Alex van der Wolk spoke to Law360 about the European Court of Justice’s upcoming decision related to the fate of a pair of popular cross-border data transfer mechanisms in a ruling that is expected to have sweeping implications for the way information flows out of the European Union and how regulators scrutinize these exchanges.
One scenario is that the Court of Justice could elect to strike down standard contractual clauses on the grounds that the mechanism doesn’t prevent the U.S. government and other third parties from broadly accessing this data, and that EU citizens don’t have adequate means to remedy this overreach.
“If standard contractual clauses are no good anymore, a whole lot of companies are going to have a big problem,” Alex said.