Privacy Shield (EU-U.S.)

The Privacy Shield was an agreement between the European Union and the United States designed to protect personal data transferred across their borders. It set standards for U.S. companies to handle EU citizens’ information securely and respect privacy rights, similar to EU regulations. Companies had to certify compliance and follow strict rules to ensure data was protected. However, in 2020, the European Court of Justice invalidated the Privacy Shield, citing concerns over U.S. government surveillance practices and insufficient safeguards. As a result, organizations now rely on other legal mechanisms for transatlantic data transfers.