Privacy & Information Security Law Blog

On August 30, 2013, following the effort by the People’s Republic of China to establish a Consumer Rights Protection Bureau in 2012, the China Banking Regulatory Commission (the “CBRC”) issued a document entitled “Guidance for the Banking Sector on the Protection of the Rights of Consumers” (the “Guidance”). Among other things, the Guidance re-emphasizes the principle of protecting personal financial information. Banking institutions are required (1) to take effective measures to protect consumers’ personal financial information; (2) not to modify or illegally use consumers’ personal financial information; and (3) to prevent the disclosure of consumers’ personal financial information to any third party without the relevant consumers’ authorization or consent.

Recent news reports regarding the alleged purchase of personal information by a corporate investigative service firm in Shanghai have raised questions about the possibility of obtaining information about domestic Chinese companies from government corporate registration agencies.

On August 8, 2013, the State Council of the People’s Republic of China released its “Opinions Regarding Facilitating Information Consumption and Boosting Domestic Demand” (Guofa [2013] No. 32, the “Opinions”). The Opinions provide guidelines for encouraging the development of the “consumption of information” in the next few years. “Consumption of information” is a recently-coined Chinese term that encompasses the demand for, and possession, processing and reproduction of, information.

In recent months, the Chinese government has focused an increasing amount of attention on the protection of personal information. As we previously reported, there have been a number of new data protection regulations in China, including the Decision on Strengthening the Protection of Information on the Internet issued by the Standing Committee of the National People’s Congress in December 2012, and new rules issued by the Ministry of Industry and Information Technology this July to protect personal information collected by telecommunications and Internet service providers. This focus also is illustrated by Shanghai authorities’ recent crackdown on crimes involving personal information.

On July 16, 2013, the Ministry of Industry and Information Technology of the People’s Republic of China (the “MIIT”) issued a new rule entitled Provisions on the Registration of Real Identity Information of Telephone Users (the “Provisions”), which will take effect on September 1, 2013. The Provisions were issued pursuant to the Resolution of the Standing Committee of the National People’s Congress Relating to Strengthening the Protection of Information on the Internet (the “Resolution”) and the Telecommunications Regulations of the People’s Republic of China. In April 2013, the MIIT issued a draft of the Provisions and solicited public comment.

On July 16, 2013, the Ministry of Industry and Information Technology of the People’s Republic of China (the “MIIT”) issued a new rule entitled Provisions on the Protection of Personal Information of Telecommunications and Internet Users (the “Provisions”). The Provisions, which will take effect on September 1, 2013, are intended to implement the general requirements set forth in last December’s Resolution of the Standing Committee of the National People’s Congress Relating to Strengthening the Protection of Information on the Internet (the “Resolution”). The Provisions are the first specific regulations concerning personal information protection by telecommunications service providers in China.

On July 22-23, 2013, the APEC E-Commerce Business Alliance and the China International Electronic Commerce Center, a subsidiary organization of the Ministry of Commerce of the People’s Republic of China, held a seminar in Beijing entitled Workshop on the Online Data Privacy Protection in APEC Region. In addition to delegates from Mainland China, representatives from numerous other jurisdictions were in attendance, including the United States, the United Kingdom, Malaysia, Vietnam, South Korea, Hong Kong and Taiwan.

In April 2013, the People’s Republic of China’s General Office of the National People’s Congress published a draft amendment to the Law on the Protection of Consumer Rights and Interests (the “ Proposed Amendment”) and solicited public comments on the Proposed Amendment until May 31, 2013. The Proposed Amendment includes provisions that affect the collection and use of consumer personal information.

In April 2013, the Ministry of Industry and Information Technology of the People’s Republic of China (the “MIIT”) issued a new rule entitled the “Notice on Strengthening the Administration of Networked Smart Mobile Devices” (the “Notice”). This Notice, which will become effective on November 1, 2013, was issued in draft form in June 2012 along with a request for public comment.

On April 10, 2013, the Ministry of Industry and Information Technology of the People’s Republic of China (the “MIIT”) enacted two draft rules (“Provisions on the Protection of Personal Information of Telecommunications and Internet Users” and “Provisions on the Registration of Real Identity Information of Telephone Users”) to solicit public comments. The comment period is open until May 15, 2013. Both Drafts include proposals for substantial provisions on the protection of personal information and were enacted according to the Resolution of the Standing Committee of the National People’s Congress Relating to Strengthening the Protection of Information on the Internet (issued by the Standing Committee in December 2012) and some other telecommunications rules.

On December 28, 2012, the Standing Committee of the National People’s Congress (“NPC”) of the People’s Republic of China passed the Resolution of the Standing Committee of the NPC Relating to Strengthening the Protection of Information on the Internet (the “Regulations”). The Regulations contain significant and far-reaching requirements applicable to the collection and processing of electronic personal information via the Internet.

In June, China’s National Internet Information Office and its Ministry of Industry and Information Technology jointly published draft amendments to the Regulation on Internet Information Services (the “Regulation”). The amendments update the Regulation to cover new issues related to the rapid development of Internet services in China since the Regulation first took effect on September 25, 2000. Although the Regulation originally contained no specific provisions directly pertaining to the protection of personal information, the draft amendments do address personal information protection issues.

