Bonum Certa Men Certa

EPO and Microsoft Collude to Break the Law -- Part IV: The US CLOUD Act Passes Without Public Debate

Previous parts:



Cloudwashing law
Congress quietly slips cloud-spying powers into page 2,201 of emergency spending bill



Summary: "In 2013, the DoJ demanded that Microsoft grant it access to emails related to a narcotics case from a Hotmail account hosted in Ireland."

When Edward Snowden blew the whistle on the National Security Agency's PRISM program in 2013 and revealed what many had suspected – namely that US intelligence agencies were collecting vast amounts of data not only from US citizens, but from all around the world – public opinion received a badly needed wake-up call about the dangers of mass surveillance.



In the wake of these revelations, many countries became increasingly concerned about who could access their national information and the potential implications of cross-border data transfers. These concerns provided a catalyst for discussions focussing on the topic of what has come to be called "digital sovereignty" and/or "data sovereignty".

Another incident that put these topics into the spotlight was a dispute between Microsoft and the US Department of Justice (DoJ) which started in 2013.

"Despite having a major impact on how tech companies can be obliged to share user data with US and foreign governments, the CLOUD Act was passed by Congress without any public debate on 21 March 2018 and entered into force two days later."In 2013, the DoJ demanded that Microsoft grant it access to emails related to a narcotics case from a Hotmail account hosted in Ireland. Microsoft refused, arguing that a warrant issued under Section 2703 of the Stored Communications Act could not compel US companies to produce data stored in servers outside the US and that compliance with the requested transfer would result in the company breaking EU data protection law.

The initial ruling was in favour of the DoJ, with the presiding judge concluding that American companies “must turn over private information when served with a valid search warrant from US law enforcement agencies". Microsoft appealed to the US Second Circuit Court of Appeals which ruled in its favour in 2016 and invalidated the warrant. In response, the DoJ appealed to the US Supreme Court.

In March 2018, while the case was pending before the US Supreme Court, the US Congress passed the Clarifying Lawful Overseas Use of Data (CLOUD) Act which amended and extended the ECPA (Electronic Communications Privacy Act) and the SCA (Stored Communications Act).

"This highly controversial measure was buried on page 2,201 of a voluminous 2,232-page spending bill - the Consolidated Appropriations Act of 2018 - which was tabled and adopted as an emergency measure to prevent an impending government shutdown."Following agreement from both the DoJ and Microsoft, the US Supreme Court determined that the case had been rendered moot by the passage of the CLOUD Act and the issuing of a new warrant under the terms of the new legislation.

Despite having a major impact on how tech companies can be obliged to share user data with US and foreign governments, the CLOUD Act was passed by Congress without any public debate on 21 March 2018 and entered into force two days later.

This highly controversial measure was buried on page 2,201 of a voluminous 2,232-page spending bill - the Consolidated Appropriations Act of 2018 - which was tabled and adopted as an emergency measure to prevent an impending government shutdown.

Senators Rand Paul from Kentucky and Ron Wyden from Oregon raised procedural objections to the manner in which the CLOUD Act had been sneaked in as an appendage to the spending bill but ultimately they failed to block or stall the bill's adoption.

Ron Wyden on CLOUD Act
Ron Wyden complained about the CLOUD Act but failed to block its adoption



Privacy advocates at groups like the American Civil Liberties Union, the Center for Democracy and Technology and the Electronic Frontier Foundation criticized the legislation as “a new backdoor around the Fourth Amendment" which permitted the circumvention of constitutional protections against unreasonable searches by law enforcement agencies. They also argued that it could lead the US to send user data to police in countries known for abusing the human rights of their citizens.

"Privacy advocates at groups like the American Civil Liberties Union, the Center for Democracy and Technology and the Electronic Frontier Foundation criticized the legislation as “a new backdoor around the Fourth Amendment" which permitted the circumvention of constitutional protections against unreasonable searches by law enforcement agencies."On the other hand, US tech giants such as Microsoft, Google, Facebook, Apple, and Oath, applauded the legislation and sent a joint letter to the US Senate proclaiming that the CLOUD Act represented “notable progress to protect consumers’ rights".

