The EU and the US vowed to strike a new deal preserving the content of an anti-terrorism agreement to share air passenger data after the existing one was ruled illegal by the EU's highest court today.
The US, the executive European Commission and European airlines said the court's ruling would have no immediate impact on transatlantic air travel and left time to find an agreed solution to the data transfer issue.
Under a May 2004 EU-US agreement, European airlines have been obliged to give US authorities 34 items of information on passengers flying to the United States, including name, address, all forms of payment and contact telephone numbers.
The United States said the transfer of data was essential to fight terrorism following the September 11th attacks on New York and Washington by suicide plane hijackers.
But the European Parliament challenged the deal, contending it infringed fundamental rights. The European Court of Justice ruled today that the EU Council of Ministers' decision to sign the agreement lacked an adequate legal basis.
"Consequently, the court annulled the council decision approving the conclusion of the agreement and did not consider it necessary to consider the other pleas relied on by parliament," a court statement said.
The court gave the European Commission and EU states four months to find a solution by maintaining the legality of the decision to sign the agreement until September 30th "for reasons of legal certainty".
"We'll have time to find a proper solution," EU Justice Commissioner Franco Frattini told a conference in Brussels. "I think before the summer break, very soon, we should be able to get an agreement on a new proposal."
Mr Frattini told reporters after the conference that he would advise EU states to keep the full content of the agreement, with only a change of legal basis. "I do not intend to negotiate a new content," he said.
Mr Frattini stressed nevertheless that if no agreement were reached before Sept. 30, "we could face really huge problems".
Stewart Baker, assistant secretary at the US Department of Homeland Security who took part in the same conference from Washington via satellite, backed the EU official.
"I am confident that we can find a solution that will keep the data flowing and that will keep the planes flying," he said.