Glossary > Privacy > Government Surveillance And Legislation > International Data Transfers

Standard Contractual Clauses

Standard Contractual Clauses, also known as SCCs, are templates provided by the European Commission to ensure the protection of personal data when it's transferred internationally from the European Economic Area to countries outside it. These clauses contain contractual obligations that the sender and receiver of the data must abide by to safeguard the data and uphold privacy rights during the transfer process.

Example #1

Company A, based in Germany, wants to transfer customer data to Company B in the United States. To ensure data protection, both companies sign the Standard Contractual Clauses, committing to specific data security measures and privacy standards during the transfer.

Example #2

An online retailer in France uses a cloud service provider in Canada to store customer data. The retailer implements SCCs to guarantee that the Canadian provider follows strict data protection practices and complies with GDPR regulations.

Misuse

Misuse of Standard Contractual Clauses could occur if a receiving company in a non-EU country fails to uphold the agreed-upon data protection standards outlined in the clauses. This could lead to customer data being mishandled, exposed to breaches, or used for unauthorized purposes. It's crucial to prevent misuse to protect individuals' privacy and prevent data breaches that could harm consumers.

Benefits

The use of Standard Contractual Clauses provides a standardized framework for international data transfers, ensuring that personal data remains protected and that privacy rights are respected across borders. By implementing SCCs, organizations can demonstrate their commitment to data security and regulatory compliance, fostering trust with consumers and reinforcing the protection of sensitive information.

Conclusion

Standard Contractual Clauses play a vital role in safeguarding personal data during international transfers, promoting transparency, accountability, and consumer trust. By adhering to these clauses, businesses can uphold privacy standards and ensure that data remains secure even when crossing borders.

Last Modified: 4/30/2024