SaaS Agreements – GDPR – US Companies

From the 25th of May 2018 the EU General Data Protection Regulation (GDPR) will come into force and change existing UK data protection laws. The GDPR does not just apply to SaaS suppliers and SaaS customers located in the EU. The GDPR also applies extraterritorially, i.e. to SaaS suppliers and SaaS customers located outside of the EU, for example in the USA, as set out below.

GDPR Applies to US SaaS Customers and SaaS Suppliers

The GDPR will apply to SaaS suppliers and SaaS customers located in the USA if:

They offer goods or services to SaaS customers located within the EU; or
They monitor the behaviour of EU data subjects;

Even though the SaaS supplier or SaaS Customer is not located within the EU.

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SaaS Agreements – GDPR – The General Data Protection Regulation

The General Data Protection Regulation (“GDPR”) will replace the existing EU Data Protection Directive and harmonise European data protection law from the 25th of May 2018. In the UK the GDPR will replace the Data Protection Act 1998 from the 25th of May 2018, regardless of “Brexit”. This will have a significant effect on both SaaS suppliers and SaaS customers who will need to comply with the terms of the GDPR. SaaS suppliers and SaaS customers must update all contractual documents that involve data processing, such as SaaS agreements, privacy policies and hosting and support agreements to comply with the new rules under the GDPR before the 25th of May deadline.

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SaaS Agreements – GDPR – New German Data Protection Law (BDSG)

The General Data Protection Regulation (GDPR) will replace the existing EU Data Protection Directive and aims to harmonise European data protection law from the 25th of May 2018. In Germany, the Government has already amended the existing German Data Protection Act (BDSG) and from the 25th of May 2018 the New German Data Protection Act (New BDSG) and the GDPR will apply together.

Compliance with the New BDSG

Both SaaS suppliers and SaaS customers who provide services to German clients or who collect or process personal data of German data subjects on behalf of international SaaS clients, will need to comply with the terms of the New BDSG in addition to the terms of the GDPR. The New BDSG sets out derogations from certain parts of the GDPR and additional obligations.

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SaaS Agreements – Data Protection – General Data Protection Regulation (GDPR)

At the end of 2015 the European Commission published the test of the new Data Protection Regulation (“GDPR”) which will replace the existing EU Data Protection Directive and harmonise European data protection law. The GDPR is expected to be adopted in Spring 2016. Once adopted, the GDPR will come into force within 2 years and in the UK the GDPR will replace the Data Protection Act 1998. This will have a significant effect on both SaaS suppliers and SaaS customers.

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SaaS Agreements – Data Protection – Update on the EU Draft Data Protection Regulation

SaaS suppliers should be aware of the recent changes made by the EU Parliament to the draft EU Data Protection Regulation (Regulation). If this amended version of the Regulation becomes law next year the obligations of SaaS suppliers who process personal data on behalf of customers will radically change. A summary of the current main proposed provisions is set out below.

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SaaS Agreements – Data Protection – New Proposed EU Rules – Part 2

On the 25th of January 2012 the European Commission published a proposal for a new Data Protection Regulation to replace the existing EU Data Protection Directive. The proposal sets out a general data protection framework aimed at unifying the current differing data protection rules in the EU. Following on from my first article – part 1, I have summarised the remainder of the major changes this will make to EU data protection law below.

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SaaS Agreements – Data Protection – New Proposed EU Rules – Part 1

On the 25th of January 2012 the European Commission published a proposal for a new Data Protection Regulation to replace the existing EU Data Protection Directive. The proposal sets out a general data protection framework aimed at unifying the current differing data protection rules in the EU. I have summarised the major changes this will make to EU data protection law in two articles, part 1 of which is set out below.

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