loader image

Emerging data protection trends and legal challenges

by | Jan 21, 2025

Data’s Dynasty: The New Legal Order

Terms like GDPR, data controller, data processor, data subprocessor, data exporter, and CCPA might sound like they belong in a cyberpunk movie, but these are real, increasingly relevant terms in both legal and technological jargon. Not understanding them puts lawyers and businesses at a serious disadvantage, no matter the service they provide.

Data protection is a topic that has gained significant momentum in recent years, although it has always been present in our daily lives, from creating an account on a social network like Instagram to applying for a visa or work permit in another country.
The difference lies in the fact that, until recently, we hadn’t fully understood its true importance, and as a result, we began to regulate its use. For this reason, many lawyers and companies may still feel like they’re talking about quantum physics when discussing, for example, the well-known GDPR. This regulation, the General Data Protection Regulation of the European Union, governs how the personal data of individuals in the EU may be processed and transferred. It even extends to EU nationals, regardless of whether they are outside European territory.

We haven’t finished understanding all the international data protection regulations, and now these same instruments need to be updated in response to new technologies, such as AI-based language model chat systems like ChatGPT or Gemini.
These instruments, which are so useful for both daily activities and supporting work, have been used carelessly, leading to the storage or exposure of personal or sensitive data such as business emails, contracts, and financial information when making inquiries. The problem is not only that an employee uses these tools to facilitate their work, such as sending an email, but that they often end up involving several third parties unnecessarily.
For example, when an employee uses these tools irresponsibly—such as giving legal advice—there are numerous risks and affected parties. Here are some of the parties at risk in such scenarios:

  • The company for which the employee works: The company’s confidential information is exposed through these tools, increasing the risk of security breaches and potential data leaks.
  • The client: The client’s sensitive information may be exposed, which could lead to reputational damage if it is inadvertently leaked. Furthermore, the irresponsible use of these tools could result in subpar consultancy or legal advice.
  • The lawyer or employee: If the employee misuses this information, they could face disciplinary actions and a significant loss of professional credibility.
  • The tool provider: Companies like OpenAI could be held accountable for irresponsible use of their tools. Although it may seem counterintuitive, they could face lawsuits and complaints from users, damaging the reputation of these technologies.
  • Other third parties: If the inquiry involves information about another company or individual, their information could be shared without consent, exposing them to risks and privacy violations.

This is just the tip of the iceberg, as there are other tools, like IlovePDF, used to combine or split important documents such as contracts or evidence for lawsuits. There are also digital signature applications that fail to meet minimum data protection standards. These are just a few examples, but there are numerous risks and consequences for those who do not use these tools properly.

Conclusion

In the 21st century, the phrase “information is power” has gained even more significance. Our personal data, and even information that may seem insignificant, is valuable and should not be disclosed carelessly. We must take care of it and seek professionals and companies, especially in important sectors like law, to handle it responsibly. In their drive for quick responses or cost savings, they must not neglect our data. Likewise, lawyers must recognize the importance of this information, regardless of their area of expertise, because it is a cross-cutting issue that affects all areas of law.

Ahizar Baquero Apolinar

Legal Manager, GCE Legal. Attorney specializing in sports law with emphasis in international business law and experience in labor law.