Privacy Update

Published on

August 31, 2023

Aug 2023 Charity & NFP Law Update

Ongoing Privacy Office Investigation into ChatGPT Important for Charities and NFPs

The Office of the Privacy Commissioner of Canada (OPC) announced on April 4, 2023 that it has launched an investigation into ChatGPT, an AI-powered chatbot developed by OpenAI (the “investigation”). While the results of the investigation are still forthcoming, this investigation signals an intent on the part of the OPC to step into the arena given the rapid proliferation of artificial intelligence (AI) and its potential impact on individual privacy rights.

In the OPC’s announcement, Privacy Commissioner Philippe Dufresne expresses a strong commitment to understanding and addressing the privacy concerns arising from AI technology. The announcement emphasizes the importance of staying ahead of “fast-moving technological advances” while safeguarding individuals’ rights to privacy.

The OPC investigation stems from a specific complaint alleging the mishandling of personal information by OpenAI, particularly the collection and use of data without proper consent. The OPC has not provided any details regarding the specific details of the complaint at this time due to the ongoing investigation.

It should be noted that the OPC investigation is being undertaken while House of Commons is currently considering in Committee Bill C-27, the Digital Charter Implementation Act, 2022, which completed Second Reading on April 24, 2023. If passed, Bill C-27 would replace PIPEDA as the federal legislation governing private-sector privacy law, and would also enact the Artificial Intelligence and Data Act, which is intended to create the framework for the responsible regulation of AI in Canada. It is not clear whether the OPC investigation into ChatGPT could or is intended to influence the direction of future privacy regulation and legislation surrounding AI and data protection.

All organizations, including not-for-profit and charitable organizations, will be impacted by the ongoing proliferation and deployment of AI, and the investigation is a signal of the increasing regulatory focus on the ethical and responsible use of AI technologies that is to be expected in the coming months and years.

The OPC investigation underscores the need for charities and not-for-profits to keep current with emerging technological trends and their implications for privacy and data protection. Staying informed and adopting transparent and responsible data practices will help charities and not for profits to gain and maintain the trust of stakeholders while navigating the dynamic digital landscape.


Read the August 2023 Charity & NFP Law Update