The European Commission updated its approved model contracts for use between data controllers and data processors for transfers of data processed in the EU or EEA to third countries outside the EU or EEA on or after 15 May 2010.

The changes were designed to better reflect the commercial realities of international data transfers, in particular for outsourcing arrangement where sub-processing is common.

In July 2010 the Article 29 Working Party (a body made up of data protection regulators from across the EU) published accompanying guidance setting out the regulators’ views on specific scenarios, such as where the data processor is located within the EEA or outside the EEA and what changes to arrangements already documented under the 2002 model contracts would necessitate the use of the new versions and scenarios where the new model contracts may not be used.

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