{"id":209787,"date":"2021-09-01T14:38:52","date_gmt":"2021-09-01T01:38:52","guid":{"rendered":"https:\/\/legalvision.co.nz\/?p=209787"},"modified":"2024-12-18T12:11:51","modified_gmt":"2024-12-17T23:11:51","slug":"data-sovereignty","status":"publish","type":"post","link":"https:\/\/legalvision.co.nz\/data-privacy-it\/data-sovereignty\/","title":{"rendered":"What is Data Sovereignty in NZ?"},"content":{"rendered":"\n<p>As technology develops, the law develops with it, and our understanding of how businesses operate in a digital space changes. Data, when it refers to the information your company holds and deals with, is growing in its utility to your business and its functioning. In New Zealand, the law around dealing with data in different ways is developing, particularly regarding&nbsp;<a href=\"https:\/\/legalvision.co.nz\/e-commerce\/how-to-handle-personal-data-for-an-ecommerce-business-in-new-zealand\/\">privacy and ownership issues<\/a>. One of these developing areas is the concept of data sovereignty, which can particularly impact your business when dealing with&nbsp;<a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/personal-information-nz\/\">personal or identifying data<\/a>.&nbsp; This article will explain data sovereignty and its relevance to your business.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is Data Sovereignty?<\/h2>\n\n\n\n<p>Online data can pass through many hands and reach numerous devices worldwide. This convenience benefits your business when engaging with customers or partners and sending them essential information. However, this greater connectivity and ease does raise some issues, namely:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>the ability to maintain privacy and confidentiality; and<\/li>\n\n\n\n<li><a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/owns-personal-data\/\">who actually owns the relevant data<\/a>.<\/li>\n<\/ul>\n\n\n\n<p>When data can reach multiple people in various areas, different countries\u2019 laws may apply to it. This fact can raise issues when deciding what laws to use if there is a dispute or problem. Consequently, data sovereignty is a concept that relates to what country\u2019s laws should apply to a piece of data over others. In particular, how data originating from one country should be subject to that country\u2019s laws.<\/p>\n\n\n\n<p>For example, say you store your business\u2019s databases on a cloud server outside New Zealand. Since you created or collected the data in New Zealand, our laws should still apply. Under data sovereignty rules, this applies even though the information&#8217;s storage location is offshore. New Zealand&#8217;s privacy and data protection laws govern the handling and use of the data, regardless of where it is physically stored.<\/p>\n\n\n\n<p>Data sovereignty aims to protect the original owners of data and the privacy of the people it may relate to. Therefore, it often intersects with these legal issues, including data security, cross-border data flows, and the enforcement of local privacy regulations in a globalised digital environment.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Is Data Sovereignty Relevant For My Business?<\/h2>\n\n\n\n<p>Data sovereignty will likely be relevant for your business if you deal with data from different countries or send data from New Zealand to other countries. Examples of these scenarios can include:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>storing your data in a local or foreign&nbsp;<a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/privacy-law-impact-how-use-cloud-services\/\">cloud service provider<\/a>;<\/li>\n\n\n\n<li>exchanging data with foreign companies;<\/li>\n\n\n\n<li>selling to overseas customers;<\/li>\n\n\n\n<li>collecting the personal information of overseas customers; or<\/li>\n\n\n\n<li>working with overseas partners.<\/li>\n<\/ul>\n\n\n\n<p>For example, even if you store your data on local New Zealand servers, US law may apply if a US company owns those servers. This is due to various corporate laws in the US.<\/p>\n\n\n\n<p>Additionally, data sovereignty and the law can become quite complex. So, when you transmit or store your data in an international context, you must clarify:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>any ownership issues with contracts;<\/li>\n\n\n\n<li>where you store any data;<\/li>\n\n\n\n<li>what parties hold and have access to your data;<\/li>\n\n\n\n<li>where your data servers are;<\/li>\n\n\n\n<li>where any storage providers are based;<\/li>\n\n\n\n<li>robust data security measures; and<\/li>\n\n\n\n<li>what laws apply to your data.<\/li>\n<\/ul>\n\n\n\n<p>Some countries have laws that implement data sovereignty concepts, whereas others do not. Therefore, you must seek legal advice where necessary.<\/p>\n\n\n\n<p>To be more confident that New Zealand law applies to you, try to use New Zealand data storage providers based in the country. This helps reduce the risks of foreign legal challenges and ensures compliance with local privacy protections.<\/p>\n\n\n\n\n<a href=\"#content-next\"\n   class=\"block p-4 mt-10 text-xl font-bold text-center text-white no-underline bg-gray-800 rounded-t-xl\">\n    Continue reading this article below the form\n    <i class=\"text-xl fa-regular fa-arrow-down\"><\/i>\n<\/a>\n<div class=\"px-6 pt-10 pb-12 mb-10 text-center bg-gray-100 rounded-b-xl sm:px-12 test\">\n    <div class=\"mb-8 text-2xl font-bold text-orange\">\n        Need legal advice?\n        <br>\n        <span class=\"text-lg not-prose\">\n                            Call <a href=\"tel:+64800005570\" class=\"not-prose\">0800 005 570<\/a> for urgent assistance.\n                <br>\n                Otherwise, complete this form, and we will contact you within one business day.