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In October 2015, the European Court of Justice (EuGH) ruled that the previously valid agreement for data exchange with the USA was no longer valid. This far-reaching decision was based on the realization that the USA cannot offer sufficient data protection and that the data is not protected from government access. The Safe Harbor agreement is to be replaced by a newly negotiated agreement called the Privacy Shield. Since this new agreement offers only a few improvements related to protecting…

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In October 2015, the European Court of Justice declared the previously valid Safe Harbor agreement for transatlantic data transfer to be invalid. On February 2, 2016, it became clear that the two negotiating parties would work on a follow-up agreement. In the meantime, legal uncertainty prevails. Not only can data protection authorities submit further claims, the new Privacy Shield agreement still has to be passed by the EU states and the EU parliament.

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According to a ruling of the European Court of Justice, the EU and the USA had until the end of January 2016 to negotiate a new Safe Harbor agreement. In its October 6, 2015 ruling, the European Court of Justice had declared that the USA did not offer a sufficient level of data protection and it was therefore not lawful to transfer personal data. The negotiating parties have not yet submitted any results and so the grace period has expired. Companies can no longer invoke the EU Safe Harbor…

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