On 4 June 2021, the European Commission adopted new standard contractual clauses (SCCs) for the transfer of personal data to countries outside the EU/EEA. These SCCs replace the European Commission's previous standard contractual clauses, which require action when new contracts are concluded, but also for existing contracts.
What will this entail?
The starting point is that personal data may only be transferred to a country outside the EU/EEA in exceptional cases, for example if the controller takes appropriate safeguards using standard contractual clauses approved by the European Commission.
The European Commission's previous standard contractual clauses have been repealed and their continued use is not considered to guarantee appropriate safeguards. The previous standard contractual clauses could be used in new contracts for a limited time, but that period is over. Shortly, the old standard contractual clauses will also cease to be valid in existing contracts. It is therefore high time to update existing contracts and contract templates.
27 SEPTEMBER 2021
Companies can no longer use the old standard contractual clauses when signing new contracts, but must make use of the new standard contractual clauses. In the case of contracts concluded before 27 September 2021, the old standard contractual clauses are considered to continue to guarantee appropriate safeguards until 27 December 2022, provided that the processing operations subject to the contract remain unchanged. Therefore, ensure that existing contract templates and new contracts concluded do not contain the old standard contractual clauses.
27 DECEMBER 2022
Contracts including the old standard contractual clauses are no longer considered to guarantee appropriate safeguards when transferring personal data to third countries after that date. By 27 December 2022, all contracts including the old standard contractual clauses need to be replaced by the new standard contractual clauses. It is therefore high time to review and update existing agreements with the new standard contractual clauses. Therefore, be sure to update contract templates and start negotiating new contracts with your suppliers, customers and partners in good time.
What can Lindahl help with?
Lindahl can help you to review existing agreements to determine which agreements need to be updated and assist with their update. We can also help to review the contract templates and update them for compatibility with the European Commission's decision.
Do you want to know more about the new standard contractual clauses and what this means for your company? Please feel free to contact one of the persons below within GDPR & Data Protection or your regular contact at Lindahl.