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Supreme Court Wrestles With Microsoft Data Privacy Fight (reuters.com)

Supreme Court justices on Tuesday wrestled with Microsoft's dispute with the U.S. Justice Department over whether prosecutors can force technology companies to hand over data stored overseas, with some signaling support for the government and others urging Congress to pass a law to resolve the issue. From a report: Chief Justice John Roberts and Justice Samuel Alito, both conservatives, hinted during an hour-long argument in the case at support for the Justice Department's stance that because Microsoft is based in the United States it was obligated to turn over data sought by prosecutors in a U.S. warrant. As the nine justices grappled with the technological complexities of email data storage, liberals Ruth Bader Ginsburg and Sonia Sotomayor questioned whether the court needed to act in the data privacy case in light of Congress now considering bipartisan legislation that would resolve the legal issue. A ruling is due by the end of June.

15 of 163 comments (clear)

  1. Will kill US companies operating globally ... by Anonymous Coward · · Score: 5, Insightful

    If the US basically tries to assert that their laws trump the national laws in which these US companies operate, then those US companies will pretty much lose business.

    The only logical conclusion would be that MS is now effectively an agent of the US government, and the use of their cloud stuff would be illegal in other countries or for certain kinds of data.

    AND, this would be reciprocal, as MS would have no choice but to hand over data on US citizens to those local governments.

    Don't give me the bullshit answer that it's OK for the US but not for anybody else, because we don't give a fuck.

    So good luck when Iran wants to subpoena US records from MS. This is basically setting up a scenario in which the US wants their laws to be extraterritorial, in which case everyone else gets to do it.

    Sorry, America, but you can't have it both ways.

    1. Re:Will kill US companies operating globally ... by green1 · · Score: 4, Insightful

      Sorry, America, but you can't have it both ways.

      Unfortunately for the entire world, America has always been able to do so in the past, so they see no reason not to continue doing so.

      American law applies worldwide, all other laws stop at the US border. The only real question is, how far will the rest of the world let that go before they start to push back? so far most of the rest of the world tends to just roll over and let the US have their way. I don't anticipate that to continue forever though.

    2. Re:Will kill US companies operating globally ... by arth1 · · Score: 4, Insightful

      A Microsoft employee, a U.S. citizen, sitting at a computer located in the U.S., can easily access the server containing the data in question. Therefore, the actual physical location of the server is irrelevant.

      No, that does not follow. A Microsoft employee, a U.S. citizen, sitting at a computer located in the U.S., can easily access a server in Germany and upload holocaust denial material. The physical location of the server is very relevant.

    3. Re:Will kill US companies operating globally ... by BlueStrat · · Score: 4, Funny

      Sorry, America, but you can't have it both ways.

      Unfortunately for the entire world, America has always been able to do so in the past, so they see no reason not to continue doing so.

      American law applies worldwide, all other laws stop at the US border. The only real question is, how far will the rest of the world let that go before they start to push back? so far most of the rest of the world tends to just roll over and let the US have their way. I don't anticipate that to continue forever though.

      What would be interesting is if the court orders MS-US to comply and the Irish government sends in police and seizes control of MS-IRL's severs, data-storage, and facilities.

      Or, less dramatically, the Irish government simply says they will arrest and prosecute anyone at MS-IRL who attempts to comply with the illegal US order and seek to extradite MS-US persons who issue such an illegal order and the judge(s) that created the illegal order to likewise prosecute them as well.

      This could get quite popcorn-worthy.

      Strat

      --
      Progressivism (aka US 'Liberalism'): Ideas so good they need a police/surveillance-state to enforce.
  2. Re:American Companies Abide by American Laws by AvitarX · · Score: 4, Interesting

    Could it not be argued that it is Microsoft Europe, Microsoft Europe is a European company, and it must adhere to European laws?

    Assuming there is indeed a European entity.

    --
    Wow, sent an e-mail as suggested when clicking on "use classic" banner, and got a fast response that addressed my msg
  3. US Companies in Europe Also Abide by EU laws by Roger+W+Moore · · Score: 5, Insightful

    Microsoft owns that data, thus it is Microsoft property, and since Microsoft is an american citizen, it must adhere to American laws.

    Yes, but any American citizen in Europe must obey European laws. If you happen to be a holocaust denier and get arrested in Germany explaining about the US constitution's protections on free speech will get you nowhere.US companies have the choice not to go to Europe but, if they do, they must follow the law there. European law says that Microsoft cannot hand the data over to foreign (US) authorities. There is no law that the US Congress can pass that can relieve them of this responsibility and, if the US forces MS to hand over the data, it will make it close to impossible for US companies to do business in Europe since they will be unable to follow the law and so be liable for financial and possibly criminal penalties.

    1. Re:US Companies in Europe Also Abide by EU laws by Kiuas · · Score: 3, Interesting

      European law says that Microsoft cannot hand the data over to foreign (US) authorities.

      The law does not say that, actually, nor is the argument MS is making; MS is not saying that handing over the data would be illegal for them to do on the EU side, but that as the search warrant being used is a domestic one, said warrant does not apply to data outside the US. The law in Europe says that Microsoft or any other corporation cannot process data concerning EU citizens outside the Union without following European law. This means 2 things:

      1) If the data in question is not of European citizens but American citizens, in so far as I understand, there's nothing that prevents Microsoft from handing over the data. Although even if this is the case this doesn't mean they have to do so. But my current understanding is that nothing in the Data Protection Directive (which is about to be replaced by General Data Protection Regulation coming into effect in May this year) prevents handing over the data of non-EU citizens.

