Overview
In today's digital economy, personal data is a valuable commercial asset. Organisations often entrust third parties with processing it, heightening the risk of unlawful processing, breaches, and regulatory penalties when roles and safeguards are unclear. Nigeria's Data Protection Act, 2023 (NDP Act) confronts this risk by placing transparency and accountability at the heart of data governance.
The Data Processing Agreement (DPA) is central to this framework - a binding instrument that governs the relationship between data controllers and processors, turning statutory duties into enforceable contractual obligations. More than a formality, the DPA is the bedrock of a lawful processing relationship. By requiring transparency around technical measures and risk assessments, it helps ensure processing is fair and free from exploitation. It also signals a demonstrable duty of care, ensuring personal data is handled professionally to prevent avoidable harm to data subjects.
Against this backdrop, this article critically examines DPAs under the NDP Act 2023 - analyzing their legal basis, mandatory contents, practical significance, and the risks of non-execution - while highlighting best practices for effective implementation as a tool for trust-based data governance.
