Privacy Shield Moves Forward, Company Certifications to Begin August 1

The European Commission formally adopted the EU-US Privacy Shield on Tuesday, ending months of legal uncertainty with a new framework for governing transatlantic data transfers after the Privacy Safe Harbor framework was invalidated in 2015. According to the Commission, Privacy Shield shifts from being a system based on self-regulation to "an oversight system that is more responsive as well as proactive" via stronger efforts by the US Department of Commerce, the US Federal Trade Commission and European Data Protection Authorities. The US Department of Commerce is now encouraging companies to review the framework, and it will begin accepting voluntary certifications beginning on August 1.