorized
purposes shall be penalized by imprisonment ranging from one
(1) year and six (6) months to five (5) years and a fine of not less
than Five hundred thousand pesos (Php500,000.00) but not
more than One million pesos (Php1,000,000.00) and shall be
imposed on persons processing personal information for
purposes not authorized by the data subject, or otherwise
authorized under this Act or under existing laws.
b. The processing of sensitive personal information for
unauthorized purposes shall be penalized by imprisonment
ranging from two (2) years to seven (7) years and a fine of not
less than Five hundred thousand pesos (Php500,000.00) but not
more than Two million pesos (Php2,000,000.00) and shall be
imposed on persons processing sensitive personal information
for purposes not authorized by the data subject, or otherwise
authorized under this Act or under existing laws.
37
Section 57. Unauthorized Access or Intentional Breach. The penalty of

imprisonment ranging from one (1) year to three (3) years and a fine
of not less than Five hundred thousand pesos (Php500,000.00) but not
more than Two million pesos (Php2,000,000.00) and shall be imposed
on persons who knowingly and unlawfully, or violating data
confidentiality and security data systems, breaks in any way into any
system where personal and sensitive personal information is stored.
Section 58. Concealment of Security Breaches Involving Sensitive

Personal Information. The penalty of imprisonment of one (1) year
and six (6) months to five (5) years and a fine of not less than Five
hundred thousand pesos (Php500,000.00) but not more than One
million pesos (Php1,000,000.00) and shall be imposed on persons
who, after having knowledge of a security breach and of the
obligation to notify the Commission pursuant to Section 20(f) of the
Data Privacy Act, intentionally or by omission conceals the fact of
such security breach.
Section 59. Malicious Disclosure. Any personal information controller

or personal information processor or any of its officials, employees or
agents, who, with malice or in bad faith, discloses unwarranted or
false information relative to any personal information or sensitive
personal information obtained by him or her, shall be subject to
imprisonment ranging from one (1) year and six (6) months to five (5)
years and a fine of not less than Five hundred thousand pesos
(Php500,000.00) but not more than One million pesos
(Php1,000,000.00).
Section 60. Unauthorized Disclosure.

a. Any personal information controller or personal information
processor or any of its officials, employees or agents, who
discloses to a third party personal information not covered by
the immediately preceding section without the consent of the
data subject, shall be subject to imprisonment ranging from one
(1) year to three (3) years and a fine of not less than Five
hundred thousand pesos (Php500,000.00) but not more than
One million pesos (Php1,000,000.00).
b. Any personal information controller or personal information
processor or any of its officials, employees or agents, who
discloses to a third party sensitive personal information not
covered by the immediately preceding section without the
consent of the data subject, shall be subject to imprisonment
ranging from three (3) years to five (5) years and a fine of not
less than Five hundred thousand pesos (Php500,000.00) but not
more than Two million pesos (Php2,000,000.00).
38
Section 61. Combination or Series of Acts. Any combination or series

of acts as defined in Sections 53 to 60 shall make the person subject to
imprisonment ranging from three (3) years to six (6) years and a fine
of not less than One million pesos (Php1,000,000.00) but not more
than Five million pesos (Php5,000,000.00).
Section 62. Extent of Liability. If the offender is a corporation,

partnership or any juridical person, the penalty shall be imposed
upon the responsible officers, as the case may be, who participated in,
or by their gross negligence, allowed the commission of the crime. If
the offender is a juridical person, the court may suspend or revoke
any of its rights under this Act. If the offender is an alien, he or she
shall, in addition to the penalties herein prescribed, be deported
without further proceedings after serving the penalties prescribed. If
the offender is a public official or employee and he or she is found
guilty of acts penalized under Sections 55 and 56 of these Rules, he or
she shall, in addition to the penalties prescribed herein, suffer
perpetual or temporary absolute disqualification from office, as the
case may be.
Section 63. Large-Scale. The maximum penalty in the scale of

penalties respectively provided for the preceding offenses shall be
imposed when the personal data of at least one hundred (100)
persons is harmed, affected or involved as the result of the above
mentioned actions.
Section 64. Offense Committed by Public Officer. When the offender

or the person responsible for the offense is a public officer as defined
in the Administrative Code of the Philippines in the exercise of his or
her duties, an accessory penalty consisting in the disqualification to
occupy public office for a term double the term of criminal penalty
imposed shall be applied.
Section 65. Restitution. Pursuant to the exercise of its quasi-judicial

