TPRM and Data Privacy Laws: Ensuring Supply Chain Compliance Across Jurisdictions

Your Compliance Extends to Your Vendors

Under GDPR, CCPA, LGPD, and most modern privacy laws, the data controller remains responsible for the personal data it shares with or makes accessible to vendors. If your processor mishandles personal data, the regulatory consequences fall on you. This makes supply chain privacy compliance a critical component of your TPRM program.

With EUR 5.88 billion in total GDPR fines since 2018 and enforcement actions increasingly targeting processor relationships, organizations cannot afford blindspots in their vendor privacy compliance.

Cross-Border Data Transfers

When your vendor (or their sub-processors) process data in a different country, you must establish a valid legal mechanism for the transfer:

• Adequacy decisions: The European Commission has issued adequacy decisions for certain countries (e.g., Japan, South Korea, UK, EU-US Data Privacy Framework).
• Standard Contractual Clauses (SCCs): The most common transfer mechanism. SCCs must be incorporated into your DPA.
• Binding Corporate Rules (BCRs): For intra-group transfers within multinational organizations.
• Transfer Impact Assessments (TIAs): Required for SCCs to assess whether the destination country's laws provide adequate protection.

Data Processing Agreements (DPAs)

Every vendor processing personal data must have a DPA in place. Key elements:

• Subject matter and duration of processing
• Nature and purpose of processing
• Types of personal data and categories of data subjects
• Controller's obligations and rights
• Processor's obligations (security, confidentiality, assistance with DSARs, breach notification)

Review DPAs at onboarding and whenever the scope of processing changes.

Sub-Processor Management

Your vendor's vendors (sub-processors) extend the data processing chain. You must:

• Know who they are: Require vendors to maintain and share a current list of sub-processors.
• Approve changes: Your DPA should require notification and approval before new sub-processors are engaged.
• Ensure flow-down: Sub-processor agreements must contain equivalent data protection obligations.
• Monitor compliance: Include sub-processor management in your vendor assessment questionnaire.

Data Localization Requirements

Some jurisdictions require personal data to be stored and processed within their borders. Russia, China, Indonesia, and some Indian regulations impose data localization requirements. Map your vendor's processing locations against applicable data localization laws.

Supply Chain Mapping

For effective supply chain compliance, maintain a map showing:

• Each vendor and their geographic processing locations
• Sub-processors and their locations
• Types of data processed at each point
• Transfer mechanisms in place
• Applicable regulations at each location

Jerisaliant's TPRM module includes supply chain mapping tools, DPA management, transfer mechanism tracking, and automated compliance checking against data localization requirements.