Personal data security

European Union: Privacy Shield Details Have Been Revealed: Here's What Companies Need to Know

The European Commission has published its draft adequacy decision on the EU-U.S. Privacy Shield, the proposed data transfer framework that would replace the defunct Safe Harbor program. The draft adequacy decision formally supports the view that the proposed EU-U.S. Privacy Shield will ensure an adequate level of protection for the transfer of personal data from the EU to U.S. companies which enlist in the new program.

The draft decision also provides full details of the Privacy Shield framework for the first time.

The earliest the Privacy Shield is likely to be available is June, but if your company relies on transatlantic data-sharing, as many pharmaceutical and medical device companies do, it's worth reviewing the details of the framework now to determine whether it might make sense for your business.

Some key aspects of the Privacy Shield include the following:

• As with Safe Harbor, the Privacy Shield will not be available to companies in specific sectors which are outside the jurisdiction of the U.S. Federal Trade Commission or Department of Transportation. This means that companies in the financial services and insurance sectors will not be eligible to join...