DOJ Finalizes Rule Regarding Sensitive Data Transfers

What You Need to Know:

On January 8, the Department of Justice published its final Rule implementing Executive Order 14117, “Preventing Access to Americans’ Bulk Sensitive Personal Data and United States Government-Related Data by Countries of Concern.”
Once the Rule is in effect, it will have a significant impact on all US persons engaged in the transfer of sensitive US personal data to certain “countries of concern” (e.g., China, Cuba, Iran, North Korea, Russia, Venezuela).
The Rule identifies certain sensitive data transactions that are prohibited (such as those involving data brokerage activities), but also creates restrictions for certain employment, vendor, and investment agreements involving the transfer of sensitive US personal data to “countries of concern” or “covered persons”.

On January 8, the Department of Justice (DOJ) published its final Rule implementing Executive Order 14117 (EO), “Preventing Access to Americans’ Bulk Sensitive Personal Data and United States Government-Related Data by Countries of Concern” (the Rule). The Rule establishes a new regulatory regime to be administered and enforced by the Justice Department’s National Security Division. Once the Rule is in effect, it will have a significant impact on all US persons engaged in the transfer of sensitive US personal data to “countries of concern” (i.e., China (including Hong Kong and Macau), Cuba, Iran, North Korea, Russia and Venezuela).

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