© 2025 TrustArc Inc. Proprietary and Confidential Information.
Mastering Privacy Contracting:
Key Clauses, Risks &
Negotiation Strategies
2
Legal Disclaimer
The information provided during this webinar does
not, and is not intended to, constitute legal advice.
Instead, all information, content, and materials presented during
this webinar are for general informational purposes only.
3
Speakers
Val Ilchenko
General Counsel & Chief Privacy Officer
TrustArc
Dave Coogan
Associate
Paul Hastings
Kathryn Helin
Lead Counsel, Privacy
Snyk
Cathleen Doyel
Deputy General Counsel
TrustArc
Agenda
1. What is Privacy Contracting?
2. Where to Find Privacy Terms
3. Dynamics: Leverage & Relationships
4. Common Issues and Negotiation Tactics
5
What is Privacy Contracting
● Typically addresses the handing, processing, or storage of
personal (and/or adjacent) data.
● Is frequently required under the GDPR, CCPA, and other
laws under multiple common arrangements (e.g., service
provider/data processor, sale/share, etc.)
● Can be conflated with information security provisions and
may even include them (e.g., technical measures under
Standard Contractual Clauses).
● Isn’t always negotiable (due to dynamics, structure, legal
requirements, etc.)
● Is sometimes an acceptable way to transfer data across
borders
6
Where to Find Privacy Terms
● Company Docs (Non-Negotiable)
○ Privacy Policy
○ Sub-processors and Affiliates Disclosure
○ Technical and Organizational Measures (TOMS)
○ Cookie Policy
● Contracts
○ Terms of Service/End-User License Agreement
○ Data Processing Agreement (DPA)
○ Security Addendum
○ Business Associate Addendum (if applicable)
7
Dynamics: Context, Leverage & Relationships
●
● Consider B2B vs. B2C
● Deal size
● Size, maturity, and industry of the negotiating parties
● What is reasonable?
● What can be operationalized?
● What is the data? Consider a sliding scale of risk.
8
Top Ten Most Negotiated Provisions and Considerations
Scoping
● Considerations:
○ Types of Information
■ Customer Data
■ Personal Information
○ Volume of Information
○ Relationship of the Parties
○ Type of Processing
1
9
Top Ten Most Negotiated Provisions and Considerations
Limitations on Use
● GDPR 28(3) - Processing by a processor shall be
governed by a contract or other legal act under Union or
Member State law, that is binding on the processor with
regard to the controller and that sets out the subject-matter
and duration of the processing, the nature and purpose of
the processing, the type of personal data and categories of
data subjects and the obligations and rights of the
controller
● Considerations:
○ Broad vs. limited use cases
○ Future potential use cases
○ “What could go wrong” with being too specific
2
10
Top Ten Most Negotiated Provisions and Considerations
New Subprocessors
● Article 28(2) - “The processor shall not engage another
processor without prior specific or general written
authorisation of the controller”
● Considerations:
○ General authorization
○ Specific authorization
○ Process for objecting
3
11
Top Ten Most Negotiated Provisions and Considerations
Security Incident Notification
● Article 33(2) of the GDPR - “The processor shall notify the
controller without undue delay after becoming aware of a
personal data breach”
● Considerations
○ Specific timing requirements (e.g., no later than)
○ Definition of security incident
4
12
Top Ten Most Negotiated Provisions and Considerations
Security Incident Remediation
● Considerations:
○ Describe the remediation measures
○ Obtain approval for remediation measures
○ Vendor point of contact for updates
5
13
Top Ten Most Negotiated Provisions and Considerations
Audit Rights
● Article 28(3)(h) - “allow for and contribute to audits,
including inspections, conducted by the controller or
another auditor mandated by the controller”
● Considerations:
○ Reputable third-party audit for SOC 2 Type 2 or ISO
27001
○ Which party pays for audit or inspection
○ Timing requirement
○ Non-disclosure agreement requirement
6
14
Top Ten Most Negotiated Provisions and Considerations
Indemnity (and its cousin…Limitation of Liability)
● Article 28(4) - “Where that other processor fails to fulfil its
data protection obligations, the initial processor shall
remain fully liable to the controller for the performance of
that other processor’s obligations”
○ The provision is not included in Article 28(3) which
lists that the “contract or other legal act shall
stipulate”
● Considerations
○ Impact on indemnity provision in services agreement
7
15
Top Ten Most Negotiated Provisions and Considerations
Standard Contractual Clauses
● Considerations:
○ Optional clauses
○ Annexes I, II and III
○ Adequacy decision(s)
8
16
Top Ten Most Negotiated Provisions and Considerations
Data Subject Access Requests
● Article 28(3)(e) - “taking into account the nature of the
processing, assists the controller by appropriate technical
and organisational measures, insofar as this is possible,
for the fulfilment of the controller’s obligation to respond to
requests for exercising the data subject’s rights”
● Considerations:
○ Timing
○ What level of effort to assist?
9
17
Top Ten Most Negotiated Provisions and Considerations
Technical and Organizational Measures (TOMS)
● Article 28 - “Where processing is to be carried out on behalf
of a controller, the controller shall use only processors
providing sufficient guarantees to implement appropriate
technical and organisational measures...”
● Article 32 - “the controller and the processor shall implement
appropriate technical and organisational measures to
ensure a level of security appropriate to the risk”
● Considerations:
○ Whose TOMs will be used?
○ How much is actually negotiable (e.g., a measure is a
measure)
10
18
Thank You!

TrustArc Webinar - Mastering Privacy Contracting: Key Clauses, Risks & Negotiation Strategies

  • 1.
