In the context of digitalization, customers' personal data has become a valuable asset for businesses. However, their processing in Georgia is regulated by the Law on Personal Data Protection, which obliges companies to comply with strict rules. Violation of the law can lead to serious fines and reputational risks. Let's look at what requirements it sets and how businesses can prepare for them.

1. Who is affected by the law?

The law applies to all companies that:

• Collect and store personal data of customers (full name, contacts, purchase data).
• Use CRM systems to manage customer data.
• Process personal data of employees.
• Share information with third parties (e.g. marketing agencies, partners).

2. What are the basic requirements for the business?

2.1. Awareness and consent

Companies are required to notify customers what data is collected, why and how it will be used. In some cases, explicit consent to data processing is required.

2.2. Data security

Businesses must ensure that personal data is protected from leaks and unauthorized access. To do this, you should:

• Use secure servers.
• Limit employee access to sensitive data.
• Regularly update information security systems.

2.3. Data storage

The law states that data must not be kept for longer than is necessary to fulfill the purposes of processing. Companies are required to set retention periods and to delete information securely.

2.4. Data transfer to third parties

If a business shares customer data with contractors (e.g. courier services or advertising agencies), a data protection agreement should be in place to oblige the partners to comply with the law.

2.5. Clients' rights

Customers have the right to:

• Receive information about their data.
• Request their correction or deletion.
• Withdraw consent to processing.

Companies should provide convenient mechanisms for exercising these rights.

3. Liability for violations

Violation of the law can result in:

• Fines (the amount depends on the severity of the violation).
• Blocking of activities in case of systematic violations.
• Litigation by customers or regulatory authorities.

4. How does a business comply with the law?

• Conduct a data audit: what personal data is stored, how it is used.
• Develop a privacy policy and place it on the website.
• Set up the collection of customer consents in the registration and order forms.
• Ensure security: use encryption, secure servers.
• Train employees on the principles of working with personal data.

📢 ESPERO can help your business comply with the law!

ESPERO Law Firm provides a full range of personal data protection services: ✔ Audit of current data processing processes. ✔ Development of privacy policies and contracts with clients. ✔ Consultation on data protection and prevention of fines. ✔ Preparing the business for possible inspections by regulatory authorities.

📩 Contact us now! Avoid risks and protect your business correctly.