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EU-U.S. Privacy Shield Finalized

By Jonathan Armstrong and Andre Bywater
August 01, 2016

The European Commission concluded more than six months of negotiations both within the EU institutions and with the U.S. on July 12 with the announcement that an agreement had been reached on the Privacy Shield scheme to transfer data from the EU to the U.S.

What Is Privacy Shield?

The Privacy Shield scheme was proposed in February 2016 to replace the Safe Harbor scheme, which was struck down by the European Court in the first Schrems case ( Schrems 1 ) in October 2015. Maximillian Schrems v. Data Prot. Comm'r, ECLI:EU:C:2015:650, CJEU 6 Oct. 2015, Case C-362/14 (Schrems 1). The Schrems 1 case was brought by an Austrian law student, Maximilian Schrems, against Facebook. Mr Schrems initially complained to the Irish Data Protection Commissioner about the way in which Facebook was transferring his data using Safe Harbor. The Irish Data Protection Commissioner felt that she did not have the power to investigate since the European Commission had put the Safe Harbor scheme in place. The court disagreed and also felt that the entire Safe Harbor scheme was unlawful.

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