U.S. And European Negotiators Near Deadline for Data Transfer Deal
nytimes.com
nytimes.com
We have to question whether the US could have done anything. The real issue seems to be pervasive unlawfulness in the US. What assurance is any new law when various agencies have demonstrated histories of breaking them so casually? I think it will take a generation or more before Europeans have any trust in US privacy laws.
The EuGH decided that personal data in the US is not safe but it is safe in the EU.
When in reality at least the UK, French and German secret agencies have spied and are spying on internet communications and data.
On Monday it will be illegal to transfer personal data to the US for EU startups based on safe harbor. Main impact is on email marketing.
Currently not clear if exiting BCR and standard clauses are impacted too.
It might be the case that EU startups also no longer can use Google Mail or Google apps.
The problem is that US law is incompatible with Europe's definition of fundamental rights (i.e. data is made available to the NSA, this is not acceptable and rightly so IMHO).
Until US law changes so that there are "effectively equivalent" to EU protections then the CJEU is going to back up anybody who brings a complaint against transatlantic data flows.
Sounds like a feature, not a bug.
The US "Safe Harbor" was always a joke. It was a work-around because the US refuses to enact data protection laws that give Internet users strong rights against businesses.
Read the EU Data Protection Directive.[1] EU citizens have have the right to demand some things of the "data controller" who collected data about you. They can demand a copy of the data. They can demand corrections. They can demand to know of any other parties possessing copies of the data. They can demand to know what other parties are doing with it. These rights cannot be waived. "Data controllers" have to register with their country's data protection authority, and list what data they are keeping about individuals. Individuals can complain to the data protection authority if there are violations; they don't have to sue.
Consent must be explicit. An EULA is not enough. "Every consent must be given in an unambiguous way. This means that there should be no reasonable doubt that the data subject wanted to communicate his or her agreement to allow processing of his or her data. Deducing consent from mere inactivity is not capable of delivering unambiguous consent, for example. Where data to be processed are sensitive, explicit consent is mandatory and must be unambiguous."
An individual's consent to share personal data can be withdrawn at any time. "Example: A customer agrees to receive promotional mail to an address he or she provides to a data controller. Should the customer withdraw consent, the controller must immediately stop sending promotional mail. No punitive consequences such as fees should be imposed. If the customer was receiving a 5% reduction on the cost of a hotel room in return for agreeing to the use of his or her data for promotional mail, the withdrawal of consent to receiving promotional mail at a later stage should not result in having to pay back those reductions."[2]
Incidentally, this applies only to "natural persons", not corporations or businesses. Businesses come under the European Directive on Electronic Commerce, which requires disclosure, not privacy.
Since the entire EU has been under these rules for over twenty years now, this is not impossible. But it's something US companies now have to get used to.
It's not a problem for companies which collect customer data for internal use only. It's a big problem for companies which sell that data. That data isn't theirs to sell under EU law. The individual has ownership of their own data.
[1] http://eur-lex.europa.eu/legal-content/en/TXT/?uri=CELEX:319... [2] http://fra.europa.eu/sites/default/files/fra-2014-handbook-d...
This Regulation (which will apply automatically across the EU, unlike the previous Directive which had to be manually ported ('transposed') into national law by the member states) will toughen up the rules on consent, data portability, liability and enforcement.
One of the biggest headlines is that companies can be fined up to 4% of their _global_ turnover for breaches of the GDPR.
[0] https://en.wikipedia.org/wiki/General_Data_Protection_Regula...
[1] http://www.scmagazineuk.com/european-parliament-informally-a...
It has nothing to do with companies selling data. It's a problem for any startup that uses US SaaS companies, e.g. AWeber. You can't do that anymore even with correct ToS, with double opt in, with their consent to send people emails.
Migrating to companies into the EU is no option, as there is none with the eco system and 2nd level SaaS like Mailchimp or AWeber.
And companies large US tech companies like Facebook are not impacted, as they will require consent to data transfer into the US during sign up.