Privacy

• Author: International Law Group

Under Directive 95/46/EC, EU Member States may allow the transfer of personal data to a third country only if the third country ensures an adequate level of privacy protection. It considers the transfer of data from the EU to the United States adequately protected if organizations comply with the "safe harbor" privacy principles for the protection of personal data transferred from a Member State to the United States ("the Principles"), and the "frequently asked questions" (the FAQs) providing guidance for the implementation of the Principles issued by the U.S. Department of Commerce on July 21, 2000.

Decision 2000/520/EC regards all data transfer that obeys the Principles, the FAQs, and certain other documents, as conforming with EU data protection requirements (Article 1). EU Member State authorities, however, may suspend data flows if a violation of the Principles occurs or is likely (Article 2). The Annexes to the Decision contain the following documents:

(1) Annex I: A reprint of the "Safe Harbor Privacy Principles" issued by the U.S. Department of Commerce, which provide guidance on data transfer from the EU to the U.S.

(2) Annex II: The FAQs, which answer specific questions, such as whether there are "Journalistic Exceptions," what the role of "Data Protection Authorities" is, how an organization can self-certify its adherence to the Safe Harbor Principles, and what "confidential commercial information" means.

(3) Annex III: "Safe Harbor" Enforcement Overview, an outline of the authority of the Federal Trade Commission under Section 5 of the Federal Trade Commission Act to take action against those who fail to protect the privacy of personal information.

(4) Annex IV: Damages for Breaches of Privacy, Legal Authorizations and Mergers and Takeovers in U.S. Law, which explains U.S. law regarding claims for damages for breach of privacy, when personal information may be used in the U.S. in a manner inconsistent with the Safe Harbor Principles, and the effects of mergers and takeovers on the application of the Safe Harbor Principles.

(5) Annex V: An explanatory letter from the Federal Trade Commission that summarizes its stance regarding online privacy.

(6) Annex VI: A letter from the U.S. Department of Commerce...