Home > Chapter II: Obligations of Data Fiduciary - Sections 4-10 > India DPDPA: Article 4 – Grounds for processing digital personal data

India DPDPA: Article 4 – Grounds for processing digital personal data

4. Grounds for processing digital personal data

(1) A person may process the personal data of a Data Principal only in accordance with the provisions of this Act and for a lawful purpose,—

(a) for which the Data Principal has given her consent; or

(b) for certain legitimate uses.

(2) For the purposes of this section, the expression “lawful purpose” means any purpose which is not expressly forbidden by law.

What Article 4 Means for Your Business

Article 4 establishes that personal data may only be processed for a lawful purpose, either with the consent of the Data Principal, or for certain legitimate uses specified in Article 7. Unlike the GDPR’s six legal bases, the DPDPA uses a narrower framework built primarily around consent, making it one of the most consent-centric data protection laws in the world.

  • Before processing any personal data, your business must have either a valid consent from the individual or a recognised legitimate use under Article 7, there is no general “legitimate interests” ground as exists under GDPR.
  • Data must only be processed for the specific purpose for which consent was obtained, purpose limitation is strictly enforced.
  • Personal data must be accurate and kept only for as long as necessary to fulfil the stated purpose.
  • Data Fiduciaries must implement reasonable security safeguards to protect data at all stages of processing.
  • Map all data processing activities in your organisation against these grounds before the Act’s enforcement provisions become active.

Frequently Asked Questions about Article 4

+ What are the legal grounds for processing personal data under DPDP?
Personal data can be processed only for a lawful purpose, either with the consent of the Data Principal or under certain legitimate uses defined in the Act.
+ Is consent always required for processing data?
No. While consent is a primary requirement, data can also be processed under specific legitimate uses as allowed by the DPDP Act.
+ What does “lawful purpose” mean?
A lawful purpose means any purpose that is not explicitly prohibited by law and complies with the provisions of the DPDP Act.
+ Can a business process data without a valid reason?
No. Processing personal data without a lawful purpose or valid consent can result in non-compliance and potential penalties.
+ Why is Article 4 important for businesses?
It defines the legal basis for all data processing activities, making it essential for businesses to ensure compliance before collecting or using personal data.
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