Personal Data Protection Law (KVKK)

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What Is the Main Purpose of the Personal Data Protection Law (KVKK)?

The confidentiality of personal data has become one of the fundamental rights and responsibilities for both individuals and businesses in the digital age. In this context, Turkey's Personal Data Protection Law (KVKK), numbered 6698, came into force on April 7, 2016, and since 2018, it has provided a legal foundation for the processing, storage, and transfer of personal data. The KVKK is a comprehensive regulation that not only protects the privacy rights of individuals but also imposes significant obligations on businesses.

The main purpose of the Personal Data Protection Law (KVKK) is to secure the privacy of individuals’ personal lives and protect both individuals and data-processing institutions by establishing clear rules for the processing of personal data. This law is based on the "privacy of private life" principle guaranteed in Article 20 of the Constitution, and it requires personal data to be processed in a lawful, fair manner, for specific, clear, and legitimate purposes.

According to KVKK, personal data must be:

• Based on explicit consent,

• Processed for specific and legitimate purposes,

• Processed only as much as necessary and in a limited manner,

• Kept accurate and up-to-date,

• Stored for the period required by relevant regulations or for the purpose for which it was processed.

The law’s main goal is to prevent the unauthorized and arbitrary collection, processing, or sharing of personal data, and to grant individuals various rights such as the right to access, object, delete, or correct their data. At the same time, it imposes transparency, accountability, and security obligations on institutions and organizations processing personal data. KVKK aims not only to protect individuals but also to discipline businesses in terms of data security, thereby enhancing their reliability and legal compliance. In this way, businesses gain the trust of their customers and stakeholders while protecting themselves from the risk of significant administrative fines.

The Importance of KVKK for Businesses

Today, businesses process a wide range of personal data related to their customers, employees, partners, and suppliers to continue their operations and gain a competitive advantage. This data ranges from basic information such as names, addresses, and contact details, to more sensitive information such as financial records, health data, and employment history. However, any neglect, misuse, or unauthorized sharing of this data during its processing can lead to serious consequences for businesses. The Personal Data Protection Law (KVKK) clearly defines the conditions under which businesses can collect, process, and secure this data.

Businesses that comply with the KVKK:

Reinforce customer trust: Customers who see that their personal data is processed securely will increase their trust in the brand and develop long-term loyalty. This strengthens customer satisfaction and loyalty.

Gain a competitive advantage: Businesses that prioritize data security stand out from their competitors, making them more attractive, especially in international collaborations, where compliance with KVKK becomes an important reference.

Protect themselves from legal sanctions: Non-compliant data processing activities can lead to administrative fines, removal from the data controller registry, suspension of activities, and other serious sanctions. Compliant businesses are protected from these risks.

Prevent data breaches and avoid crises: Effective data protection policies help prevent events such as cyberattacks and data leaks, thus avoiding potential crises and reputation damage. In the digital age, KVKK compliance has become one of the cornerstones of a business’s reliability and sustainable success. Therefore, businesses of all sizes must review their data protection policies and complete the necessary compliance processes.

What Is Personal Data Under KVKK?

According to KVKK, personal data is any information that can directly or indirectly identify an individual. This includes:

• Name and surname, Turkish ID number,

• Phone number, email address,

• Health information, genetic data,

• Biometric data such as fingerprints, retina scans,

• Financial information,

• Location and online tracking data.

e-Commerce and KVKK: Data Security in Digital Transformation

With the rise of e-commerce, online shopping platforms now process a significant amount of personal data. In this context, KVKK imposes serious responsibilities on businesses:

Clear and accessible privacy policies should be provided. The illumination texts should clearly state what data is processed and for what purpose. Consumers' requests to object, correct, or delete their data should be taken into account. A KVKK-compliant e-commerce strategy not only meets legal obligations but also strengthens customer loyalty and reputation management.

KVKK Measures Businesses Should Take

All businesses operating in the digital environment are required to take the following steps under the Personal Data Protection Law (KVKK) to ensure data security and comply with legal obligations:

Prepare Illumination Texts

Businesses must inform individuals whenever they collect personal data. These texts should include information about the data controller, the purposes of processing, the legal basis, who the data will be shared with, and the rights of individuals.

Create a Data Processing Inventory

A data processing inventory is a detailed document listing all the personal data processed by the business and specifying the processes involved. It should contain information about what data is being processed, for what purpose, the legal basis for processing, the duration of storage, and who the data is shared with.