The main effect of the CLOUD Act was to strengthen the powers of US law enforcement and intelligence agencies to access data held by US companies on foreign soil.

In a nutshell, the CLOUD Act amounted to a consolidation and expansion of the arrangements established by the earlier 2001 PATRIOT Act which had significantly extended the government's powers of access to data held by US-based global providers, irrespective of the storage location of that data.

This might help to explain why those pushing for the adoption of the measure preferred to avoid public debate by sneaking it in as a hidden appendage to an emergency spending bill.

On the other side of the Atlantic, the passage of the CLOUD Act gave a new impulse to the ongoing political debate about "digital sovereignty".

A year after the passage of the Act, an article in the French paper Les Echos reported that "[m]any observers feel that American justice could be deploying [the Cloud Act] for purposes of economic espionage.”

"In a nutshell, the CLOUD Act amounted to a consolidation and expansion of the arrangements established by the earlier 2001 PATRIOT Act which had significantly extended the government's powers of access to data held by US-based global providers, irrespective of the storage location of that data."The French politician Ms Laure de la Raudiere who co-chairs a parliamentary cyber-security and sovereignty committee described the CLOUD Act as "a wakeup call for Europe to accelerate its own sovereign capabilities in the data sector".

In response to the concerns articulated by various political and business leaders, the French government called upon French companies to rely on "CLOUD-Act-safe" data providers.

In the meantime, on 25 May 2018, a few months after the adoption of the CLOUD Act by the US Congress, the General Data Protection Regulation (GDPR) entered into effect. In the next part of this series we will look at the GDPR and its implications for transatlantic data traffic between the EU and the US.

Recent Techrights' Posts

Nobody is Safe at IBM (or Red Hat)
There is no job security at IBM
Bad faith: Hugo Roy knew FSFE impersonating FSF before French tribunal, colleagues deceived
Reprinted with permission from Daniel Pocock
 
