International E-Discovery Compliance - Privacy First

The United States is, well, different. In America, weinvestigate hostile workplace claims between
play football, other countries they play soccer (whichemployees in Germany is starkly obvious, but outside
they call football). Soccer for much of the world iscounsel in litigation my find herself stymied as well. An
more than just a game. Fanaticism over the sport isattorney's first instinct will probably be to put into place
feverish, even hysterical. Here, professional soccera global litigation hold as is common place with regards
leagues struggle for audiences. While the rest of theto dealing with e-discovery law within the US. Yet, the
world thinks it a bit barbaric, Americans have stuckEuropean Union's Privacy Directives again broaden
steadfast with obscure measurements that the rest ofterms U.S. lawyers use commonly, in order to
the world long eschewed. We measure in feet andmaximize privacy protection. "Processing" of data
inches while they measure in centimeters and meters.includes any manipulation of data, including steps taken
We do things differently in the United States. There'sto protect it from deletion. The Directives also hold that
nothing wrong with that. But when it comes to the law,"processing" may only be performed for a permitted
it's important to know that the principle applies there aspurpose, and European Commission opinions have held
well. With regard to navigating the privacy legislation,that U.S. litigation is not a purpose for which processing
the landscape in the US is different than that of themay be performed.
rest of the world. Personal data may be protectedBlocking Statues, however, may make things worse
form disclosure but, if properly protected, it can be sentthan they seem Such laws can prevent the transfer
anywhere in the world.of any data that is to be used in foreign judicial
Those places to which our data can be sent, though,proceedings - a possibly devastating prohibition.
hardly reciprocate in the burgeoning arena of dataBlocking statutes in Switzerland and France carries
transfer. The subject is important to study andcriminal sanctions.
understand, especially for businesses that move largeIn light of such stringent privacy and data protection
amounts of data across borders. International dataprovisions, how is a company in which collaboration
transfer is mired by its incredible complexity: the issuedepends on almost daily international data transfers to
is so complex and convoluted that it has been knownfunction? One method, for data from the European
to perplex even the most astute federal judges. TheyUnion, is enrollment in the U.S. Department of
frequently default to U.S. procedural rules, placing theCommerce Safe Harbor Program. The program
non-U.S. company in the unenviable position of dividingrequires the U.S. company to file a Privacy Statement
whether to risk criminal sanctions here for violating asummarizing how it will protect personal data from the
U.S. judge's order to produce data outside the U.S., orE.U., and in which it agrees to adhere to seven
to chance a jail sentence for violation of privacy lawsprinciples of confidentiality and data protection. There
in his or her home country.are also some contractual agreements that can be put
Outside of the United States, international data transfertogether to deal with potential problems with regard to
laws are governed by regional, local privacy, and datadata transfer. Recently, many companies have
protection laws. Multinational businesses mustimplemented Binding Corporate Rules, in effect
understand the implications such laws have oncorporate codes of conduct for personal data
e-discovery. The first order of business isprotection. In Asia, Canada, South America and
understanding the distinctions between laws in theelsewhere, data transfers require compliance with local
United States and other nations. For example, whendata protection laws, or permission from or notification
we are discussing "personal data" in the US, we areto local data protection authorities. These are complex
referring to such things as financial and medical data.agreements, and counsel that has a relationship with
Within the European Union, such data as email iscounsel that is located in the host country is essential.
referred to as "personal data" as well. Each regionUnfortunately, not any of these are a panacea for a
within the EU has its own rules as to what can be tiedlawyer who regularly deals with international data
directly to a person.transfer issues. None of these solutions lets personal
In the US, data transfer is not so unwieldy. There is littledata be transferred onward. Should the data be
in the way of laws regulating the transfer of data overrequired for court proceedings, oftentimes, it is required
borders. Yet, the E.U. Privacy Directives and enablingthat the attorney obtain permission under the guise of
legislation hold that personal data (again, all email), maylocal data protection laws. Should counsel fail, however,
not be sent outside the European Economic Area (thethey can seek to obtain an Protective order, citing
E.U. member states plus Switzerland, Liechtenstein and"Hobson's Choice", though United States courts have
Norway to any country with lesser data protectiontended not to be very sympathetic to such a line of
than the E.U. There are only a few nations that meetargument. One solution, then, is to educate the
the EU's standards for data transfer: Canada,adversary to the issues and negotiate time extensions
Switzerland and Argentina. But such laws are notof other agreements as to the non-U.S. data, perhaps
endemic to the European Union. Countries like Chilein exchange for e-discovery concessions form the
and Venezuela have similarly draconian restrictions.adversary if the litigation is symmetrical. It is up to a
The effect of all this upon in-house counsel tryinggood attorney to educate a judge who may find these
coordinate collaboration across the enterprise, whichlaws unwieldy, convoluted, and unfamiliar. It is a must
often depends, say, on a U.S. engineer obtaining emailsotherwise a company will have to decide whether to
between his German colleagues, or a Humanviolate a judge's order or risk jail time and/or sanctions.
Resources manager in Kansas faced with a need to