Residential Guidebook Homeowners Guide 2016 | Page 10

LEGAL POPI and you POPI’s impact on the property industry BY MARLON SHEVELEW T he Protection of Personal Information Act (POPI) – Number 4 of 2013 – and its impact on the rental property industry cannot be understated. ‘Personal Information’ is widely defined and includes, inter-alia, race, a name, date of birth, phone number (home and cellular), work and home address, identity number, passport number, banking information or income (of a company or individual), gender, contact details, personal opinions, private correspondence and financial information. Personal information applies to all individuals and entities. Be careful when screening or entering into leases with tenants - of an individual’s right to privacy. Personal information must be processed lawfully and reasonably, in a manner that does not infringe upon the privacy of the tenant by gathering as little tenant information as possible and reasonable in the circumstances, and with the tenant’s consent. POPI governs how landlords may collect, store, record, use and disclose personal information of tenants. Landlords must notify tenants of their purpose for the collection, storage, recordable use and disclosure of personal information. Moreover, there is now a duty on landlords to have a high standard of security when storing information electronically, whether in the cloud or on the landlord’s own Information Technology systems. The landlord must protect a tenant’s personal information in the 8 Residential E-Book 2016 landlord’s custody by adopting safeguards to prevent unauthorized access, use, disclosure, loss, destruction, copying or modification of any personal information. A landlord must tell the tenant how their personal information has been used and to whom it has been disclosed. POPI is quite clear that the tenant’s consent needs to be obtained before disclosing personal information to third parties (with certain exceptions, such as state security). To conclude, non-compliance with POPI can lead to claims for civil damages (including punitive damages), administrative fines of up to R10 million or criminal prosecution where unlimited fines and imprisonment of between one and 10 years are prescribed. A FEW PRINCIPLES ON WHICH POPI OPERATES REQUIRE THAT PERSONAL DATA SHALL: 1 Only be stored by the data controller to the extent necessary to achieve the purpose for which the information was explicitly collected; 2 Only be stored in such a manner that the storage does not intrude on the privacy of the data subject to an unreasonable extent; 3 Be adequate, relevant and not excessive for those purposes; 4 Be used for a lawful purpose only; 5 Not be processed contrary to the purpose for which it was collected. www.reimag.co.za