The Ministry of Industry and Information Technology of the People’s Republic of China (the “MIIT”) recently issued a regulation entitled “Several Provisions on Regulating Market Orders of Internet Information Services” (the “New Regulations”). The New Regulations, which will take effect on March 15, 2012, include significant new data protection requirements applicable to Internet information service providers (“IISPs”). Consistent with data protection regimes currently in place elsewhere in the world, IISPs will be required to provide much stronger protection for the personal data they collect from users in China, and will be subject to notice and consent requirements, collection limitations and use limitations.

In the past two months, Chinese national authorities amended a law, and provincial authorities in Jiangsu Province issued a new regulation, both of which include provisions concerning the protection of personal information.

Law of the People’s Republic of China on Resident Identity Cards

Any Chinese citizen who resides in China is required to obtain a resident identity card when he or she turns 16 years old. The cards carry information which generally would be considered personal information under Chinese law, such as name, gender, date of birth, home address and identity card number. The Law of the People’s Republic of China on Resident Identity Cards, a national law originally enacted in 2003, was amended on October 29, 2011, to include the following new provisions on the protection of personal information:

On November 2-3, 2011, Mexico’s Federal Institute for Access to Information and Data Protection (“IFAI”) will host the 33rd International Conference of Data Protection and Privacy Commissioners in Mexico City. Marty Abrams, President of the Centre for Information Policy Leadership at Hunton & Williams LLP, is the chairman of the Conference’s advisory panel and principal advisor to Conference organizers on program content. Hunton & Williams is a proud sponsor of the event which will feature Hunton representatives as speakers or moderators on multiple panels and plenary sessions, including the following:

On August 5, 2011, the Beijing Second Intermediate People’s Court announced its decision in what is reported to be the largest criminal case to date involving the misuse of personal information in Beijing, China.  The Court based its ruling on Article 7 of the Seventh Amendment to the Criminal Law, which applies to three types of criminal activities: (1) illegal sale of citizens’ personal information, (2) illegal provision of citizens’ personal information, and (3) illegal access to citizens’ personal information.

On July 27, 2011, the Ministry of Industry and Information Technology of the People’s Republic of China (the “MIIT”) published a draft rule including provisions regulating the processing of personal information by “Internet Information Service Providers.”  The draft rule, entitled “Provisions on the Administration of Internet Information Services” (the “Draft Provisions”), is not the first rule regulating Internet information services in China.  In 2000, the MIIT enacted the “Measures for the Administration of Internet Information Services” (the “Measures”), which took effect on September 25, 2000.  However, the Measures do not include any explicit provisions addressing the protection of personal information.

On January 13, 2011, the China Banking Regulatory Commission issued Measures for the Supervision and Administration of the Credit Card Businesses of Commercial Banks (the “Measures”), which took effect that same day. The Measures are reported to be the first comprehensive regulations relating to the credit card business in China, and include a number of provisions on the protection of personal information by commercial banks, as detailed below.

A draft document, entitled Information Security Technology - Guidelines for Personal Information Protection, has been issued in China for comment.  While comments are being solicited at this time, if issued in its proposed form, this document has the potential to add significantly to the rules governing the handling of personal information in China.  Read More...

In our August 2009 blog post on data protection issues in China, we noted that there was no uniform Chinese law that specifically addresses the protection of personal data, and that it seemed likely that Chinese personal information protection law would continue to develop as a patchwork of piecemeal regulations. This remains true today, and developments since our previous article was published have in fact reinforced this assumption. In the past year and a half, new laws affecting personal information protection in China have arisen in various forms, including a consumer ...

On December 26, 2009, the Standing Committee of China’s National People’s Congress passed a landmark new law that contains provisions affecting personal data. The new law will go into effect on July 1, 2010.

The P.R.C. Tort Liability Law is a wide-ranging law that imposes tort liability for matters ranging from environmental damage to product liability to animal bites. Certain of its provisions relate, expressly or in a general sense, to personal information. These provisions can cause data users to incur liability to data subjects for the mishandling of personal information.

Although China has yet to enact a national data protection law, certain provincial-level rules implementing national consumer protection laws impact the collection and use of personal data.  These provincial regulations may warrant specific attention by entities doing business in the relevant Chinese provinces.  The impact of each of these will often be limited, both because they affect only enterprises doing business in the respective provinces and because the actual requirements of each of these regulations are typically modest.  Also, the potential penalties for violation ...

Privacy laws in China are still evolving, and at this time there is no coordinated legal framework addressing data protection.  There are, however, a number of Chinese laws that are applicable to the processing and protection of personal information.  Navigating the indirect, piecemeal Chinese approach to regulation in this area may prove challenging for foreign counsel accustomed to practicing in jurisdictions with explicit privacy protection legislation and data security laws.  To shed some light on these issues, we have prepared an overview of various Chinese laws that bear on ...

The Standing Committee of the National People’s Congress recently passed an amendment to the P.R.C. Criminal Law.  The amendment includes a provision imposing criminal liability on persons who misappropriate personal information during the course of performing their professional duties.  A previous Hunton & Williams Client Alert reported on the amendment that has now become effective as law.

A law that could increase the level of protection of personal information is circulating among legislative bodies in China. The proposed PRC Tort Liability Law would include clauses providing protections for personal information, by giving a person whose rights are infringed by the use of Internet services a right to demand deletion of the infringing materials. Another clause imposes liability on an Internet service provider that fails to take timely measures after receiving such a demand. Read more...