      2) The data is not inaccessible to US authorities if you follow the correct procedure. Contact the authorities in the country that the data is located in and present the evidence for your case and if it is solid said authorities can force MS to hand over the data and then hand it over to the US.

      The laws are meant to protect people's privacy, which is a good thing. However, this does not mean evidence for a case will always be inaccessible, or that any transfer of data from EU to the US is in all cases forbidden. it just means you need to co-operate with the local authorities to get it.

      Even if the US supreme courts eventually rules against MS, that doesn't negate either of the 2 points above. Meaning, even if the supreme court decides that domestic US search warrants apply to data abroad, the US authorities still cannot compel corporations to hand over data of EU citizens without co-operation from local authorities.

      --
      "It is the business of the future to be dangerous" -Alfred North Whitehead
  4. Re:American Companies Abide by American Laws by Megol · · Score: 3, Insightful

    Imagine company A being created in North Korea. Imagine company B being a company owned and controlled by A incorporated in the US.
    If company A is ordered to do something that is legal in NK should then company B comply even though it is illegal in the US?

    Of course not, that is ridiculous.

  5. Wrong sides? by Nemyst · · Score: 3, Interesting

    Shouldn't the so-called "conservative" judges be in favor of personal privacy, against governmental overreach, and pro-business? The definition of conservative seems to get twisted more and more every day.

  6. Re:American Companies Abide by American Laws by arth1 · · Score: 5, Insightful

    Microsoft owns that data, thus it is Microsoft property, and since Microsoft is an american citizen, it must adhere to American laws.

    It's not complicated.

    No it is not complicated. American law does not apply outside American territory, period.
    If an American company owned elephants in India, and Indian law said that exports of elephants was illegal, should an American judge be able to decide that they must ship their elephants to the US? Does not Indian law apply on Indian soil because it's an American company?

  7. Re:American Companies Abide by American Laws by whoever57 · · Score: 3, Insightful

    The counterargument is that MS USA completely controls MS EU

    Until MS moves its headquarters to some tax haven that has strong laws about international interference in data. There are probably plenty of tax havens that would craft such a law in order to induce MS to move their HQ to that jurisdiction.

    Whatever the outcome, the Justice Department are going to make doing business more difficult in the USA. This was and always will be an own goal by the Justice Department.

    --
    The real "Libtards" are the Libertarians!
  8. Re:Unintended Consequences by Solandri · · Score: 5, Interesting

    Yeah, this case is basically the U.S. version of the German cases requiring search engines to strike Nazi results worldwide, and French cases requiring websites abroad to block content deemed illegal in France.

    It's one of those situations where you only see the advantages if you consider only yourself (your country). But the disadvantages become obvious when you consider the world as a whole. e.g. "What if you could have sex with anyone who wanted?" Most people think that would be fantastic. "What if anyone could have sex with you?" Suddenly it doesn't seem like such a great idea.

    The only decision which makes sense if you want to preserve the integrity of national borders is that U.S. law stops at the U.S. border, German law stops at the German border, French law stops at France's border. If the U.S. wants to get its hands on information Microsoft is storing in Ireland, they should file a request with Irish authorities (similar to an extradition request). Then Ireland can decide whether or not it should honor that request, and legally force Microsoft to turn the info over.

  9. Re:American Companies Abide by American Laws by Anonymous Coward · · Score: 3, Informative

    Microsoft owns that data, thus it is Microsoft property

    NO, Under EU law Microsoft DOES NOT own the data, a user retains all rights to his data even when housed on a companies server and said company must abide by those laws in handling of the data. The Data is governed within the borders of the EU under EU laws.

    It's not complicated.

    It is extremely complicated as you proved by getting almost everything wrong in your 2 line comment and the fact that even after several years the US supreme court can't work out the right decision.

  10. Re:American Companies Abide by American Laws by Teun · · Score: 4, Informative

    There are lawyers specialising in this game, it's called Conflict of Law and it pays very well.
    Rest assured MS has consulted these specialists years ago.

    --
    "The likes of Facebook and WhatsApp are free to those whose privacy is of zero value."
  11. Re:American Companies Abide by American Laws by BitterOak · · Score: 4, Informative

    No it is not complicated. American law does not apply outside American territory, period.

    That's simply not true. There is a presumption of non-extraterritoriality in U.S. law which means that if a law doesn't state otherwise, it is presumed to apply only on U.S. soil (or U.S. military bases, etc.), but laws can explicitly state that they apply outside the U.S. and U.S. courts have found them enforceable (usually when a citizen returns to the U.S. after a foreign trip.) Notable examples are the Foreign Corrupt Practices Act which make it a crime to bribe a foreign government. Another example is the Child Protect Act which makes it illegal for American citizens to hire child prostitutes even in countries where the practice is legal (eg. in the Netherlands, 16 years olds can legally work as prostitutes, but if a U.S. citizen hires one while visiting Amsterdam, they can be charged when they return to the U.S.). Another example are violations of certain travel restrictions, such as travel to Cuba, etc. Now, whether or not the search warrant in question is presumed to be non-extraterritorial or not is up to the Supreme Court to decide, but your blanket statement is clearly untrue.

    --
    If I can be modded down for being a troll, can I be modded up for being an orc, or a balrog?