GDPR Effects Implications for Insolvency Practitioners

There’s a big change coming in the method that data protection is handled across the European Union. General Data Protection Regulation (GDPR) will be put in operation on 25 May 2018, and it’s vital that all companies and organizations are ready for it.

This relates to any company or business that is related to the handling of the private data of people who reside in EU countries, regardless of where the company or organization itself is based.

How does this influence bankruptcy experts?

You may have the capability to see how this influences companies and organizations, but still, be inquiring why bankruptcy experts need to be worried. The point is that once a bankruptcy expert becomes answerable for the estate of a bankrupt company or organization they become responsible for making sure that the handling of any private data that pertains to people living within the European Union, satisfies GDPR requirements. It’s important to keep in mind that handling means any actions taken, involving the storage of data.

The insolvency expert doesn’t require to register as a data controller, however, they do have the same duties, while they are in possession of the land. And, they also confront the same penalties should GDPR not obeyed; the possible imposition of substantial penalties.

Why Record Keeping is Vital

As with any company or organization, it’s vital that insolvency experts keep comprehensive and correct reports of their processes and techniques, about the handling of private data. This is because being complying does not just mean making sure that the stipulations of GDPR have complied, it also means being able to verify that this is the situation, by providing official papers.

One additional thing that bankruptcy experts must think about, to abide by GDPR, is the way they cope with the sale of properties, which may contain private data. In these conditions it will usually be mandatory to finalize Data Protection Impact Evaluations, to identify the dangers involved.