Privacy Law at Panama
Privacy Law in Panama is governed by a series of regulations and frameworks that ensure the protection of personal data and privacy. The main legal instruments related to data protection in Panama are the Panamanian Data Protection Law and associated regulations, as well as industry-specific privacy guidelines. Below is a detailed overview of Panama's privacy law.
1. Primary Legislation: Law No. 81 of 2019 (Personal Data Protection Law)
The primary legislation governing data protection in Panama is Law No. 81 of 2019, also known as the Personal Data Protection Law. This law regulates the collection, processing, storage, and transfer of personal data, ensuring that individuals’ privacy rights are protected in both the private and public sectors.
Key Objectives of Law No. 81 of 2019:
To protect the privacy of individuals by regulating the processing of personal data.
To establish clear guidelines and principles for organizations that handle personal data.
To align Panama with international data protection standards, such as the GDPR in the European Union.
To regulate cross-border data transfers to ensure personal data is protected when transferred outside Panama.
2. Key Definitions
The law provides specific definitions to clarify the scope of personal data protection:
Personal Data: Any information relating to an identified or identifiable individual. This includes information like name, address, identification number, email address, etc.
Sensitive Data: Data that reveals sensitive aspects of an individual, such as racial or ethnic origin, political opinions, religious beliefs, health information, and sexual orientation.
Data Subject: The individual to whom the personal data relates.
Data Controller: The person or entity that determines the purposes and means of processing personal data.
Data Processor: The person or entity that processes personal data on behalf of the data controller.
3. Principles of Data Protection
The Personal Data Protection Law outlines several principles that guide the processing of personal data:
Lawfulness, Fairness, and Transparency: Data should be processed lawfully, fairly, and transparently.
Purpose Limitation: Personal data should only be collected for specific, legitimate purposes and not further processed in a way that is incompatible with those purposes.
Data Minimization: Personal data should be adequate, relevant, and limited to what is necessary in relation to the purposes for which it is processed.
Accuracy: Personal data should be accurate and, where necessary, kept up to date.
Storage Limitation: Personal data should not be kept longer than necessary for the purposes for which it was collected.
Integrity and Confidentiality: Personal data should be processed in a manner that ensures its security, including protection against unauthorized or unlawful processing and against accidental loss, destruction, or damage.
Accountability: Data controllers are responsible for ensuring compliance with data protection regulations and must be able to demonstrate that they are adhering to these principles.
4. Rights of Data Subjects
Individuals, or data subjects, have several rights under Panama's privacy law, which are similar to those provided by international standards like the GDPR:
Right to Access: Data subjects can request access to their personal data and obtain information on how it is being processed.
Right to Rectification: Data subjects have the right to request corrections to inaccurate or incomplete personal data.
Right to Erasure (Right to be Forgotten): Data subjects can request the deletion of their personal data when it is no longer necessary for the purposes for which it was collected.
Right to Restrict Processing: Data subjects can request that the processing of their personal data be restricted in certain circumstances.
Right to Object: Data subjects can object to the processing of their personal data, particularly for marketing purposes.
Right to Data Portability: Individuals can request the transfer of their data to another service provider in a structured, commonly used, and machine-readable format.
5. Data Breach Notification
Under the Personal Data Protection Law, organizations are required to notify the National Authority of Transparency and Access to Information (Autoridad Nacional de Transparencia y Acceso a la Información, or ANT) and affected individuals in case of a data breach.
Notification Requirements:
Notification to ANT: The data breach must be reported to the ANT without undue delay and, if possible, no later than 72 hours after becoming aware of the breach.
Notification to Affected Individuals: If the breach presents a high risk to the rights and freedoms of individuals, those affected must also be notified.
6. Supervisory Authority
The National Authority of Transparency and Access to Information (ANT) is the regulatory body responsible for overseeing data protection compliance in Panama. It monitors data protection practices, investigates complaints, and enforces the Personal Data Protection Law.
Key Functions of ANT:
Compliance Monitoring: Ensures that organizations adhere to the data protection law.
Issuing Guidelines: Provides guidance to organizations on data protection practices.
Handling Complaints: Investigates complaints from individuals about data protection violations.
Enforcement: Can impose fines and penalties on organizations that fail to comply with the law.
7. Cross-Border Data Transfers
The Personal Data Protection Law places restrictions on cross-border data transfers to ensure that personal data is adequately protected when it is transferred outside of Panama. Personal data may only be transferred to countries or international organizations that provide an adequate level of data protection.
In cases where the receiving country does not provide adequate protection, data controllers must implement measures such as:
Standard Contractual Clauses (SCCs).
Binding Corporate Rules (BCRs) for intra-group data transfers.
Explicit Consent from the data subject for data transfers.
8. Penalties for Non-Compliance
Organizations that fail to comply with Panama's Personal Data Protection Law can face significant penalties, including:
Fines: The law provides for administrative fines for non-compliance. These fines can be substantial, depending on the severity of the violation.
Compensation to Data Subjects: Data controllers may be required to compensate individuals for harm caused by violations of their privacy rights.
Corrective Actions: Organizations may be ordered to take corrective actions to address non-compliance, such as implementing better data protection practices.
9. Exemptions and Special Provisions
The Personal Data Protection Law allows for certain exemptions, such as:
National Security and Public Safety: Data processing related to national security or law enforcement may be exempt from some provisions of the law.
Public Interest: Data processing for public interest purposes, such as public health or scientific research, may have different requirements.
Contractual Necessity: Organizations may process personal data without full consent if necessary for the performance of a contract with the data subject.
✅ Summary of Privacy Law in Panama
| Aspect | Details |
|---|---|
| Primary Law | Law No. 81 of 2019 (Personal Data Protection Law) |
| Supervisory Authority | National Authority of Transparency and Access to Information (ANT) |
| Individual Rights | Access, rectification, erasure, restriction, objection, portability |
| Data Breach Notification | Notify ANT and affected individuals within 72 hours |
| Cross-Border Data Transfers | Allowed to countries with adequate protection; safeguards required otherwise |
| Penalties | Fines, compensation to data subjects, and corrective actions |
| Exemptions | National security, public interest, and contractual necessity |
Conclusion
Panama's Personal Data Protection Law provides a comprehensive legal framework for protecting the privacy of individuals and ensuring the responsible processing of personal data. It aims to enhance transparency, accountability, and compliance with international standards like the GDPR. The National Authority of Transparency and Access to Information (ANT) plays a central role in enforcement and oversight.
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