International data transfer involves the movement of data across national borders, which raises concerns about data privacy, security, and compliance with varying legal frameworks. Organizations must navigate complex regulations such as the GDPR in the EU or the CCPA in California to ensure lawful and secure data exchanges.
The Privacy Shield framework was designed to provide companies on both sides of the Atlantic with a mechanism to comply with data protection requirements when transferring personal data from the European Union and Switzerland to the United States in support of transatlantic commerce. However, it was invalidated by the Court of Justice of the European Union in July 2020 due to concerns over U.S. surveillance practices, leaving businesses to rely on alternative data transfer mechanisms.
Cross-border data flow refers to the transfer of digital information across national boundaries, which is crucial for global trade, innovation, and economic growth. However, it poses challenges related to data privacy, security, and regulatory compliance, necessitating international cooperation and harmonization of data protection laws.
A 'Third Country' in international relations typically refers to a nation that is not directly involved in a specific bilateral agreement or dispute but may be impacted by it. This term is often used in trade, immigration, and diplomatic contexts to describe countries outside of a particular regional or economic bloc.
Standard Contractual Clauses (SCCs) are legal tools used to ensure adequate data protection when personal data is transferred from the European Economic Area (EEA) to third countries outside the EEA. They are pre-approved by the European Commission and provide safeguards that align with the General Data Protection Regulation (GDPR) requirements for international data transfers.