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Europe Daily Bulletin No. 7987
Contents Publication in full By article 18 / 36
GENERAL NEWS / (eu) eu/data protection

Commission adopts decision on standard contractual clauses for data transfers to third countries

Brussels, 18/06/2001 (Agence Europe) - On Monday, the European Commission adopted a decision that defines the standard clauses which, once used by companies transferring personal data to third countries, guarantee that these companies ensure for the consumer "adequate protection" in the eyes of the Directive on the protection of personal data (95/46/EC). This Directive allows the State of the personal data exporting company to block to flow of information if it is found that the importing State has not taken steps to sufficiently protect the private life, in the eyes of European legislation. A blocking ability may be presently used, added a Commission civil servant. The decision taken, on the initiative of the Commissioner responsible for the Internal Market Frits Bolkestein, forces that the Member States immediately recognise that the companies incorporating these standard clauses in the transfer contracts toward third countries ensure a protection in accordance with the said Directive.

These standard clauses will greatly simplify the life of companies by saving them certain disincentives, linked to the complexity of the Directive, felt the civil servant. They join various ways to undertake a legal transfer: 1) the consent of person to the transfer of data; 2) the cases where the transfer is necessary in view of the concluding or implementation of a contract in the interests of the persons concerned (credit cards, for example); 3) the authorisation on a case by case basis by the competent authorities for the protection of data in the Member States of ad hoc conventions for the exporting of data outside the European Union on the basis of national legislation, to the extent that the authorities are certain that the contracts in question ensure an adequate level of protection; 4) transfer towards Switzerland and Hungary, with regards to which the Commission recognised that the data protection systems ensure a suitable level of protection, and the transfer towards American companies, which adhere to the "safe harbour" principal published by the American Trade Department, a system negotiated between the Commission and the United States. In a press release, the European executive adds that this decision is only a first step towards the drafting of contractual solutions as "tailor made" solutions for the transfer of data of a personal nature at the global level. Furthermore, the services of Mr Bolkestein consult the Member States and the control authorities over a new draft decision concerning the standard clauses for the transfer of data in view of their sub-contracting through a company established in a third country.

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