The European Commission Issues Guidance On Alternative Cross-Border Data Transfer Tools

Today, one month after the European Court of Justice decision that invalidated the Safe Harbor framework, the European Commission (the "Commission") issued a Communication setting forth its position on alternative tools for the lawful transfer of personal data from the EU to the United States.  The Commission also stated its objective to conclude negotiations with the U.S. government regarding the so-called Safe Harbor 2.0 within three months.  This timeline dovetails with the Article 29 Working Party's grace period, which continues until the end of January 2016.

The Commission stated that, for now, companies can use the following transfer tools:

• Standard Contractual Clauses (or Model Contract) and other contractual solutions that "satisfactorily compensate for the absence of a general level of adequate protection, by including the essential elements of protection which are missing in any given particular situation."