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Framework

Cross-Border Data Transfer Assessment

Documenting compliance with Section 16 requirements for international data flows

Section 16Rule 14

Personal data can flow across borders, but not without guardrails. Section 16 permits transfers to countries not restricted by the Central Government. Before you transfer, you must assess the destination and document your compliance basis.

The Negative List Approach

DPDPA takes a negative list approach to cross-border transfers. Data can flow to any country unless the Central Government has specifically restricted transfers to that country. This is different from GDPR adequacy decisions. Until restrictions are published, transfers are generally permitted.

Transfer Assessment Process

Even without a restricted list, prudent practice requires assessment before transfer. Where is the data going? What protections exist in that jurisdiction? Can you enforce contractual safeguards? This assessment demonstrates due diligence.

Key Points
  • Destination country identification
  • Legal framework in destination
  • Contractual protections in place
  • Enforcement mechanisms available
  • Risk assessment documentation

Contractual Safeguards

Regardless of destination country status, your contracts with overseas recipients should include DPDPA-aligned protections. Purpose limitations. Security requirements. Breach notification. Sub-processing controls. These contractual safeguards travel with the data.

Monitoring for Changes

The Central Government may restrict transfers to specific countries at any time. You must monitor for such announcements and be prepared to halt or reroute data flows if restrictions are imposed.

Essential Clauses

Transfer Inventory

Section 16

List of all cross-border transfers and destinations

Destination Assessment

Section 16

Analysis of each destination legal framework

Contractual Protections

Section 16

DPDPA-aligned clauses in transfer agreements

Restriction Monitoring

Section 16

Process for tracking government restrictions

Contingency Planning

Section 16

Response plan if destination becomes restricted

Data Principal Notification

Section 5

How transfers are disclosed in privacy notices

Implementation Steps

1

Inventory all data flows crossing Indian borders

2

Identify destination countries for each transfer

3

Research legal frameworks in each destination

4

Review existing contracts for DPDPA alignment

5

Update contracts to include required protections

6

Document assessment rationale for each transfer

7

Establish monitoring for government restriction announcements

8

Develop contingency plans for potential restrictions

Frequently Asked Questions

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