{"id":14135,"date":"2020-09-17T10:18:32","date_gmt":"2020-09-17T17:18:32","guid":{"rendered":"https:\/\/www.privateinternetaccess.com\/blog\/?p=14135"},"modified":"2021-08-03T06:53:59","modified_gmt":"2021-08-03T13:53:59","slug":"latest-developments-in-the-long-running-and-crucial-schrems-vs-facebook-gdpr-privacy-battle","status":"publish","type":"post","link":"https:\/\/www.privateinternetaccess.com\/blog\/latest-developments-in-the-long-running-and-crucial-schrems-vs-facebook-gdpr-privacy-battle\/","title":{"rendered":"Latest developments in the long-running and crucial Schrems <i>vs.<\/i> Facebook GDPR privacy battle"},"content":{"rendered":"<p>Back in July, this blog reported on <a href=\"https:\/\/www.privateinternetaccess.com\/blog\/top-eu-court-sinks-main-framework-for-sending-personal-data-across-the-atlantic\/\">a major victory for the privacy campaigner Max Schrems<\/a> at the Court of Justice of the European Union, (CJEU). Following that win, the big question now is: what effects will it have on the handling of personal data by the Internet giants? <a href=\"https:\/\/techcrunch.com\/2020\/09\/03\/no-quick-fix-for-transatlantic-data-transfers-says-ec\/\">A quick fix is unlikely<\/a>, but <a href=\"https:\/\/ec.europa.eu\/newsroom\/just\/items\/684836\">the US and EU have already started discussions<\/a> on \u201can enhanced EU-U.S. Privacy Shield framework to comply with the 16 July judgement of the Court of Justice of the European Union in the Schrems II case\u201d. Another important move is the creation of a European Data Protection Board taskforce to consider how to apply the CJEU ruling (<a href=\"https:\/\/www.bfdi.bund.de\/SharedDocs\/Pressemitteilungen\/DE\/2020\/22_Neue-Task-Force-EDSA.html\">original press release in German<\/a>), largely in response to <a href=\"https:\/\/www.privateinternetaccess.com\/blog\/max-schrems-files-101-complaints-across-30-european-countries-to-turbocharge-gdprs-impact-and-hes-not-the-only-one\/?aff=PNO13\">Schrems\u2019 recently-filed pan-European GDPR complaints<\/a>.<\/p>\n<p>Although the CJEU ruling is general in its applicability, Schrems\u2019 main target has been Facebook, and in the last few days there have been some important developments in terms of the impact of the CJEU ruling on Facebook and transatlantic data transfers. Last week, the <a href=\"https:\/\/www.wsj.com\/articles\/ireland-to-order-facebook-to-stop-sending-user-data-to-u-s-11599671980?mtc=j\">Wall Street Journal<\/a> and <a href=\"https:\/\/www.politico.eu\/article\/facebook-privacy-data-us\/\">Politico<\/a> revealed that <a href=\"http:\/\/www.dataprotection.ie\/en\">Ireland\u2019s Data Protection Commission<\/a> (DPC) has warned Facebook that it would have to stop sending the personal data of EU citizens to the US. However, as the indefatigable Schrems points out, there are <a href=\"https:\/\/noyb.eu\/en\/dpc-actually-stopping-facebooks-eu-us-data-transfers-maybe-half-way\">some troubling aspects to the DPC\u2019s move<\/a>, which centers around <a href=\"https:\/\/www.privateinternetaccess.com\/blog\/key-transatlantic-data-flows-threat-us-surveillance-laws-clash-eu-privacy-protections\/\">Standard Contractual Clauses<\/a>:<\/p>\n<blockquote><p>On 31 August 2020, the <a href=\"https:\/\/noyb.eu\/sites\/default\/files\/2020-09\/letter%20from%20DPC_bk.pdf\">DPC informed us in a letter (PDF)<\/a> that it will open a second case (independent from the complaints procedure that lead to the judgment of the CJEU) to investigate Facbeook\u2019s reliance on the Standard Contractual Clauses (SCCs). At the same time, the DPC decided to pause the ongoing complaints procedure initiated by Mr Schrems seven years ago, despite being under an undertaking to the Irish High Court from 2015 to decide on the case swiftly. The DPC highlighted that this second investigation is strictly limited to Facebook\u2019s use of SCC under Article 46(1) GDPR.