Update on Impending Russian Data Localization Law

Despite having previously stated it would not issue further clarifications, in August 2015, the Russian Ministry of Communications and Mass Media (Minkomsvyaz) issued a further statement regarding the data localization law.  The Ministry of Communications is empowered to supervise the data protection authority (Roskomnadzor) and to provide interpretations of laws that fall within their purview (including the data localization law).  The Minkomsvyaz statement reiterated that the law does not have retroactive effect – personal data of Russians collected prior to September 1, 2015 may reside in foreign jurisdiction so long as they are not updated or changed, at which point they would be subject to the localization requirement.  The clarification further noted that data localization requirement would not apply to entities that are not resident in Russia.  This statement is notable for being issued in writing, and providing companies with a statement of standards and expectations that may be cited by companies should issues arise.

See previous coverage in Data Matters July 21, 2015 Post: Impending Russian Data Localization Law

Sidley does not practice law in Russia, so the information here is based on our understandings from public sources and discussions with local counsel. This article should not be construed as advice about Russian law.