CIPP-US Practice Test

A law enforcement subpoenas the ACME telecommunications company for access to text message records of a person suspected of planning a terrorist attack. The company had previously encrypted its text message records so that only the suspect could access this data.
What law did ACME violate by designing the service to prevent access to the information
by a law enforcement agency?

A.

SCA

B.

ECPA

C.

CALEA

D.

USA Freedom Act

Which statute is considered part of U.S. federal privacy law?

A.

The Fair Credit Reporting Act.

B.

SB 1386.

C.

The Personal Information Protection and Electronic Documents Act.

D.

The e-Privacy Directive.

What are banks required to do under the Gramm-Leach-Bliley Act (GLBA)?

A.

Conduct annual consumer surveys regarding satisfaction with user preferences

B.

Process requests for changes to user preferences within a designated time frame

C.

Provide consumers with the opportunity to opt out of receiving telemarketing phone calls

D.

Offer an Opt-Out before transferring PI to an unaffiliated third party for the latter’s own use 

SCENARIO
Please use the following to answer the next QUESTION:
Cheryl is the sole owner of Fitness Coach, Inc., a medium-sized company that helps individuals realize their physical fitness goals through classes, individual instruction, and access to an extensive indoor gym. She has owned the company for ten years and has always been concerned about protecting customer’s privacy while maintaining the highest level of service. She is proud that she has built long-lasting customer relationships.
Although Cheryl and her staff have tried to make privacy protection a priority, the company has no formal privacy policy. So Cheryl hired Janice, a privacy professional, to help her develop one.
After an initial assessment, Janice created a first of a new policy. Cheryl read through the draft and was concerned about the many changes the policy would bring throughout the company. For example, the draft policy stipulates that a customer’s personal information can only be held for one year after paying for a service such as a session with personal trainer. It also promises that customer information will not be shared with third parties without the written consent of the customer. The wording of these rules worry Cheryl since stored personal information often helps her company to serve her customers, even if there are long pauses between their visits. In addition, there are some third parties that provide crucial services, such as aerobics instructors who teach classes on a contract basis.
Having access to customer files and understanding the fitness levels of their students helps instructors to organize their classes.
Janice understood Cheryl’s concerns and was already formulating some ideas for revision. She tried to put Cheryl at ease by pointing out that customer data can still be kept, but that it should be classified according to levels of sensitivity. However, Cheryl was skeptical. It seemed that classifying data and treating each type differently would cause undue difficulties in the company’s day-to-day operations. Cheryl wants one simple data storage and access system that any employee can access if needed.
Even though the privacy policy was only a draft, she was beginning to see that changes within her company were going to be necessary. She told Janice that she would be more comfortable with implementing the new policy gradually over a period of several months, one department at a time. She was also interested in a layered approach by creating documents listing applicable parts of the new policy for each department.
What is the most likely risk of Fitness Coach, Inc. adopting Janice’s first draft of the privacy policy?

A.

Leaving the company susceptible to violations by setting unrealistic goals

B.

Failing to meet the needs of customers who are concerned about privacy

C.

Showing a lack of trust in the organization’s privacy practices

D.

Not being in standard compliance with applicable laws

In 2014, Google was alleged to have violated the Family Educational Rights and Privacy Act (FERPA) through its Apps for Education suite of tools. For what specific practice did students sue the company?

A.

Scanning emails sent to and received by students

B.

Making student education records publicly available

C.

Relying on verbal consent for a disclosure of education records

D.

Disclosing education records without obtaining required consent