The Court of the European Union confirmed the legality of the agreement on the transfer of personal data between the EU and the USA, concluded two years ago. It replaces the two previous agreements that were previously rejected by the court.
The decision provides legal confidence for thousands of companies – from banks and farm producers to technological and automobile companies – which transmit data through the Atlantic for commercial purposes, including cloud services and the calculation of salaries.
The case was considered against the backdrop of tense relations between the EU and the USA after antitrust measures against large technological companies and threats from US President Donald Trump. The European Commission, which spoke on behalf of the 27 EU countries, when agreeing on an agreement in 2023, said that the new mechanism provides sufficient protection of these European citizens when transferring to the United States.
The French deputy Philip Latomb sued, claiming that the agreement does not give guarantees for the protection of private life and family due to a wide data collection and distrust of the new American appeal body. He noted that this body is not an independent tribunal and does not provide the same guarantees as the EU legislation requires.
The court in Luxembourg took the side of the commission, rejecting the lawsuit of Latomba. The judges noted that the transfer of data to the United States is regulated by law and is under subsequent judicial control via Data Protection Review Court.