E-commerce set to benefit from Commission recognition for Canadian data protection laws
The European Commission has said that a Canadian law governing electronic commerce and the transmission of personal data provides 'adequate protection' for information passing between Canada and the 15 Member States, cutting out the need for additional safeguards under the EU Directive on data protection. The Commission has said it recognises the adequacy of Canada's Personal Information Protection and Electronic Documents Act, which will allow personal data to flow freely from the EU to recipients in Canada under the terms of the Canadian Act. The decision fulfils an undertaking made by the two countries in 1999 in their joint statement on 'Electronic commerce in the global information society.' Under the terms of the statement, both Canada and the EU agreed to work together to build confidence in cross-border electronic commerce and to ensure the free flow of personal data on the basis of high data protection standards. Internal Market Commissioner, Frits Bolkestein, said: 'This decision will simplify procedures for the transfer of personal data between Europe and Canada and ensure that EU businesses know where they stand legally, whilst making certain that such data enjoys adequate protection.'