Data portability rules take effect in 2025

The European Data Act, effective since September 12, 2025, grants customers the right to switch data processing service providers, including SaaS (software as a service) providers, without encountering commercial, technical, or contractual barriers. This applies to all contracts signed before the regulation's implementation date, regardless of when they were signed.

Exit process includes timeframes and data deletion

The regulation outlines a structured process for ending a contract, including a notice period of up to two months, a transition period of up to 30 days with ongoing service and support, and a 30-day data recovery period after the transition. Data is deleted at the end of this period once the switch is complete.

Change fees are limited but not eliminated

While the Data Act limits change fees to zero euros from December 1, 2025, to January 12, 2027, it does not eliminate all costs. Early termination penalties, standard service fees, and pre-approved support services may still apply. Additional support, like audits or training, may be chargeable after 2027 if requested by the customer and agreed upon in advance.

Not all SaaS elements are transferable

The Data Act does not automatically cover all parts of a SaaS solution. Customers can recover exportable data such as input and output data, certain metadata, and digital assets they own. However, elements protected by the provider's intellectual property or trade secrets are not included.

Functional equivalence applies to infrastructure, not SaaS

The obligation to ensure functional equivalence—restoring a basic level of functionality in the new environment—applies to infrastructure service providers, not SaaS publishers. For management solutions like ERP systems, the boundary between exportable data and configuration settings can be complex, requiring a case-by-case analysis.

Configuration and development details may not be recoverable

Customers may not be able to recover accounting data or maintenance history without the necessary scripts, interfaces, or documentation. In ERP or EAM (enterprise asset management) projects, configuration and specific developments are often handled by third-party integrators and maintenance providers, under separate contracts from the SaaS agreement.

Contractual details determine data and rights transfer

The transfer of recovery files, rights of use, and ownership of customer-funded developments must be addressed in other contracts, such as those with integrators or maintenance providers. These clauses are often overlooked during initial contract negotiations and may not reflect the system's current state when a provider change is needed.

Recommendations for contract review before 2027

Before the January 12, 2027, deadline, customers are advised to review five areas: transferable data, exit costs, service classification, deliverables and rights in integration and maintenance contracts, and their exit strategy. The European Commission has also released a non-binding draft of standard contractual clauses to assist in these discussions.

Proposed changes may ease obligations for older contracts

A proposed "Digital Omnibus" initiative, introduced in November 2025, suggests easing the Data Act's requirements for contracts signed before September 12, 2025, under certain conditions, such as when the service has been significantly adapted to the customer’s needs or when the provider is a small or medium-sized enterprise. However, this does not alter the existing legal framework.