The European Court of Justice today overturned the EU-US Privacy Shield Agreement. As a result, the transfer of personal data can no longer take place on this basis and is no longer permissible. The Association of the Internet Industry predicts a significant impact on many companies in the EU that have relied on the Privacy Shield for data transfers to the US.
eco Managing Director Alexander Rabe responds to the decision:
“After Safe Harbour, the EU-US Privacy Shield is now the second international agreement for the transfer of personal data to third countries to be nullified: This ruling has fatal consequences for the Internet industry and all international business models on both sides of the Atlantic that rely on the exchange of personal data. Because without the Privacy Shield, there are now practically no alternatives for transferring data from the EU to the USA in an uncomplicated and legally secure manner. The only option currently available to companies is to exchange data with third countries on the basis of so-called standard contractual clauses. These, however, represent a considerable expense for the companies. The EU Commission must now immediately present practicable and sustainable solutions for data transfer to third countries and create legal certainty for companies.”