Brussels, BELGIUM — The European Commission has adopted a new data transfer mechanism. The revamped model contracts, formerly known as “Standard Contractual Clauses” or SCCs, are the most popular legal instrument that companies operating in Europe use to transfer data abroad.
Unlike its predecessor, the new SCCs can be used by a wider range of companies in different data transfer scenarios. They also include additional safeguards which contractual parties must fulfill.
Companies already using model contracts to transfer data will have 18 months to switch to the new version, while organisations contracting with new customers can only use this new version.
The adoption of those new contractual terms is timely as European data protection agencies are increasingly wary of data transfers performed under past SCCs.
The following can be attributed to Alexandre Roure, CCIA Public Policy Senior Manager:
“This strengthened data transfer tool can help restore certainty for the many businesses that rely on secure international data transfers. This new instrument can help ensure that Europe remains connected to the rest of the global economy.
We additionally hope the EU will soon conclude its data transfer negotiations with its main trading partners.”