Insolvency and Data Protection

Abstract

This article examines the interrelationship between crossborder insolvency, insolvency in general and data protection. Prior to the outbreak of the coronavirus, the world had already been facing significant geopolitical and economic challenges. It examines Australia, the European Union, the United Kingdom (BREXIT), and the United States data protection and privacy laws. What has emerged from the recent adoption of data protection and privacy law, is a highly fragmented approach. States and in the case of the European Union have largely gone it alone. This poses significant challenges to entities that are experiencing financial stress and either going through insolvency (including cross border insolvency), restructuring or a merger or acquisition. Insolvency and legal practitioners will need to be aware of the varied approach taken by jurisdictions in defining personal data, the concept of consent and regulatory requirement(s) to appoint a controller or processor. This article argues that increasingly administrators and liquidators will need to consider the various data protection laws, when proceeding with cross-border insolvency. Cross-border insolvency, insolvency in general and data protection, Australia, the European Union, the United Kingdom (BREXIT), and the United States data protection and privacy laws