\n                    <\/span>\n    <\/div>\n\n    \n\n<div class=\"not-prose flex justify-center text-left gform_input_bg_white    \">\n    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These are separate concepts but often come together, particularly in an online context. Notably, operating online can generate various privacy issues. As a result, it can be challenging to determine what country\u2019s privacy laws should apply to a dispute where a person\u2019s personal data exists in many different countries.<\/p>\n\n\n\n<div  class=\"box box--icon box--info\">\n    <p>Some countries, including New Zealand, impose privacy obligations based on the data&#8217;s contents. The\u00a0<em>Privacy Act<\/em>\u00a0specifies certain standards for sharing individuals\u2019 personal information, which your business must meet. Data sovereignty issues can arise when your data interacts with multiple countries with similar laws.<\/p>\n<\/div>\n\n\n\n<p>It is important to investigate which countries\u2019 privacy laws may apply to you and take steps to comply.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">M\u0101ori Data Sovereignty<\/h2>\n\n\n\n<p>Another aspect of data sovereignty is the power it gives to particular nations, particularly those nations\u2019 Indigenous peoples. The concept of M\u0101ori data sovereignty refers to the idea that M\u0101ori should have control over their data rather than organisations that may use it for making decisions concerning M\u0101ori without any consultation.<\/p>\n\n\n\n<p>For example, government organisations will rely on M\u0101ori health data and data analytics for policy decisions, where M\u0101ori may have little say in those decisions themselves.<\/p>\n\n\n\n<p>M\u0101ori data sovereignty relates to the rights and interests of M\u0101ori regarding their digital information and its ethical distribution. It aims to protect the knowledge and information that comes from uniquely M\u0101ori sources.<\/p>\n\n\n    <div class=\"my-7 lg:my-10 border-y-2 border-gray-100 py-7 lg:py-10 flex flex-col sm:flex-row items-start gap-10\">\n                    <img decoding=\"async\" class=\"w-52 mx-auto my-0! rounded\" src=\"https:\/\/img.legalvision.com.au\/wp-content\/uploads\/sites\/2\/2023\/05\/19143613\/Screen-Shot-2023-05-19-at-11.36.05-am.png\" alt=\"Front page of publication\"\n                 loading=\"lazy\" width=\"208\" height=\"298\">\n                <section>\n            <div class=\"text-2xl font-bold\">NZ Website Privacy Policy<\/div>\n            <div class=\"body-text\">\n                <p>This Website Privacy Policy states how a business will deal with the personal information of its users. <\/p>\n            <\/div>\n            \n\n<a href=\"https:\/\/legalvision.co.nz\/documents\/website-privacy-policy\/\" class=\" block px-5 py-3.5 max-w-fit bg-orange button__hover transition rounded text-white font-bold text-lg no-underline uppercase leading-tight text-center\" target=\"\" rel=\"\">Download Now<\/a>        <\/section>\n    <\/div>\n\n\n\n\n<h2 class=\"wp-block-heading\">Key Takeaways<\/h2>\n\n\n\n<p>Data sovereignty is a broad legal concept that determines what country\u2019s laws apply to data when it may exist in multiple areas and engage different legal systems. Significantly, this area is still developing and will continue to do so. However, if your business uses data in international contexts, you will likely engage this data issue.&nbsp;<\/p>\n\n\n\n<p>If you need help managing data for your business, our experienced <a href=\"https:\/\/legalvision.co.nz\/it-lawyers-lp\">data, privacy, and IT lawyers<\/a> can assist as part of our LegalVision membership.\u00a0 For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents for a low monthly fee.\u00a0 Call us today on <a href=\"tel:+64800005570\" class=\"AVANSERnumber dynamic-number\">0800 005 570<\/a> or visit our <a href=\"https:\/\/legalvision.co.nz\/membership\/\">membership page<\/a>.\u00a0<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Frequently Asked Questions<\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1734424780320\"><h3 class=\"schema-faq-question\">What is data sovereignty?<\/h3> <p class=\"schema-faq-answer\">It can be a broad concept, but it generally refers to the idea that data collected or created in a country should be subject to its laws.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1734424787276\"><h3 class=\"schema-faq-question\">Is data sovereignty relevant to my business?<\/h3> <p class=\"schema-faq-answer\">If you store data using cloud services or share data with overseas partners, you will likely encounter issues that engage data sovereignty matters.<\/p> <\/div> <\/div>\n\n\n\n\n","protected":false},"excerpt":{"rendered":"<p>As technology develops, the law develops with it, and our understanding of how businesses operate in a digital space changes. Data, when it refers to the information your company holds and deals with, is growing in its utility to your business and its functioning. In New Zealand, the law around dealing with data in different<a href=\"https:\/\/legalvision.co.nz\/data-privacy-it\/data-sovereignty\/\">Continue reading <span class=\"sr-only\">&#8220;What is Data Sovereignty in NZ?&#8221;<\/span><\/a><\/p>\n","protected":false},"author":13496,"featured_media":201672,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","editor_notices":[],"footnotes":""},"categories":[28],"tags":[25,39,54,378,506,1082],"class_list":["post-209787","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-data-privacy-it","tag-small-business","tag-personal-information","tag-medium-business","tag-privacy-laws","tag-privacy-breaches","tag-data-sovereignty"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>What is Data Sovereignty in NZ? | LegalVision New Zealand<\/title>\n<meta name=\"description\" content=\"As technology develops, the law develops with it. 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