What are Data Processing Agreements (DPA)?

If data processing operations are outsourced to an external service provider, it is necessary to complete a data processing agreement. The DPA sets out the subject-matter and duration, nature and purpose of the processing, the type of personal data and categories of data subjects and the obligations and rights of the controller. Through this contract, the contracting company (the controller) ensures that the other party (the processor) is bound to their obligations.

Order processing often already exists if, for example, companies have payroll accounting performed by a third-party company or remote maintenance is performed by external IT service providers.

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