This article first appeared on Thomson Reuters Regulatory Intelligence.
The summer of 2018 may be regarded as a pivotal time in the history of data privacy laws. The European Union’s General Data Protection Regulation (GDPR) came into effect in May 2018, the California Consumer Privacy Act (CCPA) was signed into law in June 2018 (and comes into effect on January 1, 2020), and a draft of India’s Personal Data Protection Bill (India DP Bill) was released in July 2018 (and is now under review by India’s government).
These developments, and more generally, the recent proliferation of data privacy laws around the world (notably, in Australia, China, Brazil, Hong Kong, and Singapore) represent a compliance challenge for many multinational organizations.
The expert committee set up by the Government of India recently published a new draft data privacy draft bill called the Personal Data Protection Draft bill 2018 along with a detailed companion report. This significant development brings India closer to a comprehensive law for personal data protection. The draft bill is modelled on the European Union’s General Data Protection Regulation (GDPR). If enacted into law, the draft bill would impose significant obligations on organizations, whether operating inside or outside India, including mandatory localization of personal data. The Government of India has invited comments to the draft bill by 30 September 2018. (more…)
On October 3, 2017, the Article 29 Working Party (“WP29”) adopted draft guidelines regarding notification of personal data breaches under the EU’s General Data Protection Regulation (“GDPR”) which will require breach notification within 72 hours of awareness of a breach. (“Draft Guidelines”) (The Draft Guidelines appear to have been released for public comment during the week of 16th October). The deadline for comment is November 24, 2017. The Draft Guidelines are available here. The WP29 is a collective of EU data privacy supervisory authorities (“DPAs”). (more…)
On February 2, the Italian Data Protection Authority, known as the “Garante,” imposed a fine of EUR 5,880,000 on a UK money transfer company that it found to be in violation of Italian data privacy rules. This is the largest ever publicly-known fine imposed by an EU data protection authority, and it approaches the level of fines that are likely to be imposed under the EU’s General Data Protection Regulation (“GDPR”) that will come into force in May 2018. Although the GDPR is not yet in force, the Garante’s enforcement action shows that European data protection authorities are willing to levy the kind of fines allowed by the GDPR.
A recent speech by the Financial Conduct Authority (“FCA”) Director of Specialist Supervision, Nausicaa Delfas, delivered at the Financial Times’ Cyber Security Summit, shows that the FCA, which is the leading financial services regulator in the United Kingdom, is taking the issue of cyber security seriously and that it believes new approaches are needed to combat the threat to financial services firms.
The FCA’s concerns are consistent with those being expressed by US banking regulators and the Group of Seven (G-7) industrial nations who agreed on a set of guidelines to combat cyber risks affecting global financial institutions.
The European Commission has drafted amendments to the adequacy decisions that underpin the European Union’s Standard Contractual Clauses (“SCCs”) that allow businesses to transfer personal data originating in the European Economic Area (“EEA”) outside of the EEA. While the Commission has not published the full text of its proposals, they may have a significant practical impact on all businesses that rely on SCCs for international data transfers, including to the United States.