The End of the Safe Harbor Framework – and the Threat to Model Clauses and BCRs

Cohen & Gresser LLP
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Earlier last week, the European Court of Justice (CJEU) invalidated the Safe Harbor framework between the United States and the European Union -- effective immediately. This decision significantly disrupts the flow of data from Europe to the U.S. and will have a major impact on U.S.-EU trade.

What is the Safe Harbor -

Some background may be helpful. The Safe Harbor framework was implemented in 2000 in response to the European Union Data Protection Directive, which forbids the transfer of personal data to countries outside the European Union that have been determined not to have adequate data protection measures in place (including, importantly, the United States). The Safe Harbor was critical because it enabled companies to transfer personal data from the EU to the U.S. by certifying that the companies themselves complied with EU privacy standards – notwithstanding the fact that the U.S. standards were lower. To participate in the U.S.-EU Safe Harbor program, a company had to publicly declare its compliance with the Safe Harbor Framework's requirements, including the framework’s specific set of privacy principles, and state in its published privacy policy statement that it adhered to the Safe Harbor Privacy Principles. Once a company self-certified and became part of the Safe Harbor program, the company could legally transfer personal data from the EU to the U.S. in a relatively headache free-way...

Please see full publication below for more information.

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