    © 2025 TrustArcInc. Proprietary and Confidential Information. Mastering Privacy Contracting: Key Clauses, Risks & Negotiation Strategies
  • 2.
    2 Legal Disclaimer The informationprovided during this webinar does not, and is not intended to, constitute legal advice. Instead, all information, content, and materials presented during this webinar are for general informational purposes only.
  • 3.
    3 Speakers Val Ilchenko General Counsel& Chief Privacy Officer TrustArc Dave Coogan Associate Paul Hastings Kathryn Helin Lead Counsel, Privacy Snyk Cathleen Doyel Deputy General Counsel TrustArc
  • 4.
    Agenda 1. What isPrivacy Contracting? 2. Where to Find Privacy Terms 3. Dynamics: Leverage & Relationships 4. Common Issues and Negotiation Tactics
  • 5.
    5 What is PrivacyContracting ● Typically addresses the handing, processing, or storage of personal (and/or adjacent) data. ● Is frequently required under the GDPR, CCPA, and other laws under multiple common arrangements (e.g., service provider/data processor, sale/share, etc.) ● Can be conflated with information security provisions and may even include them (e.g., technical measures under Standard Contractual Clauses). ● Isn’t always negotiable (due to dynamics, structure, legal requirements, etc.) ● Is sometimes an acceptable way to transfer data across borders
  • 6.
    6 Where to FindPrivacy Terms ● Company Docs (Non-Negotiable) ○ Privacy Policy ○ Sub-processors and Affiliates Disclosure ○ Technical and Organizational Measures (TOMS) ○ Cookie Policy ● Contracts ○ Terms of Service/End-User License Agreement ○ Data Processing Agreement (DPA) ○ Security Addendum ○ Business Associate Addendum (if applicable)
  • 7.
    7 Dynamics: Context, Leverage& Relationships ● ● Consider B2B vs. B2C ● Deal size ● Size, maturity, and industry of the negotiating parties ● What is reasonable? ● What can be operationalized? ● What is the data? Consider a sliding scale of risk.
  • 8.
    8 Top Ten MostNegotiated Provisions and Considerations Scoping ● Considerations: ○ Types of Information ■ Customer Data ■ Personal Information ○ Volume of Information ○ Relationship of the Parties ○ Type of Processing 1
  • 9.
    9 Top Ten MostNegotiated Provisions and Considerations Limitations on Use ● GDPR 28(3) - Processing by a processor shall be governed by a contract or other legal act under Union or Member State law, that is binding on the processor with regard to the controller and that sets out the subject-matter and duration of the processing, the nature and purpose of the processing, the type of personal data and categories of data subjects and the obligations and rights of the controller ● Considerations: ○ Broad vs. limited use cases ○ Future potential use cases ○ “What could go wrong” with being too specific 2
  • 10.
    10 Top Ten MostNegotiated Provisions and Considerations New Subprocessors ● Article 28(2) - “The processor shall not engage another processor without prior specific or general written authorisation of the controller” ● Considerations: ○ General authorization ○ Specific authorization ○ Process for objecting 3
  • 11.
    11 Top Ten MostNegotiated Provisions and Considerations Security Incident Notification ● Article 33(2) of the GDPR - “The processor shall notify the controller without undue delay after becoming aware of a personal data breach” ● Considerations ○ Specific timing requirements (e.g., no later than) ○ Definition of security incident 4
  • 12.
    12 Top Ten MostNegotiated Provisions and Considerations Security Incident Remediation ● Considerations: ○ Describe the remediation measures ○ Obtain approval for remediation measures ○ Vendor point of contact for updates 5
  • 13.
    13 Top Ten MostNegotiated Provisions and Considerations Audit Rights ● Article 28(3)(h) - “allow for and contribute to audits, including inspections, conducted by the controller or another auditor mandated by the controller” ● Considerations: ○ Reputable third-party audit for SOC 2 Type 2 or ISO 27001 ○ Which party pays for audit or inspection ○ Timing requirement ○ Non-disclosure agreement requirement 6
  • 14.
    14 Top Ten MostNegotiated Provisions and Considerations Indemnity (and its cousin…Limitation of Liability) ● Article 28(4) - “Where that other processor fails to fulfil its data protection obligations, the initial processor shall remain fully liable to the controller for the performance of that other processor’s obligations” ○ The provision is not included in Article 28(3) which lists that the “contract or other legal act shall stipulate” ● Considerations ○ Impact on indemnity provision in services agreement 7
  • 15.
    15 Top Ten MostNegotiated Provisions and Considerations Standard Contractual Clauses ● Considerations: ○ Optional clauses ○ Annexes I, II and III ○ Adequacy decision(s) 8
  • 16.
    16 Top Ten MostNegotiated Provisions and Considerations Data Subject Access Requests ● Article 28(3)(e) - “taking into account the nature of the processing, assists the controller by appropriate technical and organisational measures, insofar as this is possible, for the fulfilment of the controller’s obligation to respond to requests for exercising the data subject’s rights” ● Considerations: ○ Timing ○ What level of effort to assist? 9
  • 17.
    17 Top Ten MostNegotiated Provisions and Considerations Technical and Organizational Measures (TOMS) ● Article 28 - “Where processing is to be carried out on behalf of a controller, the controller shall use only processors providing sufficient guarantees to implement appropriate technical and organisational measures...” ● Article 32 - “the controller and the processor shall implement appropriate technical and organisational measures to ensure a level of security appropriate to the risk” ● Considerations: ○ Whose TOMs will be used? ○ How much is actually negotiable (e.g., a measure is a measure) 10
  • 18.