EU court: sharing passenger data illegal

Author
Paul Meller
PC World Canada
May 30, 2006

The European Court has ruled the EU is illegally sharing passenger
information with the U.S. government.

A European Union decision taken two years ago to share personal information
about passengers flying from the E.U. to the U.S. with American authorities
was illegal, the European Court of Justice ruled Tuesday.

The decision to share passenger name records, which include details such as
citizens' names, addresses and travel schedules, came in the wake of the
Sept. 11, 2001 attacks and was intended to help the U.S. pursue its
so-called "war on terrorism".

The European Parliament opposed the agreement, which was brokered by the
E.U.'s executive body, the European Commission and approved by the 25
national governments of the E.U. member states.

The Parliament appealed to the Court of Justice in Luxembourg, claiming
that the Commission was wrong to conclude that European citizens' personal
data would be adequately protected by authorities in the U.S. and that the
national governments were wrong to approve the agreement to transfer the
data, signed with the U.S. government in May 2004.

The Court agreed with both claims by the Parliament and overruled both the
Commission and the Council of national governments.

"Neither the Commission decision nor the Council decision are founded on an
appropriate legal basis," the Court said in a statement.

The overturning of the decisions marks a victory for civil liberties
activists, but it leaves travel companies, especially the airlines that must
collect the passenger data and hand it over to U.S. authorities, in a legal
quandary.

Under U.S. laws passed after Sept. 11, 2001, airlines can be fined for
failing to hand over the information.

The Court gave the Commission and the Council until Sept. 30 to find
another solution. The agreements signed two years ago will remain in place
for another four months, it said, "for reasons of legal certainty", while
European legislators seek an alternative.

Some national governments including the British government are considering
striking a bilateral agreement with the U.S. in order to continue sharing
passengers' details with the authorities there.

"We are working with the Commission and we will make the best efforts to
find an agreed interim approach to data transfers which fully respect the
ruling," said a U.S. official, who added that the U.S. government remains
committed to the principle of privacy. The aim during the four-month
transition period is to avoid disruption to transatlantic traffic and to
maintain a high level of security, he said.

The Commission is examining "the full implications" of the court's
decision, said Johannes Laitenberger, spokesman for the Commission. It
remains committed to the fight against terrorism, and also the respect of
people's privacy, he said.

The court did not overrule the substance of the agreement struck in 2004,
but focused on the legal basis for those decisions, he said.

The Commission is considering changing the legal basis of the agreements so
that the European Parliament can be involved in the decision, he said.

Part of the reason the Parliament challenged the passenger data decision in
court is that it was excluded from the decision-making process.