‘Russians’ data on Russian servers’ bill makes another big step towards approval

December 17, 2014:

“We would like to keep you informed on progress of the legislative initiative changing the Federal Law № 242-FZ introducing changes to the Federal Law “On personal data” and to the Federal Law “On information, information technologies and protection of information” (hereinafter – the “Data Localization Law”) that was adopted earlier on July 21, 2014. The new bill proposes anticipation of the term of coming into force of the Data Localization Law.

As we mentioned in our previous legal updates the Data Localization Law according to its current wording shall come into force as of the 1st of September 2016 and introduces obligation of operators to store personal data of Russian nationals in the databases located in Russia.

The introduced obligation will practically mean that the companies operating in Russia and dealing with individuals’ data (for example, retailers, social networks, those operating in international transportation, banking and other similar spheres) will be forced to place their servers within Russia if they plan to continue making business in the market.

The new bill proposes to move the Law enactment date to the 1st of September 2015.

According to the explanatory note attached to the draft bill, the proposed amendment aims at more operative and effective protection of rights of Russian nationals to safety of their personal data and ensuring privacy of correspondence in information-telecommunication networks.

On December 17th 2014 the bill has passed the third reading with the State Duma which means that the Lower Chamber of the Russian Parliament has finally adopted the draft law. It should further be adopted by the Council of the Federation (Higher Chamber). Afterwards the draft law should be finally signed by Mr. Putin and officially published.

We are monitoring the status of the bill and will keep you informed on progress.”

[ORIGINALLY PUBLISHED AS ALRUD’S NEWSLETTER – REPRODUCED WITH PERMISSION BY ALRUD Law Firm, 17 Skakovaya street, Building 2, 6th Floor, 125040 Moscow, Russia, http://www.alrud.com]

Related Document: Russian data on Russian servers from January 1st, 2015?