Cross-Border Transfers

On July 10, 2023, the European Commission adopted its adequacy decision on the EU-U.S. Data Privacy Framework (“DPF”). The decision, which took effect on the day of its adoption, concludes that the United States ensures an adequate level of protection for personal data transferred from the EEA to companies certified to the DPF. This blog post summarizes the key findings of the decision, what organizations wishing to certify to the DPF need to do and the process for certifying, as well as the impact on other transfer mechanisms such as the standard contractual clauses (“SCCs”), and on transfers from the UK and Switzerland.Continue Reading European Commission Adopts Adequacy Decision on the EU-U.S. Data Privacy Framework

On May 30, 2023, one day before the Measures on the Standard Contract for the Cross-Border Transfer of Personal Information (“Measures”) were scheduled to take effect, the Cyberspace Administration of China (“CAC”) released a first edition of its guidance on how organizations should complete the filing procedure for Standard Contracts (“CAC Guidance”). (See our prior blog posts on the Standard Contract here.)Continue Reading China Releases Guidance on Filing Standard Contract for the Cross-Border Transfer of Personal Information

On April 4, 2023, the European Commission announced that the EU and Japan had successfully completed the first periodic review of the Japan-EU mutual adequacy arrangement, adopted in 2019.  The mutual adequacy recognition – whereby Japan and the EU each have recognized the other’s data protection regime as adequate to protect personal data – complements the regions’ other bilateral partnerships, such as the EU-Japan Economic Partnership Agreement, the Strategic Partnership Agreement, and the recently launched EU-Japan Digital Partnership (see our previous blogpost here).

The review process led to the adoption of two reports by the Commission and the Personal Information Protection Commission of Japan (“PPC”), each discussing the functioning of their respective adequacy decisions.  According to the Commission’s report, the convergence between the EU and Japan’s data protection frameworks has further increased in recent years, and the mutual adequacy arrangement appears to be functioning well.  We provide below a brief overview of the Commission’s main findings.Continue Reading European Commission Announces Conclusion of First Review of Japan-EU Adequacy Arrangement

On April 17, 2023, the UK applied to join the Global Cross-Border Privacy Rules (“CBPR”) Forum as an Associate member. It is the first country to declare its application to participate in the Global CBPR as an Associate member since its inception one-year ago. In addition to its application, the UK co-hosted the Global CBPR Forum workshop “At One Year: Challenges and Opportunities”, which took place between April 17 to April 20, 2023.Continue Reading Global CBPR Forum: A New International Data Transfer Mechanism

On February 24, 2023, the Cyberspace Administration of China (“CAC”) released the final version of the Measures on the Standard Contract for the Cross-border Transfer of Personal Information (“Measures”) (only available in Chinese here), including a template contract (“Standard Contract”) accompanying the Measures.  The Measures will take effect on June 1, 2023, but are subject to a 6-month grace period to allow companies time to bring their activities into compliance.

The finalization of the Measures marks another important step forward in the establishment of China’s cross-border data transfer framework.  With implementing rules for all three lawful transfer mechanisms now in place, China appears to be entering into a new phase where cross-border transfer activities will be more closely regulated and enforcement actions are more likely to arise for non-compliance. Continue Reading China Finalizes Standard Contract for Cross-Border Transfers of Personal Information

On December 14, 2022, the members of the Organization for Economic Co-operation and Development (“OECD”) (which includes various EU Member States, Mexico, Turkey, the UK and the United States) and the EU, adopted the Declaration on Government Access to Personal Data held by Private Sector Entities (“Declaration”).  Continue Reading OECD and the EU adopt Declaration on Government Access to Personal Data

On December 13, 2022, the European Commission released its draft adequacy decision on the EU-U.S. Data Privacy Framework (“EU-U.S. DPF”), which, once formally adopted, would recognize that the United States ensures an adequate level of protection for personal data transferred from the EU to organizations certified under the EU-U.S. DPF.  The draft decision follows the issuance of Executive Order 14086 on Enhancing Safeguards for U.S. Signals Intelligence Activities (“EO 14086”) by President Biden on October 7, 2022 (see our previous blog post here), and the political agreement reached between the EU and the U.S. in March 2022 (see our previous blog post here).

As many had expected, the draft adequacy decision assesses the limitations and safeguards relating to the collection and subsequent use of personal data transferred to controllers and processors in the United States by U.S. public authorities.  In particular, the draft decision assesses whether the conditions under which the U.S. government may access data transferred to the United States fulfill the “essential equivalence” test pursuant to Article 45(1) of the GDPR, as interpreted by the Court of Justice of the European Union (“CJEU”) in Schrems II (see our previous blog post here). Continue Reading European Commission Releases Draft Adequacy Decision on the EU-U.S. Data Privacy Framework

The upcoming date of December 27, 2022, marks the end of the roughly one year and a half-long transition period that companies had to replace any the old versions of the standard contractual clauses for international transfers of personal data by the new standard contractual clauses, which the European Commission adopted on June 4, 2021.  As of December 27, 2022, EU Supervisory Authorities may start GDPR enforcement proceedings against any companies that still on to the old version of the standard contractual clauses.

Covington is well placed to assisting clients in amending their contracts to take into account the new standard contractual clauses and, more generally, to ensure compliance with the GDPR rules on international data transfers.Continue Reading Countdown for Implementing the New EU Data Transfer Contracts and Overview of other EU Transfer Developments

On August 31, 2022, one day before the Measures for Security Assessment of Cross-border Data Transfer (“Measures”) were scheduled to take effect, the Cyberspace Administration of China (“CAC”) released a first edition of its guidance on how organizations should complete the security assessment application (“CAC Guidance”). Covington’s previous posts on the Measures can be found here.Continue Reading China Releases Guidance on Cross-border Data Transfer Security Assessment Application

On Episode 19 of Covington’s Inside Privacy Audiocast, Dan Cooper and and Yan Luo discuss the key provisions of China’s draft SCCs, compare the draft legislation with the GDPR, and talk through actions that companies should be considering in order to comply with the new cross-border data requirements.

This audiocast

Continue Reading Inside Privacy Audiocast: Episode 19 – New China Draft SCCs: How to Manage Your Cross-Border Data Transfers