Introduction to Compliance & Privacy

Legal vs. Ethical Behavior

Legal compliance - doing the minimum required to follow the law. While, ethical responsibility doing what respectful, customer-centered behavior demands.

Why This Matters in a Connected World

Modern consumers:

• Read reviews;
• Share negative experiences instantly;
• Switch companies with one click;
• Care about how brands treat people and data.

Compliance isn't just "rules." It's the foundation that keeps businesses trustworthy, safe, and sustainable. When companies combine legal compliance with ethical responsibility, they protect their reputation, earn customer loyalty, and build products and campaigns that last. With AI and automation becoming common, human judgment matters more than ever.

Global Privacy Regulation

Major Global Privacy Laws

1. GDPR — General Data Protection Regulation (EU)

Violations can cost up to 4% of global annual revenue - sometimes billions.

Key rights it gives people:

• Know what data companies collect;
• Understand why the data is used;
• Request corrections;
• Request deletion ("right to be forgotten");
• Take their data somewhere else (data portability).

2. CCPA — California Consumer Privacy Act (USA)

What it gives Californians:

• The right to know what data companies collect;
• The right to opt out of data selling;
• The right to request deletion;
• The right to know who companies share data with.

It's slightly less strict than GDPR but set a huge precedent in the US.

3. LGPD — Lei Geral de Proteção de Dados (Brazil)

Key Features:

• Requires clear data consent;
• Regulates data processing;
• Protects both digital and physical data;
• Holds companies legally accountable.

Brazil is a massive global market — so companies worldwide must adjust to LGPD to operate there.

4. HIPAA — Health Insurance Portability and Accountability Act (USA)

Covers:

• Hospitals;
• Clinics;
• Insurance companies;
• Apps that store medical information.

Protects health and medical data. A medical data leak could cause discrimination, emotional harm, or long-term privacy damage.

Key Principles of Privacy

1. Consent: people must freely and clearly give permission before their data is collected or used;
2. Transparency: companies must openly explain what they do with data, and why;
3. Accountability: businesses must not only follow privacy rules, they must prove they follow them;
4. Data Minimization: collect the least amount of data necessary.

Personal vs. Sensitive Data

Sensitive data carries far more serious consequences if it's exposed, because it can be used to discriminate against someone, steal their identity, blackmail them, damage their job prospects, or even cause emotional and physical harm.

Ad Platform Policies

Platform-Specific Examples

1. Google Ads

   • No misleading promises;
   • No clickbait;
   • No harmful or exploitative content.

2. Meta Ads (Facebook & Instagram)
   No targeting people based on sensitive attributes, such as:

   • Health conditions;
   • Race or ethnicity;
   • Political affiliation;
   • Sexual orientation.

3. TikTok Ads
   High protection of young audiences.Teen-heavy user base → stricter bans on:

   • Weight-loss ads;
   • Cosmetic procedures;
   • Adult financial products;
   • Sensitive themes.

Breaking the rules can result in:

1. Ad Rejection: your ads won't run until fixed;
2. Account Suspension: temporary lockout, ad delivery stops;
3. Permanent Ban: you lose access to the platform forever.

Case Study: Compliance in Action

Companies that treat privacy seriously gain trust and stability; those that ignore it risk massive financial and reputational harm. Understanding these lessons prepares you for a digital world where ethical data use isn't optional, it's essential.