CIPT Practice Exam 2025 – Complete Prep Guide

The primary purpose of a data processing agreement is to outline the obligations and responsibilities of data processors. Such agreements are essential in clarifying the relationship between a data controller (the entity that owns the data) and a data processor (the entity that processes data on behalf of the controller). The agreement typically specifies various aspects, such as how the data should be handled, the security measures that must be implemented, compliance with privacy laws, and the right of the data controller to conduct audits.

This legal framework not only protects the rights of the individuals whose data is being processed but also ensures that both parties understand their roles concerning data protection and privacy. By including provisions that mandate data protection practices, accountability, and the handling of data breaches, the agreement establishes a clear expectation of compliance and security between the involved parties.