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IAPP CIPP-US Exam Sample Questions

Question # 1

Which venture would be subject to the requirements of Section 5 of the Federal Trade Commission Act?

A. A local nonprofit charity’s fundraiser

B. An online merchant’s free shipping offer

C. A national bank’s no-fee checking promotion

D. A city bus system’s frequent rider program

Answer

B.

An online merchant’s free shipping offer

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Question # 2

What was the original purpose of the Federal Trade Commission Act?

A. To ensure privacy rights of U.S. citizens

B. To protect consumers

C. To enforce antitrust laws

D. To negotiate consent decrees with companies violating personal privacy

Answer

C.

To enforce antitrust laws

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Question # 3

Which is an exception to the general prohibitions on telephone monitoring that exist under the U.S. Wiretap Act?

A. Call center exception

B. Inter-company communications exception

C. Ordinary course of business exception

D. Internet calls exception

Answer

C.

Ordinary course of business exception

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Question # 4

Which of the following describes the most likely risk for a company developing a privacy policy with standards that are much higher than its competitors?

A. Being more closely scrutinized for any breaches of policy

B. Getting accused of discriminatory practices

C. Attracting skepticism from auditors

D. Having a security system failure

Answer

A.

Being more closely scrutinized for any breaches of policy

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Question # 5

SCENARIO - Please use the following to answer the next question: Jane is a U.S. citizen and a senior software engineer at California-based Jones Labs, a major software supplier to the U.S. Department of Defense and other U.S. federal agencies. Jane's manager, Patrick, is a French citizen who has been living in California for over a decade. Patrick has recently begun to suspect that Jane is an insider secretly transmitting trade secrets to foreign intelligence. Unbeknownst to Patrick, the FBI has already received a hint from anonymous whistleblower, and jointly with the National Security Agency is investigating Jane's possible implication in a sophisticated foreign espionage campaign. Ever since the pandemic, Jane has been working from home. To complete her daily tasks she uses her corporate laptop, which after each login conspicuously provides notice that the equipment belongs to Jones Labs and may be monitored according to the enacted privacy policy and employment handbook. Jane also has a corporate mobile phone that she uses strictly for business, the terms of which are defined in her employment contract and elaborated upon in her employee handbook. Both the privacy policy and the employee handbook are revised annually by a reputable California law firm specializing in privacy law. Jane also has a personal iPhone that she uses for private purposes only. Jones Labs has its primary data center in San Francisco, which is managed internally by Jones Labs engineers. The secondary data center, managed by Amazon AWS, is physically located in the UK for disaster recovery purposes. Jones Labs' mobile devices backup is managed by a mid-sized mobile defense company located in Denver, which physically stores the data in Canada to reduce costs. Jones Labs MS Office documents are securely stored in a Microsoft Office 365 data center based in Ireland. Manufacturing data of Jones Labs is stored in Taiwan and managed by a local supplier that has no presence in the U.S. Before inspecting any GPS geolocation data from Jane's corporate mobile phone, Patrick should first do what?

A. Obtain prior consent from Jane pursuant to the Telephone Consumer Protection Act

B. Revise emerging workplace privacy best practices with a reputable advocacy organization.

C. Obtain a subpoena from law enforcement, or a court order, directing Jones Labs to collect the GPS geolocation data.

D. Ensure that such activity is permitted under Jane's employment contract or the company's employee privacy policy.

Answer

D.

Ensure that such activity is permitted under Jane's employment contract or the company's employee privacy policy.

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