<\/p><\/blockquote>\n<p>So, instead of responding to the complaint made by Schrems seven years ago \u2013 as ordered by the Irish High Court \u2013 the DPC will start an entirely new investigation into the SCCs that are an alternative to the now-defunct Privacy Shield. That seems to ignore everything that has happened in the last seven years, in order to pursue a wild goose chase based on the SCCs. That\u2019s an odd move, since Facebook has now shifted its ground, and says that it no longer relies on SCCs to transfers personal data from the EU to the US. <a href=\"https:\/\/noyb.eu\/en\/dpc-actually-stopping-facebooks-eu-us-data-transfers-maybe-half-way\">Schrems explains<\/a>:<\/p>\n<blockquote><p>Facebook has indicated in a <a href=\"https:\/\/noyb.eu\/sites\/default\/files\/2020-09\/exchange%20with%20facebook_bk.pdf\">letter from 19 August 2020 (PDF, page 3)<\/a> that (after the end of Safe Harbor, Privacy Shield and the SCCs) it is now relying on a fourth legal basis for data transfers: the alleged \u201cnecessity\u201d to outsource processing to the US under the contract with its users (see Article 49(1)(b) GDPR). This means that any \u201cpreliminary order\u201d or \u201csecond investigation\u201d by the DPC on the SCCs alone will in fact not stop Facebook from arguing that its EU-US data transfers continue to be legal<\/p><\/blockquote>\n<p>Even if the DPC eventually decides that Facebook should not use SCCs, it will be irrelevant, because Facebook will simply point out that it no longer depends on them, and instead is relying on <a href=\"https:\/\/gdpr-info.eu\/art-49-gdpr\/\">Article 49 of the GDPR<\/a>. Since this has nothing to do with SCCs, the new DPC investigation is a waste of time and effort. Despite that fact, Facebook is trying to delay the new DPC case as much as possible. This week, the Irish High Court granted Facebook leave to file a Judicial Review against the DPC and \u201cstayed\u201d the new SCC investigation by the DPC into EU-US data flows. That is, <a href=\"https:\/\/noyb.eu\/en\/irish-high-court-judicial-review-against-dpc-admitted\">everything is now on hold<\/a>, albeit only temporarily. Schrems, for his part, is continuing to pursue his initial complaint about Facebook. He has announced that his organization NOYB is planning to seek an interlocutory injunction to ensure that the DPC takes action on all the alleged legal bases relied upon for data transfers by Facebook, rather than get sidetracked in this new investigation.<\/p>\n<p>Aside from the interesting light it sheds on the DPC, which has failed to investigate Facebook properly for seven years, there is another crucial aspect here. Now that the original Safe Harbor scheme, and the subsequent Privacy Shield, have both been ruled as invalid, and the CJEU has placed important restrictions on how SCCs can be used, the focus is firmly on another legal basis for data transfers under the GDPR: the alleged \u201cnecessity\u201d to outsource processing to the US under the contract with users.<\/p>\n<p>It seems likely that many Internet companies will try to use this as the legal basis for sending data from the EU to the US. It may well be that we will see yet another Schrems court case decided at the CJEU that rules exactly what \u201cnecessity\u201d means in this situation. If the top EU court decides that \u201cnecessity\u201d must be strict and tightly-defined \u2013 that is, not just a general get-out for companies \u2013 the only remaining option will be data localization: keeping the personal data of EU citizens in the EU.<\/p>\n<p>Featured image by <a href=\"https:\/\/commons.wikimedia.org\/wiki\/File:Egypt_Abou_Simbel6.jpg\">Aoineko<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Back in July, this blog reported on a major victory for the privacy campaigner Max Schrems at the Court of Justice of the European Union, (CJEU). Following that win, the big question now is: what effects will it have on the handling of personal data by the Internet giants? A quick fix is unlikely, but &hellip; <a href=\"https:\/\/www.privateinternetaccess.com\/blog\/latest-developments-in-the-long-running-and-crucial-schrems-vs-facebook-gdpr-privacy-battle\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Latest developments in the long-running and crucial Schrems <i>vs.<\/i> Facebook GDPR privacy battle&#8221;<\/span><\/a><\/p>\n","protected":false},"author":20,"featured_media":14144,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_stopmodifiedupdate":true,"_modified_date":"","footnotes":""},"categories":[1,130,1941],"tags":[544,1725,1990,104,485,622,681,612,611,1643],"class_list":["post-14135","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","category-governments","category-surveillance","tag-cjeu","tag-data-localization","tag-dpc","tag-facebook","tag-gdpr","tag-ireland","tag-max-schrems","tag-privacy-shield","tag-safe-harbor","tag-sccs"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.9 (Yoast SEO v26.9) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Latest developments in the long-running and crucial Schrems vs. Facebook GDPR privacy battle<\/title>\n<meta name=\"description\" content=\"Back in July, this blog 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