What Is PIPEDA Compliance?
PIPEDA stands for the Personal Information Protection and Electronic Documents Act, Canada’s federal privacy law for private-sector organizations. If your business collects, uses, or stores personal information about clients in Canada, you are likely required to comply.
In simple terms, PIPEDA compliance means ensuring that individuals’ personal data is:
- Collected with consent
- Protected with reasonable security safeguards
- Only used for purposes they’ve agreed to
- Accessible for correction or deletion
Who Needs to Be PIPEDA Compliant?
PIPEDA applies to most businesses across Canada, including:
- Financial and investment advisory firms
- Telehealth platforms
- SaaS and software providers
- Marketing agencies and consultants
- Any business engaging in commercial activity
Investment advisers operating under IIROC, MFDA, or as independent fiduciaries must be particularly careful. Compliance isn’t optional — it’s a regulatory requirement tied to reputation, client trust, and liability.
PIPEDA vs GDPR – Key Differences
| Aspect | PIPEDA | GDPR |
|---|---|---|
| Scope | Applies to Canadian private-sector organisations engaged in commercial activities. | Applies to any organisation processing EU residents’ data, regardless of location. |
| Consent | Requires meaningful consent, with exceptions for legal/security reasons. | Requires explicit consent in many cases; stricter conditions for processing special categories. |
| Data Subject Rights | Access and correction rights. | Access, correction, erasure (right to be forgotten), portability, restriction, objection. |
| Penalties | Up to CAD $100,000 per offence. | Up to €20 million or 4% of annual global turnover, whichever is higher. |
| Data Breach Notification | Mandatory if breach poses a real risk of significant harm. | Mandatory within 72 hours to supervisory authority and affected individuals if high risk. |
PIPEDA Data Security Compliance: Why It Matters
If your systems store:
- Client financial data
- Meeting transcripts or session notes
- Personal identifiers like social insurance number (SIN) or home address
…you must implement technical, physical, and organizational safeguards to protect that data. This includes:
- End-to-end encryption (at rest and in transit)
- Access control and authentication
- Breach notification policies
- Secure data disposal procedures
Non-compliance can result in investigations, audits, and reputational damage — especially in data-sensitive fields like finance and telehealth.
Learn more: ChatGPT Fined Over Personal Data Misuse
Key PIPEDA Compliance Requirements
| Requirement | Description |
|---|---|
| Accountability | Organisations must appoint someone responsible for compliance with PIPEDA and implement policies and procedures. |
| Identifying Purposes | Clearly identify why personal information is collected before or at the time of collection. |
| Consent | Obtain meaningful consent for collection, use, or disclosure of personal information, with clear explanation of purposes. |
| Limiting Collection | Collect only information necessary for identified purposes. |
| Limiting Use, Disclosure, and Retention | Use and retain information only as long as necessary; disclose only for identified purposes unless consent is obtained otherwise. |
| Accuracy | Ensure personal information is as accurate, complete, and up-to-date as necessary. |
| Safeguards | Protect personal information with appropriate security safeguards (physical, organisational, and technological). |
| Openness | Make policies and practices about management of personal information readily available. |
| Individual Access | Give individuals access to their personal information and explain how it is used or disclosed. |
| Challenging Compliance | Provide a process for individuals to challenge your compliance with PIPEDA. |
PIPEDA Compliance Checklist (2025)
Here’s a simplified PIPEDA compliance checklist for your Canadian business:
Governance
- Appoint a Privacy Officer
- Document privacy policies and procedures
- Train staff on PIPEDA principles
Consent and Collection
- Obtain clear, informed consent from users
- Only collect data relevant to your business purposes
- Use plain-language privacy notices
Data Use and Access
- Limit use of personal data to specified purposes
- Provide users with access to their data upon request
- Allow corrections or updates
Safeguards
- Implement appropriate data security technologies
- Use encrypted communication platforms (e.g. eyre.ai)
- Limit access to sensitive data
Breach Management
- Maintain a breach response plan
- Notify affected individuals and regulators if required
- Document all breach incidents
Why Investment Advisers in Canada Must Prioritize PIPEDA Compliance
Canadian wealth and advisory firms handle some of the most sensitive personal data — including net worth, portfolio allocations, and retirement plans.
