Data Protection in Australia

Enforcement in Australia

The Information Commissioner is responsible for the enforcement of the Privacy Act and may investigate an act or practice which may be an interference with the privacy of an individual where a complaint has been made. Under the Australian Information Commissioner Act 2010 (Cth), all of the privacy functions under the Privacy Act, such as determining complaints and initiating investigations, may be performed by either the Information Commissioner or the Privacy Commissioner. Importantly, where the Information Commissioner undertakes an investigation of a complaint which is not settled, it is required to ensure that the results of that investigation are publicly available. Currently, this is undertaken by disclosure of the entire investigation report on the OAIC website.

The Information Commissioner may also investigate any "interferences with the privacy of an individual" (i.e. any breaches of the APPs) on its own initiative (i.e. where no complaint has been made) and the same remedies as below are available. 

Historically, the Information Commissioner preferred mediated outcomes between complainants and relevant organisations over high-profile enforcement actions. However, following a number of large-scale data breaches in Australia and in light of the flexible enforcement powers introduced under the Privacy Act Amendment Act, the Information Commissioner appears to be adopting a more proactive approach to investigation and enforcement action. 

After investigating a complaint, the Information Commissioner may dismiss the complaint or find the complaint substantiated and make declarations that the organisation rectify its conduct or that the organisation redress any loss or damage suffered by the complainant (which can include non-pecuniary loss such as awards for stress and / or humiliation). The maximum penalties that may be sought by the Information Commissioner and imposed by the Courts for serious interferences with the privacy of individuals are the greater of (i) AUD $50 million, (ii) three times the benefit of a contravention, or (iii) (where the benefit cannot be determined) 30% of domestic turnover. As a result of the Privacy Act Amendment Act, a lower civil penalty of up to AUD $3.3 million (using current penalty units) applies for "non-serious" interferences with privacy.

The Privacy Act Amendment Act also allows the Information Commissioner to issue infringement notices, which result in payment of civil penalties, for specific breaches of the APPs. These are breaches which are considers to be administrative in nature, and include non-compliant privacy policies, failure to provide appropriate opt-out mechanisms for direct marketing and failure to deal with correction requests.

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