SaaS Agreements – GDPR – Data Processing Agreement

Since the General Data Protection Regulation (GDPR) came into force on the 25th of May 2018, SaaS suppliers and SaaS customers are legally obliged to include a written data processing agreement (DPA) in the terms of their SaaS agreements. The DPA usually forms a schedule to the SaaS agreement and must include the specific and detailed mandatory obligations set out in the GDPR. SaaS suppliers should use their own DPA and resist any attempt by a SaaS customer to have them sign up to the SaaS customer’s DPA for the following reasons.

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SaaS Agreements – Brexit – EU Data Transfers to the UK after Brexit

Under EU and UK data protection laws, UK SaaS suppliers are lawfully permitted to transfer personal data of SaaS customers located in the EU to any country within the EEA. From the 30th of March 2019, when the UK leaves the EU (“Brexit Date”), the UK will no longer be part of the EEA and will become a “third country” for data protection purposes, just like the USA.

The European Commission recently confirmed in a Notice that on the Brexit Date, UK based SaaS suppliers can no longer lawfully transfer personal data of SaaS customers located in the EU (i.e. in France, Germany, Spain etc.) to the UK,

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SaaS Agreements – Data Protection – What SaaS Suppliers need to know about the GDPR

From the 25th of May 2018 the EU General Data Protection Regulation (GDPR) will come into force and change existing data protection laws in all 28 EU member states. The GDPR will place direct obligations on SaaS suppliers (data processors) in relation to data processing activities. In addition customers (data controllers), their clients (data subjects) and local data protection authorities will be able to enforce breaches of the new rules directly against SaaS suppliers.

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SaaS Agreements – Brexit – EU Data Transfers

Once the UK leaves the EU, the UK will no longer be a member of the EEA. UK SaaS suppliers will no longer be lawfully permitted to continue to transfer personal data of EU SaaS customers to the UK unless the UK government, or alternatively SaaS suppliers themselves, put in place measures to make the transfer legal under EU data protection laws.

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SaaS Agreements – Terms and Conditions – Data Processing Agreement

Under the Data Protection Act 1998 (DPA) UK SaaS suppliers currently have limited obligations to SaaS customers when processing personal data as part of their SaaS services. However, from the 25th of May 2018 the General Data Protection Regulation (GDPR) will impose numerous new data processing obligations on SaaS suppliers. In particular, the obligation for SaaS suppliers to enter into a written data processing agreement with SaaS customers and sub-contractors.

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