The Swiss-U.S. Data Privacy Framework facilitates secure data transfers between Switzerland and the U.S., ensuring that privacy rights are protected. It replaces previous frameworks, such as Safe Harbor and Privacy Shield, which were invalidated due to concerns regarding U.S. surveillance laws and insufficient data protection.
Key principles of the framework include self-certification by U.S. organizations, strict data handling requirements, accountability for onward transfers, mechanisms for recourse, enforcement, and liability. Organizations must publicly commit to the framework, be subject to regulatory oversight, and ensure transparency in privacy policies. They must handle data with notice, choice, data integrity, security measures, and ensure third parties uphold the same protection standards. Recourse mechanisms include independent dispute resolution and compliance verification, with liability for non-compliance enforced by U.S. authorities.
For Swiss firms, the framework offers a compliant, reliable mechanism for data transfers, essential for international operations. It reduces legal risks and helps maintain business continuity by aligning with Swiss and EU data protection standards. However, we recommend continuing to use Standard Contractual Clauses (SCCs) as an additional safeguard, as they provide flexibility, legal protection, and help mitigate risks, particularly in cases where the framework may not fully address specific data protection needs.
Read the entire article authored by Markus Naef and Leonid G. Shmatenko
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