Obtain Consent with Clear Texts

Except for cases explicitly stated in KVKK, businesses must obtain explicit consent from individuals before processing their personal data. The consent texts should be simple, clear, and specific.

Establish Data Security Policies

Businesses must implement technical and administrative measures to protect personal data against unauthorized access, loss, disclosure, or alteration. Data security policies should be documented and enforced.

Provide KVKK Training to Employees

KVKK compliance is not only the responsibility of management but also of all employees. Therefore, regular training should be provided on the basics of KVKK, data security, the definition of personal data, and actions to take in case of a violation.

Appoint a Data Protection Officer

For businesses established abroad, it is mandatory to appoint a representative in Turkey. For businesses established in Turkey, the roles and responsibilities of the data controller should be clearly defined.

Create Notification Procedures for Data Breaches

In the event of a data breach, it must be reported to the Personal Data Protection Authority within 72 hours, and the individual must also be informed promptly. Businesses should have procedures in place to handle data breach notifications.

Establish Procedures for Data Deletion and Anonymization

Once personal data is no longer needed for processing, it must be deleted, destroyed, or anonymized. Written procedures should be established for these processes and regularly audited.

How Should Explicit Consent Be Obtained Under KVKK?

Explicit consent, according to KVKK, is approval given voluntarily, based on information, for a specific issue. The key points in obtaining explicit consent include:

• The purpose must be clearly stated.

• Data processing activities must be detailed.

• The consent process must be user-friendly, simple, and reversible.

• Consent texts should not be hidden, and the user should be clearly informed of the right to refuse consent.

How to Prepare an Illumination Text?

An illumination text should inform the data subject about the following:

The identity of the data controller, what data is collected, for what purpose it will be processed, to whom the data will be transferred, the rights, and how to apply.

Sanctions for KVKK Violations

Violations of the Personal Data Protection Law (KVKK) can lead to serious legal and financial consequences. The severity of the penalties depends on the type and seriousness of the violation.

Administrative Fines

Data controllers who violate the KVKK are subject to administrative fines, which are determined based on the type and severity of the violation. These fines are set according to the amounts specified in Article 18 of the Law, and these amounts vary depending on the sector in which the business operates and the scope of its data processing activities. Fines may range from lower amounts for minor violations to millions of Turkish Lira for serious and systematic violations. Additionally, if the violation is repeated, the fines may be increased.

Violation of the Obligation to Register in the Data Controllers Registry

According to Article 16 of the KVKK, data controllers are required to keep records related to activities involving the processing of personal data. These records must be registered in the Data Controllers Registry (VERBIS). Failure to register in VERBIS or delaying the registration can lead to severe sanctions for the business. In such cases, the data controller may be subject to an administrative fine, and the activities may also be subject to inspection.

Audit as a Result of Data Owner Complaint

KVKK attaches importance to complaints of data owners regarding situations where their rights regarding the processing of their personal data are violated. Data owners can directly apply to the Personal Data Protection Board in cases where their personal data is misused, shared with unauthorized persons or processed without permission. Audits conducted as a result of these complaints cover all data processing processes of businesses and may impose serious legal obligations on the business. Additional sanctions may be applied in the audit results depending on the extent of the violation.

Suspension of Activities and License Revocation

Under the scope of the Personal Data Protection Law (KVKK), businesses' data processing activities can be audited, and if a serious violation is detected, the Personal Data Protection Board can suspend the business's data processing activities or revoke its licenses. This typically occurs in cases where data processing activities are severely violated, data security is compromised, and personal data is significantly harmed. Such sanctions may lead to the suspension of business operations or cause substantial damage to the business.

Compensation for Damages

In the case of personal data breaches, if damage is caused to data subjects, compensation for these damages is required. Article 12 of KVKK states that data subjects have the right to demand compensation for the damages they have suffered due to the violation of their personal data. Businesses may be required to compensate for the damages of data subjects, which could create long-term financial costs.

Conclusion

KVKK is not only a legal obligation but also an ethical requirement brought by the digital age. The implementation of this law is crucial in a period where protecting personal data has become a necessity. Compliance with KVKK allows businesses to increase customer trust, strengthen brand reputation, and create a long-term sustainable business model. Additionally, compliance with KVKK will make business processes more organized and secure for both large businesses and SMEs, minimizing legal risks and protecting them from potential penalties.