Regulatory Compliance Flashcards
7 cards from real GMC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 Regulatory Compliance flashcards as text
Under GDPR, what is the maximum fine for a Tier 2 (most serious) violation?
Answer: €20 million or 4% of global annual turnover
GDPR Article 83(5) sets Tier 2 fines at up to €20 million or 4% of the undertaking's total worldwide annual turnover, whichever is higher.
What does a Data Processing Agreement (DPA) under GDPR primarily establish between a controller and processor?
Answer: The processor's obligations, security measures, and instructions for handling personal data on behalf of the controller
GDPR Article 28 requires a written DPA that defines the processor's subject matter, duration, nature, purpose, type of data, and obligations including confidentiality and security.
A US-based e-commerce marketer wants to transfer EU customer data to a US analytics vendor. Which mechanism is currently valid for this transfer under GDPR?
Answer: EU-US Data Privacy Framework (DPF)
The EU-US Data Privacy Framework (DPF), adopted in July 2023, is the current valid mechanism for transferring personal data from the EU to certified US organizations.
Which of the following is NOT a lawful basis for processing personal data under GDPR Article 6?
Answer: Business profitability
GDPR's six lawful bases are consent, contract, legal obligation, vital interests, public task, and legitimate interests — business profitability alone is not a recognized basis.
A growth team wants to A/B test email subject lines by sending 50,000 variations to EU subscribers. What GDPR consideration is most important?
Answer: Subscribers must have consented to marketing emails, and A/B testing falls within that consent's scope
As long as the original consent covers marketing communications, A/B testing subject lines is a processing activity within that lawful basis — no additional consent per variant is needed.
Under the FTC's Dot Com Disclosures guidance, where should a material disclosure appear in a digital ad?
Answer: As close to the relevant claim as possible, in a clear and conspicuous manner
FTC Dot Com Disclosures guidance requires that material disclosures be placed as close to the triggering claim as possible so consumers see them before making a decision.
California's CPRA (2023) added which new right for consumers that was not in the original CCPA?
Answer: Right to correct inaccurate personal information
The CPRA expanded CCPA by adding the right to correct inaccurate personal information held by businesses, among other enhancements.