Privacy group launches legal challenge against US data deal

Data centreAn Irish privacy group has issued a legal challenge against an EU deal which allows Euro data to end up in US hands.

The EU-US Privacy Shield commercial data transfer pact has been running for  two months but it was hammered out after the European Union’s highest court struck down the previous such framework over concerns about intrusive US surveillance.

The framework enables businesses moving personal data across the Atlantic a way of avoiding falling foul of tough EU data transferral rules.

Digital Rights Ireland has challenged the adoption of the “Privacy Shield” in front of the second-highest EU court, arguing it lacks adequate privacy protections.

It will be a year or more before the court rules on the case and it could still be declared inadmissible if the court finds the Privacy Shield is not of direct concern to Digital Rights Ireland.

More than 500 companies have signed up to the Privacy Shield so far, including usual suspects Google, Facebook and Microsoft.