 Please subscribe to this YouTube channel mentor talk can do press bell button for notifications. The European Court of Justice being Europe's highest court has struck a massive jolt upon the companies that count on transferring data between Europe and the United States. The court has declared the privacy shield data sharing agreement as invalid as it did not adequately protect the data of European citizens from the United States surveillance activities in the same way they are protected in the European Union. The ruling came just a day or two back in a case filed by an activist lawyer Max Kirams. The data sharing agreements have far reaching bearing on the social media companies, banks, law firms and many other types of companies. In fact, a privacy shield was intended to replace the previous safe harbor agreement as many of you would already know. The safe harbor agreement was to be replaced by this privacy shield which was that agreement safe harbor was also judged as null and invalid by the court way back in 2015. This new ruling will unsettle the structure of most companies because they rely a lot upon transfer of data between the US and the European Union. Due to this ruling which goes to protect the EU citizens, the European Commission has come under a lot of cloud and criticism. Many experts feel that the European Court of Justice had to step in for the sloppiness of the European Commission or perhaps their negligence in taking care of the private data of its subjects. It is believed that the European Commission ignored the legal opinion of data protection experts and civil society who urged against the privacy shield arrangement adoption. The European Commission is yet to respond to the court's decision. Let's see what happens when they respond.