EU privacy regulators give EU, US three months to find new data pact

Consequences abound: A new data arrangement to replace the now defunct Safe Harbour agreement is urgently needed, says EU regulators.

LONDON: Companies could face action from European privacy regulators if the European Commission and United States do not come up with a new system enabling them to shuffle data across the Atlantic in three months, the regulators said. 

The highest EU court last week struck down a system known as Safe Harbour used by over 4,000 firms to transfer personal data to the United States, leaving companies without alternatives scrambling to put new legal measures in place to ensure everyday business could continue.