Wednesday, 22 December 2021

Invalid consent and illegal sharing of sensitive data - € 6.5 million fine imposed by the Norwegian DPA on Grindr LLC

It would seem that quite strict requirements have been indicated in the General Data Protection Regulation in relation to consent as a legal basis for personal data processing. But even clear-cut conditions (indeed - not always easy to meet) will not force or encourage data controllers to adopt fully compliant practices, especially when the commercial interests are at stake. This time under scrutiny was Grindr - the world’s largest dating app for LGBTQ+ community. Last week the Norwegian Data Protection Authority imposed approximately € 6.5 million fine for several GDPR breaches. 

The main problem concerned the consent mechanism employed in the application. Grindr implemented a model where a user was only asked whether he or she „Cancel” or „Accept” the privacy policy while registering. If the „Cancel” button was chosen, the data subject could not use the app. What is more, users were not asked separately if they wanted to consent to the sharing of their personal data with Grindr’s partners for marketing purposes. They were forced to accept the policy in its entirety in order to use the app - a classical "take it or leave it" situation. And besides, the length of the privacy policy and the variety of information contained therein made it even more difficult to get acquainted with all relevant issues and make a "freely given, specific, informed and unambiguous" agreement to the processing (see: Art. 4(11) of the GDPR). Therefore in the DPA’s view Grindr did not collect valid consent:


"Where the controller has several different purposes for processing personal data, and it does not allow for separate consents to be given, there is a lack of freedom and control for the data subject. If the data subject cannot identify and opt in to the processing purposes for which the data subject wishes to give his or her consent […] there is no genuine free choice or control."(See: pp.17-18 of the decision). 

The DPA underlined also that in the case at hand the provision of behavioural advertisement was not an essential part of the service, and definitely was not the reason why data subjects used the app. Therefore user’s consent cannot be regarded as „freely given”, even if - as Grindr argued - data subjects were informed how to opt-out from data sharing with third parties. However, according to the GDPR, consent should take the form of a statement or a clear affirmative action. There is no doubt that opt-out model does not fulfill this condition. 

The last but not least, in the EU it is generally forbidden to process special categories of data, so called „sensitive data”. Information on sexual orientation is considered as sensitive (as indicated in Article 9(1) of the GDPR) and as such it enjoys a higher standard of protection. In order to process sensitive data a controller must rely on one of the legal basis stipulated in Article 9(2) of the GDPR. Since Grindr did not collect the consents for processing lawfully, it could not lawfully share the data. 

It is not the first and certainly not the last case where the consent mechanism turns out to be far from exemplary. Just for the record - the issue of consent validity in the context of cookies was examined, inter alia, by the Court of Justice in the Planet49 case (C-673/17; reported on this blog here). Despite clear rules referring to the consent as a legal basis for processing, many controllers still look for new ways to optimize the process of obtaining user consents. Some of them accept, consciously or not, to collect consents not necessarily in a manner consistent with the GDPR. Others try to mislead data subjects by showing in their privacy policies or cookie banners, usually in the first information layer, that there is no consent for processing of personal data by default, while in fact the processing takes place on the basis of the legitimate interests of the controller. What other practices will emerge in the future? We do not know yet, but will keep an eye on them.