What Does the European Court of Justice’s Invalidation of the U.S.-EU Safe Harbor Framework Mean For U.S.-Based Multinational Employers?

n a landmark decision that will dramatically affect thousands of U.S. companies that transfer personal data from the European Union (“EU”) to the United States, the European Union Court of Justice (“ECJ”) yesterday invalidated the Safe Harbor Framework, which had permitted U.S. companies to comply with EU restrictions on the transfer of personal data outside the EU.