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MinterEllisonRuddWatts - Tech Suite (TM) | New Zealand’s proposed Biometrics Privacy Code

Tech Suite (TM) | New Zealand’s proposed Biometrics Privacy Code

02/24/25 • 15 min

MinterEllisonRuddWatts

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In this episode, Partner Richard Wells and Senior Associate Suzy McMillan from our firm's Corporate and Commercial team, provide valuable insights on the draft Biometric Processing Privacy Code (Code) proposed by the Office of the Privacy Commissioner (OPC).

[01:09] Suzy begins the episode outlining the background to the proposed Code, discussing the OPC’s exposure draft, the current draft of the Code and the consultation process that is now underway.

[02:15] Suzy and Richard discuss the purpose of the Code; to establish clear rules for the collection, use, storage, and processing of biometric information. They outline the types of data the Code will capture, including facial recognition and fingerprint scanning, emphasising that its application is limited to the processing of biometric information by a machine-based system.

[03:38] Richard highlights the important interplay between the Code and existing IPP principles under the Privacy Act 2020. They analyse certain rules under the Code that will modify existing information privacy principles, focusing first on Rule 1 which requires organizations to justify the necessity of collecting biometric information by undertaking a proportionality test and ensuring adequate privacy safeguards are in place to protect the information. Suzy and Richard consider the potential impacts this may have on organisations who collect and use biometric information.

[07:48] Richard then examines the transparency and disclosure requirements imposed by the Code, noting how these new obligations for organisations to clearly inform individuals about biometric information processing, represent an elevated standard of disclosure from existing privacy laws.

[10:55] Suzy explains Rule 10 of the Code, which sets restrictions on how biometric information can be used and outlines prohibited uses, such as inferring sensitive personal attributes.

[12:40] Richard summarises the Code’s status with the OPC, highlighting the submission deadline of 14 March 2025. They mention the Code’s potential compliance burden, retrospective nature and the nine-month grace period for compliance.

[14:37] Richard closes out the episode reflecting on the balance between technological innovation and privacy protection, noting how the Code marks one of the most significant developments in New Zealand privacy law in recent years.

Information in this episode is accurate as at the date of recording, 20 February 2025.

Please contact Richard Wells, Suzy McMillan or our Corporate and Commercial team if you need legal advice and guidance on any of the topics discussed in the episode.

Please get in touch to receive an episode transcript. Please don’t forget to rate, review or follow MinterEllisonRuddWatts wherever you get your podcasts.

You can also email us directly at [email protected] and sign up to receive technology updates via your inbox here.

For show notes and additional resources visit minterellison.co.nz/podcasts

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Send us your feedback

In this episode, Partner Richard Wells and Senior Associate Suzy McMillan from our firm's Corporate and Commercial team, provide valuable insights on the draft Biometric Processing Privacy Code (Code) proposed by the Office of the Privacy Commissioner (OPC).

[01:09] Suzy begins the episode outlining the background to the proposed Code, discussing the OPC’s exposure draft, the current draft of the Code and the consultation process that is now underway.

[02:15] Suzy and Richard discuss the purpose of the Code; to establish clear rules for the collection, use, storage, and processing of biometric information. They outline the types of data the Code will capture, including facial recognition and fingerprint scanning, emphasising that its application is limited to the processing of biometric information by a machine-based system.

[03:38] Richard highlights the important interplay between the Code and existing IPP principles under the Privacy Act 2020. They analyse certain rules under the Code that will modify existing information privacy principles, focusing first on Rule 1 which requires organizations to justify the necessity of collecting biometric information by undertaking a proportionality test and ensuring adequate privacy safeguards are in place to protect the information. Suzy and Richard consider the potential impacts this may have on organisations who collect and use biometric information.

[07:48] Richard then examines the transparency and disclosure requirements imposed by the Code, noting how these new obligations for organisations to clearly inform individuals about biometric information processing, represent an elevated standard of disclosure from existing privacy laws.

[10:55] Suzy explains Rule 10 of the Code, which sets restrictions on how biometric information can be used and outlines prohibited uses, such as inferring sensitive personal attributes.

[12:40] Richard summarises the Code’s status with the OPC, highlighting the submission deadline of 14 March 2025. They mention the Code’s potential compliance burden, retrospective nature and the nine-month grace period for compliance.

[14:37] Richard closes out the episode reflecting on the balance between technological innovation and privacy protection, noting how the Code marks one of the most significant developments in New Zealand privacy law in recent years.

Information in this episode is accurate as at the date of recording, 20 February 2025.

Please contact Richard Wells, Suzy McMillan or our Corporate and Commercial team if you need legal advice and guidance on any of the topics discussed in the episode.

Please get in touch to receive an episode transcript. Please don’t forget to rate, review or follow MinterEllisonRuddWatts wherever you get your podcasts.

You can also email us directly at [email protected] and sign up to receive technology updates via your inbox here.

For show notes and additional resources visit minterellison.co.nz/podcasts

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undefined - Tech Suite | Cross-border structuring of IP and tax treatment

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In this episode, MinterEllisonRuddWatts’ Senior Associate Briar Richardson speaks with IP Partner Chris Young and Tax Partner Simon Akozu about some important intellectual property and tax considerations for cross-border transactions.

Chris and Simon discuss the rationales for centralising IP ownership and highlight critical factors to evaluate when structuring IP arrangements from both commercial and tax perspectives. They also address recent comments from Inland Revenue that bundled intangible property transactions are the 'highest risk category' of intangible transactions, and emphasise the need to assess the nature of IP rights being transferred.

Recent cases PepsiCo (Australia) and Country Road (New Zealand) also have potential significant impact on the characterisation and tax treatment of IP rights. Chris and Simon will discuss these in more detail in a future Tech Suite episode following on from this introduction.

[02:47] Simon highlights the critical role of tax considerations in IP centralisation, discussing key aspects such as tax amortization, attribution of taxable value, and the importance of aligning business strategies with global tax frameworks.

[04:01] Chris underscores the importance of early IP strategy planning, highlighting the need for IP audits, as well as policies and processes to identify and protect the intangible assets a business creates.

[09:15] Simon and Chris discuss the tax implications of IP characterisation within the New Zealand context. Simon highlights that accurately defining IP from the outset is crucial, as it can significantly impact tax treatment, particularly during restructures or cross border sales.

[14:24] Chris talks about the classification of IP in a sale and purchase situation, noting how this may differ from an IP and tax perspective, with Simon noting how New Zealand tax authorities scrutinise classification in IP transfers.

[17:01] They lastly highlight the need for ongoing IP arrangements once the IP is transferred, focusing on registration, licensing, and ownership of IP rights, while considering jurisdiction-specific rules and tax implications. They also emphasize the importance of addressing licensing-back agreements and royalties, particularly in light of recent cases like PepsiCo (Australia) and Country Road (New Zealand). These cases (currently under appeal) will be covered in a future episode.

Information in this episode is accurate as at the date of recording, 3 December 20

For show notes and additional resources visit minterellison.co.nz/podcasts

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