Search
Contact
06.12.2022 | KPMG Law Insights, KPMG Law Insights

Schrems II – Update your contracts until 27.12.2022

Schrems II – What does that mean for you?

With the EU Commission’s implementing decision ((EU) 2021/914 COM), all standard contractual clauses for data transfers to third countries must be adapted. This has already been mandatory for new contracts since September 27, 2021, and existing contractual relationships must be adjusted by December 27, 2022.

What do you have to pay special attention to?

Probably the most extensive change is the obligation of the data submitter to conduct a so-called “Transfer Impact Assessment” (abbreviated to “TIA”). This includes a comprehensive risk assessment of third country transfers on a case-by-case basis. Legal peculiarities in the destination country must be taken into account and may entail special contractual, organizational or technical compensatory measures to protect personal data. This can lead to sometimes considerable additional costs for the data recipient and a change in the previous contract conditions.

Consequences of non-compliance

After the deadline of December 27, 2022, fines of up to 4% of annual sales or 20,000,000 euros may be levied if the previous models continue to be used. Claims for damages by those affected and warnings from competitors are further possible consequences. The transparency obligations under data protection law make it easy for third parties to determine whether the new requirements have been implemented, making repression not unlikely. Those who have not yet started updating their standard contractual clauses should do so immediately. The complexity of this process should not be underestimated, and failure to implement it is readily apparent and poses a high risk of liability.

We can assist you in adapting your standard contractual clauses. Feel free to contact us.

Explore #more

17.04.2025 | KPMG Law Insights

What the coalition agreement means for the financial sector

The coalition agreement between the CDU/CSU and SPD also has an impact on the financial sector. Here is an overview. Increasing the energy supply The…

17.04.2025 | KPMG Law Insights

AWG amendment provides for tougher penalties for sanction violations

Due to the ongoing Russian war of aggression against Ukraine, the EU wants to make it easier to prosecute violations of EU sanctions. The corresponding…

16.04.2025 | KPMG Law Insights

What the new digitization plans in the coalition agreement mean

The coalition agreement shows how the future government wants to shape Germany’s digital future. What do the plans mean for companies in concrete terms? Here…

14.04.2025 | KPMG Law Insights

How the new coalition wants to accelerate investment in infrastructure

The coalition agreement between the CDU/CSU and SPD marks a fundamental new beginning in German infrastructure policy. In view of a considerable investment backlog, the…

14.04.2025 | KPMG Law Insights

Coalition agreement 2025 and NKWS: Booster for environmental and planning law?

In the current coalition agreement, environmental and planning law is mentioned at various points throughout the coalition agreement, highlighting its great importance. However, the…

11.04.2025 | KPMG Law Insights

What’s next for foreign trade? The plans in the 2025 coalition agreement

Foreign trade and foreign trade have become particularly explosive in view of the new US tariffs. The CDU/CSU and SPD have agreed on the following…

11.04.2025 | KPMG Law Insights

Coalition agreement 2025: What the plans mean for the economy

The CDU/CSU and SPD have agreed on a coalition agreement. The central theme is the renewal of the promise of the social market economy. The…

10.04.2025 | KPMG Law Insights

Coalition agreement 2025: Housing construction on the move

In the coalition agreement, the CDU/CSU and SPD have agreed comprehensive reform plans in the area of housing construction. The aim is to speed…

10.04.2025 | KPMG Law Insights

Energy in the 2025 coalition agreement: what the future government is planning

In the coalition agreement, the CDU/CSU and SPD commit to the German and European climate targets and Germany’s climate neutrality by 2045. To this…

10.04.2025 | KPMG Law Insights

Focus on labor law – this is what the 2025 coalition agreement provides for

The CDU/CSU and SPD agreed on a coalition agreement on April 9, 2025. The overarching title of the paper is “Responsibility for Germany”. On 146…

Contact

Francois Heynike, LL.M. (Stellenbosch)

Partner
Head of Technology Law

THE SQUAIRE Am Flughafen
60549 Frankfurt am Main

Tel.: +49-69-951195770
fheynike@kpmg-law.com

Miriam Oussalah

Manager

Münzgasse 2
04107 Leipzig

Tel.: +49 341 22572-500
moussalah@kpmg-law.com

© 2024 KPMG Law Rechtsanwaltsgesellschaft mbH, associated with KPMG AG Wirtschaftsprüfungsgesellschaft, a public limited company under German law and a member of the global KPMG organisation of independent member firms affiliated with KPMG International Limited, a Private English Company Limited by Guarantee. All rights reserved. For more details on the structure of KPMG’s global organisation, please visit https://home.kpmg/governance.

 KPMG International does not provide services to clients. No member firm is authorised to bind or contract KPMG International or any other member firm to any third party, just as KPMG International is not authorised to bind or contract any other member firm.

Scroll