U.S. And EU Agree In Principle On New Trans-Atlantic Data Privacy Framework

In a joint press conference on March 25, 2022, U.S. President Joseph Biden and European Commission President Ursula von der Leyen announced an agreement "in principle" on a framework, called the Trans-Atlantic Data Privacy Framework ("Privacy Shield 2.0"), to replace the U.S.-EU Privacy Shield. The EU General Data Protection Regulation ("GDPR") places restrictions on personal data transfers to countries outside of the European Economic Area ("EEA"). Privacy Shield 2.0 is designed to replace the original Privacy Shield which allowed companies that had self-certified to lawfully transfer personal data from the EEA to the U.S. However, the Court of Justice of the European Union ("CJEU") in the so called Schrems II decision in 2020 invalidated the original Privacy Shield as a mechanism for such lawful transfers.