Links 03/03/2026: "Scam Altman in Damage Control" and Oil Traffic Disrupted
Links for the day
Gemini Links 03/03/2026: Phones, LLMs, and Changes on the Web
Links for the day
Richard Stallman Confirms Talk in Bern Next Week
Dr. Stallman has just formally confirmed his third talk this month in Switzerland
GNU/Linux at All-Time High in Guam
there are many computers in that island
Microsofters' SLAPP Censorship - Part 1 Out of 200: Claim No. KB-2024-001270 in a Nutshell
abuse of process by a law firm working for an American who was arrested for strangling women and another American whose own spouse calls a "rapist"
When EPO Team Managers (TMs) Are Harassing People Who Strictly Apply the European Patent Convention (EPC) in Patent Examination
There are two strikes planned for this month
Confirmed: Using Slop Gets You Fired
Let the story of Benj Edwards be a cautionary tale
Links 03/03/2026: "No one wants to read your AI slop" and "chatbots in the kill chain"
Links for the day
EPO and "Equivalent to More Than 100 Days of Strike"
The industrial actions continue and already have a positive effect
Streisand Effect, the Microsoft Way
Microsoft has once again proven the Streisand Effect
Keeping Track of IBM Layoffs in March 2026
IBM depends on bribery
GNU/Linux Measured at 7% in Yemen
Windows is too hostile and dangerous
Links 03/03/2026: Security Breaches, Iceland Wants EU Membership, and "Wall Street–Backed Lawmakers Want to Help Banks Gouge You"
Links for the day
Queensland Health Payroll System: IBM billion-dollar-blowout inquiry
Reprinted with permission from Daniel Pocock
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Monday, March 02, 2026
IRC logs for Monday, March 02, 2026
Gemini Links 03/03/2026: GrapheneOS and Keyboard Shortcuts
Links for the day
Tomorrow should be sunny (at long last!) and a generally productive dayProductive Week Ahead
Tomorrow should be sunny (at long last!) and a generally productive day
Only One Slopfarm Seems to Have Targeted "Linux" Today
It certainly does feel like the slop hype is reaching the "late life crisis" and companies that benefited from this bubble are overdue for a day of reckoning
Microsoft Mass Layoffs: Being Sacked at 1AM in the Morning
Watch what happens to Microsoft employees who get pregnant
Links 02/03/2026: More Social Control Media Bans, Climate Change Woes, and "Journalist With Germany's Deutsche Welle Arrested in Turkey"
Links for the day
Gemini Links 02/03/2026: Small Phones, "I 3D Printed My Brain", and "Managing 5 Servers at Once with tmux"
Links for the day
IBM is Trying to Hide Mass Layoffs, Not Only With NDAs and 'Scripted' LinkedIn Posts
From what we can gather (screenshot above), today many people leave IBM and Red Hat
Richard Stallman is Giving a Public Talk This Week (Friday in Lucerne School of Computer Science and Information Technology)
His birthday is just around the corner.
Windows Falls to New Low in World's Largest Population (India)
Windows is now down to 7%
Never Miss a Good Opportunity to Shut Up and Drink Coffee
Threats come at a cost; each time you issue a threat you stigmatise yourself as a bully
Last Month Matthew Garrett Said Ridiculous Things After His Spouse Had Called Him a "Rapist", Now He's Trying to Take the Site Offline and Put My Family in Prison
The real issue of concern to him (and his alleged reputation) is the spouse and the matter is to be dealt with in America, not the UK
Machine-Generated Legal Documents, Over 2,000 Pages Sent to Us Today Alone
We now know that the papers we receive are produced using bots (algorithms)
Reporting to Our Politicians/MPs the Failure of the SRA to Stop Hired Guns Who Help Americans (Men Who Attack Women and Nowadays Also Attack British Reporters)
About a month ago my wife wrote to politicians to get the ball rolling
The Topic Many People Don't Want to Talk or Write About
"DEI" is inherently about making racial and gender patterns better reflect society's
XBox is Virtually Dead Already, What Next Will Die at Microsoft?
Now that there are mass layoffs at Microsoft datacentres it is not premature to speculate about what dies after XBox
For the First Time, statCounter Measures Internet Explorer at 0.01% "Market Share"
What Microsoft replaced it with is just a Chrome clone with extra spyware
Was a Lot of "Windows" and "Unknown" in Iran Just GNU/Linux in Disguise?
more than 1 in 10 desktop/laptop requests is estimated to be GNU/Linux
"Here in the UK, GNU/Linux rose to all-time high at Windows' expense"
Will this entail Software Freedom as well? This depends on all of us
Links 02/03/2026: Claude Code Causes a Mexican Government Cyberattack, "London Repair Week" Noted
Links for the day
2026 Microsoft Mass Layoffs in So-called 'AI' Datacentres, Why Doesn't the Mainstream Media Cover The News?
