EuroCommerce and the National Retail Federation (NRF) have released a white paper on transatlantic data transfers, urging institutions on both sides of the Atlantic to adopt and implement the framework.
The paper was released ahead of a new resolution by the European Parliament, scheduled to be published next week, on an EU-US agreement covering transatlantic data transfers.
"The new EU-US Data Privacy Framework would represent a clear improvement over the former Privacy Shield programme," said Christel Delberghe, director general of EuroCommerce – the association representing retailers and wholesalers in Europe.
"Following more than two years of uncertainty and disruption, it will facilitate responsible data transfers for both retailers and wholesalers."
In December 2022, the European Commission launched the process of approving the EU-US Data Privacy Framework by issuing a draft adequacy decision concluding that the agreement provides adequate safeguards comparable to those in the EU.
The white paper prepared by EuroCommerce and NRF offers a comprehensive legal analysis, with a particular focus on the establishment of a new Data Protection Review Court under US law.
The analysis shows that the new framework would address cumbersome and costly-to-implement standard contractual clauses, currently required for personal data transfers between the EU and US, EuroCommerce noted.
Transatlantic Data Transfers
"US retailers support a reliable and legally valid transfer mechanism that allows them to serve their customers in the EU while maintaining the highest data protection standards," NRF president and CEO Matthew Shay said.
"This analysis shows that the new framework would ensure legal certainty and provide a durable, long-term mechanism for safeguarding consumers’ data while benefiting consumers and businesses alike."
The new framework also seeks to introduce improvements regarding the necessity and proportionality of government access in line with the requirements of the European Court of Justice.
That, in turn, would free up resources of retailers and wholesalers to further protect the privacy and security of consumers’ data by fortifying online system defences, investing in advance personnel training and monitoring, and assessing privacy and security risks from service providers, EuroCommerce added.
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Data Protection Review Court
The white paper also explores the role of the Data Protection Review Court established by the United States for handling complaints of EU individuals implicating matters of US national security.
It confirms that the US legal system authorises the creation of administrative tribunals, like the DPRC, and that it would be comprised of qualified judges with independent authority to issue final and binding decisions directing remedial measures to be undertaken by US intelligence agencies.
According to EuroCommerce and NRF, this mechanism meets the Court of Justice's requirements for providing adequate and effective redress to EU individuals.
EuroCommerce and the NRF have urged the European Commission to take the views of the European Council, the European Parliament, and the European Data Protection Board into account and look forward to the timely adoption of a final adequacy decision and implementation of the Data Privacy Framework.
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