The Canadian Internet Policy and Public Interest Clinic has released a whitepaper calling for manadatory breach notification. Speficially, CIPPIC is calling for an amendment to PIPEDA:
Amend Principle 7 of PIPEDA to include a requirement to notify affected individuals of a security breach that results in the acquisition of unencrypted personal information by an unauthorized person. Such requirement should include specifics regarding the type of personal information and breach that triggers the obligation to notify, form and content of notices, timing of notices, who should be notified, etc. Failure to notify affected individuals as required under the Act should be subject to tough penalties.
Notification should be required when designated personal information has been, or is reasonably believed to have been, acquired by an unauthorized person. Good faith acquisition of personal information by an employee or agent of the agency for the purposes of the agency should not trigger the notification requirement, provided that the personal information is not used or subject to further unauthorized disclosure.
An "unauthorized person" means:a) A person who is not an employee or agent of the person that maintains the designated personal information;
b) An employee or an agent of the person that maintains the designated personal information who(i) exceeds his or her authority to access the designated personal information; or
(ii) uses the information for purposes not related to his or her duties.
"Designated personal information" is information, in electronic or paper form, which includes the first name, initial, or middle name, and last name, or address, in combination with any of the following data: government issued identification number including social insurance number, driver’s license number, or health card number; account numbers, credit or debit card numbers, or other unique identifiers issued by other organizations together with any security code, password or access code that would permit access to the individual's information. Information that is encrypted, redacted, or otherwise altered by any method or technology in such a manner that the name or data elements are unreadable by unauthorized persons does not constitute "designated personal information".