What is Data Processing Agreement Drafting?
A data processing agreement is a legal contract between a data controller (the company collecting the data) and a data processor (a service provider who processes it).
It explains how personal data will be accessed, used, and stored. These processes must be aligned with privacy laws to ensure compliance.
Without a data processing agreement, your company could be at risk of various financial and legal problems, such as penalties or claims from people affected by data misuse.
If you need to draft a data processing agreement that’s clear and legal, read the rest of this article. We’ll explore key terms to include in the agreement, how to draft it for accuracy, and why you should consider hiring a qualified lawyer for assistance with the data processing agreement drafting process.
What Essential Terms Should Be in a Data Processing Agreement?
Your data processing agreement should include the following key terms and clauses.
- Data categories. The agreement should specify the exact type of data that will be used under the agreement, such as names or financial details.
- Data subjects. Explain whose data will be processed or stored, such as employees or customers.
- Security measures. For transparency, the agreement should include information about how the data will be kept safe.
- Subprocessing. If the processor can use third parties, this must be specified.
- Duration. How long the agreement will last must be stated, with effective start and end dates.
- Responsibilities. The agreement must state both parties’ responsibilities so that they know what’s expected of them, such as regarding confidentiality obligations.
What are Tips for Data Processing Agreement Drafting?
If you need to write a data processing agreement, you want to provide as much detail as possible to make it comprehensive. Here are some tips to follow when drafting it.
Include Breach Provisions
Consider what will happen should there be a data breach. You’ll want to include notification timelines and response processes so that any security incidents are handled quickly and effectively. This is important to specify to maintain a positive brand reputation.
Specify Audit Rights
The controller in the agreement should be able to inspect or assess the processor’s security measures. This will ensure a high standard of protection is being maintained. Specify details of how they will conduct audits, such as how much notice the processor will receive beforehand.
Don’t Forget Prohibited Uses
Besides explaining the types of data that will be used and processed, and for what purpose, the agreement should include prohibited data uses. This prevents violations and disputes.
Mention Post-Termination Clauses
The agreement should state its termination date, but also provide any post-termination duties that need to be fulfilled. For example, the processor might have to return or delete data when the agreement ends.
Explain Subject Rights
For transparency with data subjects, your agreement should outline their rights. This can include being able to access or delete their data at any time.
Do You Need a Lawyer to Draft Your Data Processing Agreement?
Although you might be able to draft your own data processing agreement, hiring a lawyer to draft it for you offers various benefits. Not only does a lawyer ensure legal compliance with all privacy and data protection laws, but they will also conduct the following tasks:
- Clearly state all roles and duties. A lawyer will explain all the obligations that the data controller and data processor have, preventing anything vague that can result in disputes.
- Customize the agreement. Instead of using a generic contract template, a qualified lawyer will consider your specific needs and business relationships.
- Mention security obligations. A lawyer will consider all the security measures that are required so that you protect personal data.
- Consider cross-border situations. If you’re dealing with the transferring of data across borders, your lawyer will make provisions to ensure it’s done legally and properly.
- Protect you against data breaches. By clearly drafting your data processing agreement, a lawyer will include provisions for how to handle data breaches. This will reduce your risk of legal disputes.
Besides drafting your data processing agreement, a qualified lawyer can also review a contract you’ve already written. This will give you peace of mind that every clause is clear and legal. A lawyer can review your agreement periodically, such as when data protection regulations change, to ensure you remain compliant.
Where to Find a Lawyer for Data Processing Agreement Drafting
If you’d like to hire a lawyer to draft your data processing agreement, you might wonder where to find a reputable, experienced one. Use an online legal network that makes it easy to connect with qualified lawyers who can help you.
ContractsCounsel is one of the largest online legal marketplaces that gives you access to a network of vetted lawyers. All the lawyers available to hire on the platform have years of experience in drafting a range of contracts, including data processing agreements.
If you want a lawyer on the platform to draft your data processing agreement, here are the easy steps to follow online:
- Go to the ContractsCounsel marketplace.
- Post your project for free. You should include some details to help you find the most suitable lawyer. This could include the type of data and parties involved in the agreement.
- Receive multiple bids from lawyers. Instead of having to search for lawyers, lawyers will see your project and send you bids to work on it.
- Review the lawyers’ profiles. To help you select the right lawyer, view information about the lawyers that’s on the platform, such as their location, client ratings for previous projects, expertise, and credentials.
- Connect with a lawyer you think is best suited to your requirements and hire them to draft your data processing agreement for a flat fee.