functions, the Commission shall award indemnity to an aggrieved
party on the basis of the provisions of the New Civil Code. Any
complaint filed by a data subject shall be subject to payment of filing
fees unless data subject is an indigent.
Section 66. Fines and Penalties. Violations of the Data Privacy Act,
these Rules, other issuances and orders of the Commission, shall,
upon notice and hearing, be subject to cease and desist orders,
temporary or permanent ban on the processing of personal data,
compliance and enforcement orders, or payment of fines in
accordance with a schedule to be published by the Commission.
39
Rule XIV. Miscellaneous Provisions
Section 67. Appeal. Appeal from decisions of the Commission shall

be to the proper courts in accordance with the Rules of Court or as
may be prescribed by law.
Section 68. Period for Compliance. Any natural or juridical person or

other body involved in the processing of personal data shall comply
with the personal data processing principles and standards already
laid out in the Data Privacy Act.
Personal information controllers and Personal Information processors

shall be given one year from the effectivity of these rules to register
their data processing systems or notify their automatic processing
operations to the Commission. Any subsequent issuance of the
Commission including those that implement specific standards for
data portability, secure encryption, or other security measures shall
provide the period for its compliance.
For a period of one year from the effectivity of these Rules, a personal
information controller and/or processor may apply for extension of
time to comply with the issuances of the Commission, but only for
good cause shown, and subject to the discretion of the Commission.
Section 69. Interpretation. Any doubt in the interpretation of any

provision of this Act shall be liberally interpreted in a manner that
would uphold the rights and interests of the individual about whom
personal data is processed.
Section 70. Separability Clause. If any provision or part hereof is held

invalid or unconstitutional, the remainder of the law or the provision
not otherwise affected shall remain valid and subsisting.
Section 71. Repealing Clause. Except as otherwise expressly provided

in the Act or these Rules, all other laws, decrees, executive orders,
proclamations and administrative regulations or parts thereof
inconsistent herewith are hereby repealed or modified accordingly.
Section 72. Effectivity Clause. This Act shall take effect fifteen days
after its publication in at least two (2) national papers of general
circulation.
40

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PROPOSED

IRR (July 27, 2016)

Republic of the Philippines

Implementing Rules and Regulations of Republic Act No.

Pursuant to the mandate of the National Privacy Commission to

Rule I. Preliminary Provisions

Rule VI. Security Measures for Data Protection

61. Combination or Series of Acts

Rule I. Preliminary Provisions

Section 1. Title. These rules and regulations shall be known as the

Section 2. Policy. These rules and regulations further enforce the

Section 3. Definitions. Whenever used in these Rules, the following

*security incident an event or occurrence that affects or tends to

*automatic processing systems the use of information and

a. Act refers to the Data Privacy Act.

b. Breach is a security incident that leads to unlawful or

c. Commission refers to the National Privacy Commission created

d. Consent of the data subject refers to any freely given, specific,

e. Data subject refers to an individual whose personal, sensitive

f. Direct marketing refers to communication by whatever means

g. Filing system refers to any set of information relating to natural

h. Information and Communications System refers to a system for

i. Personal data is the term used when referring to personal

j. Personal information refers to any information whether

k. Personal information controller refers to a natural or juridical

There is control if the natural or juridical person or any other

l. Personal information processor refers to any natural or juridical

m. Processing refers to any operation or any set of operations

n. Privileged information refers to any and all forms of data which

o. Sensitive personal information refers to personal information:

Rule II. Scope of Application

Section 5. Non-applicability. The Data Privacy Act does not apply to

access, use, disclosure or other processing, laid down in the

2. Information about an individual who is or was performing

3. Information relating to a benefit of a financial nature

b. The Act and these Rules do not apply to personal information

c. The Act and these Rules do not apply to personal information

provisions in the Act or issuances of the Commission. Research

d. The Act and these Rules do not apply to information necessary

e. The Act and these Rules do not apply to information necessary

Section 6. Protection Afforded to Journalists and their Sources.

Section 7. Protection afforded to Data Subjects.

Rule III. National Privacy Commission

Section 8. Mandate. The National Privacy Commission is an

Section 9. Functions. The National Privacy Commission shall have the

a. Rule Making. The Commission shall promulgate, review or

and on the electronic format and technical standards for data

b. Advisory. The Commission shall be the advisory body on

c. Public Education. The Commission shall undertake necessary

d. Compliance and Monitoring. The Commission shall perform

implementation of the Act, these Rules and other issuances.

e. Complaints and Investigations. The Commission shall

settlement is reached by the parties, the Commission shall

f. Enforcement. The Commission shall do all acts as may be

g. Other functions. The Commission shall exercise such other

Section 10. Administrative Issuances. The Commission shall publish

c. To provide or update the minimum standards for data

Section 11. Reports and Public Information. The Commission shall

Section 12. Confidentiality of Personal Data. The Commission shall