What does this tell us about the state of the media?
Don't Fall for "Top X Law Firms" in "Discipline Y", They Pay $Z to Get False Endorsement/s
It's a scheme, a scam, an elaborate fraud
More Publishers Have Turned From Slop Boosters Into Slop Sceptics and Critics
There's a "hidden cost" when one participates (for profit) in "pump and dump" schemes
TeX Live Has New Release, But Planet Debian Won't Tell You That
It 'unpersoned' the developer
LLM Slop Does Not Know People (It Knows Nothing) and Cannot Distinguish Between People. It's a Recipe for Disaster.
no way of knowing who's who
"Over 1,100 Law Firms Gone in Five Years" in the United Kingdom (UK) Alone
There are basically way too many lawyers (looking for "business", e.g. threats and lawfare) and not enough positions to fill
Microsoft FUD From Microsoft Site Helps Distract From Actual Microsoft Back Doors
Published on a Sunday
Free Software Foundation Needs to Become More Active in Europe to Avoid Impersonation by Microsoft-Sponsored Groups
So far we've hardly seen the FSF saying anything at all about the US president
Links 02/03/2026: "Not Envious of Billionaires" and Palantir SLAPPs "Swiss Magazine For Accurately Reporting That The Swiss Government Didn't Want Palantir"
Links for the day
There Has Never Been a Better Time to Quit Social Control Media
Those networks are selling something. And that something is not peace because peace does not sell "attention".
Microsoft Users Drowning in Slop, If They Complain Microsoft Censors Them
Like an authoritarian regime
IBM is Killing Red Hat's Portfolio - Including Linux - to Prop Up Ponzi Scheme ("AI")
IBM is killing Red Hat
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Sunday, March 01, 2026
IRC logs for Sunday, March 01, 2026
Speed of Sites Matters
Being easily accessible all the time matters to us
Gemini Links 02/03/2026: Weird Phone Calls, Small Phones, and Exploring Racket
Links for the day
Dr. Andy Farnell on "Good Tech"
in the age of "rent everything" and "own nothing"
Gemini Links 01/03/2026: Simpler Software and Announcing OFFLFIRSOCH (OFFLine-FIRst SOftware CHallenge) 2026
Links for the day
EPO "Cocaine Communication Manager" - Part V - Jobs at the EPO for Those Connected to Cocaine Addicts (Skills Not Required)
EPO management is trying to shoot the messenger
Booz Allen Hamilton, the Former Employer of Edward Snowden (NSA Contractor), is Drowning in Debt
Can Supreme Leader Cheeto bail it out like he does slop companies?
On the Concept of "Protected Class" (or Race) at IBM
It's self-harming as in practice it imperils the company and harms the reputation/brand
The Mass Layoffs at Microsoft That Nobody in the "News Industry" Wants to Talk About (and TheLayoff.com Censored, Then It Censored the Evidence of the Censorship)
They basically cover up how they censored the news about Microsoft layoffs
Richard Stallman to Give at Least Three Talks in Switzerland, Starting This Week
No mention (yet) of the Bern talk
On Who 'Speaks for' Techrights
typically a case of misrepresenting the site
'FSFE' an Imposter in Europe, Paid by GAFAM to Represent GAFAM Interests
The Microsoft-sponsored 'FSFE', which violates the terms of use of its name, is causing confusion [...] formally-recognised institutions got tricked into thinking that the Microsoft-sponsored 'FSFE' is the FSF
Lots of Lies From the Slop Industry
The slop industry relies on fake news to give a notion or fake demand
Links 01/03/2026: American Plutocrats Buy American Media While American Constitution Shredded
Links for the day
Teaser: The Next Series About the SRA, Which Would be Just as Effective as It Is Right Now If It Had Zero Employees
the lapdog (of the "litigation industry") that is meant to be perceived as a watchdog
Solicitors Regulation Authority (SRA) Inaction and Incompetence - Part I - Introduction
The SRA is a sham. Many people know this already, but we want to document our own experiences with it.
Live Simply, Live Better
Life isn't about "collecting" possessions; it's about doing things that matter and accumulating knowledge so as to make better choices
Now That XBox is Pretty Much Dead and There Are Mass Layoffs at Microsoft
This means our predictions about Microsoft (and XBox) are "falling into place"
Gemini Links 01/03/2026: "In the Spirit of OFFLFIRSOCH" and "Delete Patreon"
Links for the day
ACM Lowers Its Standards for Age of Autocracy
IBM is more than happy to work with autocracies
The term FUD (fear, uncertainty, doubt) was created to describe IBM's tactics and IBM is doing it again
Rob Thomas or "RT"
Over at Tux Machines...
GNU/Linux news for the past day
IRC Proceedings: Saturday, February 28, 2026
IRC logs for Saturday, February 28, 2026