SaaS Agreements – Data Protection – New EU-US Privacy Shield?

Following the Schrems II judgement of the European Court of Justice (“ECJ”), which invalidated the EU-US Privacy Shield which resulted in the subsequent European Data Protection Board (“EDPB”) final data transfer guidance, SaaS customers and SaaS suppliers are currently required to carry out a data transfer assessment (“DTA”) prior to transferring personal data outside of the EEA to a “third country” i.e. to a country which does not have an “adequacy decision” from the EU, for example, the USA.

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SaaS Agreements – FAQs – Cookies

Cookies are small text files placed on a user’s hardware device, such as a computer, tablet or mobile phone which record online activity. The majority of websites use cookies to measure visits and the use of websites (analytics cookies). Cookies are often also used to save user names, passwords and user preferences to make repeated use of a website more comfortable for the user. However, increasingly cookies are being used to collect information about users for the purposes of targeted marketing, tracking and other non essential purposes.

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SaaS Agreements – GDPR – EU-US Privacy Shield Invalid

On the 16th of July 2020 the EU-US Privacy Shield was ruled invalid with immediate effect by the European Court of (“CJEU”). The steps that SaaS suppliers now need to take depend on the scale and type of international data flows and the transfer mechanisms used. If you rely solely upon the EU-US Privacy Shield for transfers to the US, you must replace the Privacy Shield with the EU Commission’s Standard Contractual Clauses (“SCCs”).

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SaaS Agreements – FAQs – Personal Data

It is essential for SaaS providers and SaaS customers to understand what consitutes personal data to ensure that they comply with their respective legal obligations when acting as data controllers and/or data processors. What is Personal Data? Articles 4(1) of the General Data Protection Regulation (“GDPR“) defines personal data as:

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