Antitrust Law Daily Wrap Up, PRIVACY NEWS: Justice Ministers support EC proposal on new data protection rules, (Jun 15, 2015)

By Linda O’Brien, J.D., LL.M.

The Ministers of the Justice Council of the European Union (EU) have reached a general approach on the European Commission (EC) proposal on data protection regulation, the EC announced today. The improved and harmonized data protection rules will provide a basis to help Europe make better use of innovative digital services and are a step toward the EU Digital Single Market.

The goal of the data protection reform launched by the Commission in 2012 was to enable individuals to better control their personal data, while allowing businesses to make the most of opportunities of the Digital Single Market. In March 2014, the European Parliament supported the EC’s proposal to reform data protection. The European Council called for the adoption of the data protection reform in 2015.

The general approach on the data protection regulation includes agreement on:

• “One continent, one law”: The regulation will establish a single set of rules on data protection, valid across the EU, which is expected to save businesses around €2.3 billion a year;

• Strengthened and additional rights: When citizens no longer want their data to be processed and there are no legitimate grounds for retaining it, the controller must delete the data, unless they can show that it is still needed or relevant;

• European rules on European soil: Companies based outside of Europe will have to apply the same rules when offering services in the EU;

• More powers for independent national data protection authorities: Those authorities will be strengthened in order to effectively enforce the rules, and will be empowered to fine companies that violate EU data protection rules; and

• “One-stop shop”: The rules will establish a 'one-stop shop' for businesses and citizens, making it simpler and cheaper for companies to do business across the EU and individuals will only have to deal with their home national data protection authority even if their personal data is processed outside their home country.

Completing the Digital Single Market is one of the top priorities of the EC. Although the Internet and digital technologies are transforming the world, existing barriers online mean citizens miss out on goods and services; Internet companies and start-ups have their horizons limited; and businesses and governments cannot fully benefit from digital tools. With a fully functioning Digital Single Market, €415 billion in additional growth, hundreds of thousands of new jobs, and a vibrant knowledge-based society can be created, according to the EC.

The Commission's proposals for a comprehensive reform of the EU's 1995 Data Protection Directive aim to strengthen privacy rights and boost Europe's digital economy. A clear definition of personal data will be established in the regulation to ensure harmonized implementation of the rules across the EU. The legislation is technologically neutral, enabling innovation to continue to thrive under the new rules.

As a next step, the first Trilogue meeting between the EC, the European Parliament, and the Council of the EU will take place on June 24. The three institutions intend to agree on a roadmap towards the finalization of the reform in 2015.

News: Privacy