Record EU Fine For Meta Throws U.S. Data Transfers Into Doubt

Record EU Fine For Meta Throws U.S. Data Transfers Into Doubt

Meta has been hit with a €1.2 billion—$1.3 billion—wonderful by the European Union following a call by the Irish Data Protection Commissioner (DPC) that stated the Facebook dad or mum firm has been transferring information to the U.S. unlawfully.

The penalty is the most important ever to be imposed for breaches of the General Data Protection Regulation, and pertains to Meta’s transfers of private information to the U.S. on the idea of normal contractual clauses (SCCs) since July 16, 2020.

The decision pertains to Meta’s habits following a call from the Court of Justice of the European Union (CJEU) in a case introduced by campaigner Max Schrems following whistleblower Edward Snowden’s revelations that U.S. authorities have been accessing information from social media.

Using SCCs to facilitate information transfers, say the DPC and the European Data Protection Board (EDPB), fails to adequately shield European private information.

“The EDPB found that Meta IE’s infringement is very serious since it concerns transfers that are systematic, repetitive and continuous,” says Andrea Jelinek, chair of the EDPB.

“Facebook has millions of users in Europe, so the volume of personal data transferred is massive. The unprecedented fine is a strong signal to organizations that serious infringements have far-reaching consequences.”

The wonderful is the third to be imposed on Meta this yr alone, with the corporate having already been slapped with penalties of a whole lot of hundreds of thousands of euros.

Alongside the wonderful, Meta has been ordered to deliver its practices into line with GDPR by halting the illegal information processing, together with storage within the U.S., inside 5 months. The choice throws EU-U.S. information transfers right into a state of uncertainty.

Last fall, President Biden signed an government order aimed toward introducing new information safety safeguards for European residents, however this new Data Privacy Framework (DPF) nonetheless must be finalized.

The Computer & Communications Industry Association (CCIA) is looking for a speedy decision.

“To keep data flowing between the U.S. and EU, and to preserve the strength of our mutually beneficial trading relationship, prompt implementation of President Biden’s executive order is vital,” says CCIA president Matt Schruers.

“We look forward to the U.S. administration swiftly completing the implementation of all privacy safeguards and redress mechanisms that the executive order seeks to introduce.”

Meta says it is solely utilizing the identical mechanisms as different U.S. companies, and that the brand new privateness framework ought to come into operation quickly.

Schrems believes, nonetheless, that the brand new deal will even fail, having already are available in for harsh criticism from the European Parliament.

“The simplest fix would be reasonable limitations in U.S. surveillance law. There is an understanding on both sides of the Atlantic that we need probable cause and judicial approval of surveillance,” he says.

“It would be time to grant these basic protections to EU customers of U.S. cloud providers. Any other big U.S. cloud provider, such as Amazon, Google or Microsoft could be hit with a similar decision under EU law.”

Meta says it’s interesting the choice and is in search of a keep on implementation deadlines. And, say Nick Clegg, president of worldwide affairs, and chief authorized officer Jennifer Newstead, “This decision is flawed, unjustified and sets a dangerous precedent for the countless other companies transferring data between the EU and U.S.”

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