- Without PIPEDA-aligned practices, advisers risk:
- Breach of fiduciary duty
- Loss of client trust
- Regulatory scrutiny or fines
- Ineligibility for certain software partnerships (e.g., CRMs, tele-advice tools)
PIPEDA compliance isn’t just about legality — it’s about building client confidence in a digital-first era.
Read next: What Is the Best Meeting AI Note Taker for Teams?
PIPEDA and Platforms: Choosing Compliant Tech
Not all platforms are equal. Many tools used in daily practice (Zoom, Notion, Trello, Google Meet) may store data outside of Canada or lack necessary controls.
When selecting tools for:
- Video meetings
- Data storage
- CRM or client records
…look for platforms that:
- Offer Canadian data residency
- Provide BAAs or contractual privacy commitments
- Use end-to-end encryption and zero-trust architecture
eyre.ai is an example of a HIPAA-ready, privacy-first video platform designed with Canadian compliance in mind — ideal for investment advisers, therapists, and regulated professionals.
Conclusion
PIPEDA compliance is no longer a “checklist item” — it’s a core business practice. For Canadian investment advisers, mental health providers, and digital-first professionals, respecting client data is both a regulatory obligation and a competitive differentiator.
Need Help Getting Compliant?
If you’re looking for:
- A PIPEDA-compliant video conferencing tool
- Secure AI-generated meeting notes
- Client scheduling and communication without surveillance
Start your free trial with eyre.ai — designed for professionals who care about privacy.
FAQ
What is PIPEDA?
PIPEDA (Personal Information Protection and Electronic Documents Act) is Canada’s federal privacy law governing how private sector organisations collect, use, and disclose personal information during commercial activities.
Who does PIPEDA apply to?
It applies to all private-sector organisations operating in Canada that handle personal information in commercial activities, including international companies processing Canadian residents’ data.
What is considered personal information under PIPEDA?
Any information about an identifiable individual, such as names, contact details, health records, financial information, or employee files.
What are the main compliance requirements under PIPEDA?
Organisations must:
- Obtain valid consent for data collection/use
- Limit use to identified purposes
- Protect data with appropriate security safeguards
- Allow individuals to access their data upon request
- Have clear privacy policies and accountability measures
Is consent always required under PIPEDA?
Yes, except in specific situations such as legal or security obligations. Consent must be meaningful, with individuals understanding what their data will be used for.
How does PIPEDA differ from GDPR?
While both protect personal data, GDPR has stricter penalties, broader territorial scope, and explicit data subject rights like the right to be forgotten. PIPEDA focuses on reasonableness and meaningful consent within Canadian commerce.
What are the penalties for non-compliance?
Violations can lead to investigations by the Office of the Privacy Commissioner (OPC), reputational damage, and fines up to CAD $100,000 per offence.
How can eyreACT help with PIPEDA compliance?
Our AI compliance platform eyreACT assists in mapping personal data processes, automating consent management documentation, and maintaining audit-ready records to simplify your compliance workflows under PIPEDA.
Julie Gabriel wears many hats—founder of Eyre.ai, product marketing veteran, and, most importantly, mom of two. At Eyre.ai, she’s on a mission to make communication smarter and more seamless with AI-powered tools that actually work for people (and not the other way around). With over 20 years in product marketing, Julie knows how to build solutions that not only solve problems but also resonate with users. Balancing the chaos of entrepreneurship and family life is her superpower—and she wouldn’t have it any other way.
- Julie Gabrielhttps://eyre.ai/author/eyre_admin/
- Julie Gabrielhttps://eyre.ai/author/eyre_admin/
- Julie Gabrielhttps://eyre.ai/author/eyre_admin/
- Julie Gabrielhttps://eyre.ai/author/eyre_admin/
