This post originally appeared on the European Law Institute’s webpage principlesforadataeconomy.org (Apr. 8, 2022).

In their session on data transactions on 8 April 2022, the UNCITRAL Working Group on Electronic Commerce discussed main concepts developed by the ALI-ELI Principles for a Data Economy as a starting point for their future framework on data transactions.

As Observer representing the ELI, Christiane Wendehorst (ELI Project Reporter) was invited to the 63rd session of the UNCITRAL Working Group IV (on Electronic Commerce), which took place in New York from 4-8 April 2022. The session was dedicated to a number of interconnected topics, such as the use of artificial intelligence and automated contracts and the use and cross-border recognition of identity management and trust services. The session on 8 April 2022 put an emphasis on data transactions, as cross-border data flows are particularly relevant for international trade and global development.

In their preparatory note on data transactions, which was circulated during the session on 8 April 2022, the UNCITRAL Secretariat took on board a number of ideas developed by the ALI-ELI Principles. Christiane Wendehorst presented to the Working Group the main concepts of the ALI-ELI Principles, in particular regarding types of data transactions and corresponding default terms as well as protection of third party rights in data supply chains.

Furthermore, UNCITRAL mentioned the ALI-ELI Principles on Data Rights as a source of inspiration for future legislative work, and took on board three central points from the Principles: (1) Data Rights with regard to Co-Generated Data, i.e. rights based on the idea that the person exercising the right had a share in generating the data (Part III Chapter B of the ALI-ELI Principles). (2) Data Rights for the Public Interest, i.e. rights that are not based on the share a party had in the generation of data, but rather on public interest considerations (Part III Chapter C of the ALI-ELI Principles). (3) Leapfrogging, i.e. the right of a data provider to require a downstream recipient of data to comply with terms of use, despite a direct contractual relationship between these two parties (Part IV Chapter B of the ALI-ELI Principles).

Materials on the 63rd session of Working Group IV can be accessed on the UNCITRAL website. Previous publications by UNCITRAL on data transactions can be accessed below:

• Legal issues related to the digital economy – data transactions (A/CN.9/1012/Add.2)
• Revised draft legal taxonomy – revised section on data transactions (A/CN.9/1064/Add.2)

The project team is currently preparing the latest version of the Principles (ELI Final Council Draft) for publication and disseminating the contents of the project. In particular, the project team is aiming to inform businesses about the value of data and what to consider when sharing data with other businesses. For further information on our current dissemination activities, follow this link.