Legal Basis

Lawful Basis for Processing

Defined in §4, DPDPA 2023

The legal ground under DPDPA that justifies an organisation's processing of personal data.

What does “Lawful Basis for Processing” mean?

Under DPDPA Section 4, personal data can only be processed for a lawful purpose. The primary lawful bases are: consent of the Data Principal (Section 6), and certain legitimate uses without consent (Section 7). Unlike GDPR which lists six lawful bases, DPDPA is simpler — consent is the default, with specific enumerated exceptions. Every processing activity must be mapped to one of these lawful bases, and this mapping must be documented in the organisation's records.

Why does this matter for your business?

Every piece of personal data you process must have a documented lawful basis. Processing without a valid basis is unlawful and attracts penalties. You cannot retroactively assign a basis — it must be identified before processing begins.

Real example

A Chennai SaaS company documents: user profile data (basis: consent), payroll data (basis: legitimate use — employment contract), tax filings (basis: legitimate use — legal obligation), and marketing emails (basis: consent — separate opt-in required).

Common misconception

Unlike GDPR, DPDPA does not have a standalone "legitimate interest" basis that allows processing without consent based on business justification. The exceptions under Section 7 are narrowly defined.

Related terms

DPDPA Shield automates Consent Management. See how →