South Korea’s Personal Information Protection Act (PIPA) mandates that websites and digital services obtain user consent before collecting personal data through cookies or other tracking technologies. This means businesses must transparently disclose what data they collect, how it's used, and allow users to opt in or out of non-essential cookies. Is your website ready for consent management requirements?
The Personal Information Protection Act (PIPA) is South Korea’s main data protection law, enacted in 2011 and significantly amended in 2020 and 2023. It regulates the collection, use, and processing of personal data by both public and private sectors and is considered one of the strictest data protection laws in Asia.
Businesses handling personal data of individuals in South Korea must follow strict rules under the PIPA, including obtaining consent for data collection, providing clear privacy notices, securing data appropriately, and responding to data subject rights such as access and deletion. Even companies located outside Korea may fall under the law if they target Korean users.
To be in compliance with PIPA South Korea, businesses should:
Update privacy policy:
Publish and keep up-to-date a comprehensive Privacy Policy
Implement consent management:
Obtain proper consent for collecting and processing personal data
Audit:
Audit all data collection practices, including consent mechanisms, data security, third-party data sharing
Data minimization:
Adhere to data minimization principles, collecting only what data is required and using it only for the stated purposes
Protect data:
Secure data against breaches and unauthorized access
Any organization—domestic or international—that collects, processes, or stores personal data of individuals located in South Korea must comply with PIPA. This includes websites, mobile apps, SaaS providers, and e-commerce businesses that serve Korean users.
The PIPA gives consumers in South Korea various data privacy rights, including:
Request access to their personal information and information about its use
Request that inaccurate, incomplete or out-of-date information be corrected
Request the erasure of their personal information under certain circumstances
Request withdrawal of consent for direct marketing and removal from marketing lists
Request to receive data collected in a user-friendly manner
Request to refuse decisions based solely on automated processes
Under PIPA, cookies that collect identifiable or behavioral data are considered personal information, requiring user consent. Consent must be specific, informed, and obtained prior to the deployment of such cookies. Simply notifying users or offering an opt-out after cookies have been set is not sufficient under PIPA.
Non-compliance with PIPA can result in severe penalties, including administrative fines up to 3% of annual revenue related to the violation, criminal sanctions, and civil damages. Reputational harm and restrictions on business operations may also follow regulatory enforcement actions.
Some best practices to bring your data privacy approach in line with PIPA compliance include:
Audit:
Conduct a data audit to identify all cookies and trackers on their websites
Categorize:
Categorize cookies (e.g., necessary, preference, analytics, marketing)
Implement consent management:
Ensure consent banners are implemented correctly, enable users to withdraw consent at any time, and maintain consent logs
Check partner and third-party contract:
Review third-party data-sharing practices
Train staff:
Ensure that employees have training to understand and comply with PIPA
The PIPA applies to any organization—public or private—that collects, uses, or processes personal information of individuals located in South Korea. It governs both online and offline data processing and applies regardless of where the data handler is located, as long as they handle personal information of South Korean residents.
Under PIPA, personal data refers to any information relating to a living individual that can identify the person, either directly (e.g., name, resident registration number) or indirectly (e.g., combination of data elements such as gender, job, and address). This includes data that can be combined with other information to identify an individual.
Sensitive data is a special category of personal information that includes details such as an individual’s health records, genetic data, biometric data, criminal records, ideology, beliefs, political opinions, sexual orientation, and other information that could significantly impact an individual’s privacy. Processing sensitive data generally requires explicit consent.
The Personal Information Protection Commission (PIPC) is the main regulatory authority responsible for overseeing compliance with PIPA. The PIPC has the authority to investigate, enforce, and issue penalties for violations of the law.
Some exceptions to PIPA may apply to personal information processed by individuals for purely personal or household purposes; media organizations when handling information for journalistic purposes, provided it aligns with the principle of freedom of the press; certain government functions may have tailored rules or exemptions under related laws.
You can find more information on the official website of the Personal Information Protection Commission (PIPC). The site provides resources, guidelines, and updates related to the enforcement and interpretation of PIPA.
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