BRUSSELS: European Union and US negotiators said they’re hopeful of clinching a last-minute deal on a new pact governing trans-Atlantic data transfers before companies are thrown into legal limbo.

Officials are now working toward a February 2 deadline, said Justin Antonipillai, deputy general counsel at the US Department of Commerce, as he left the talks to speak at an event in Brussels Friday morning. The EU earlier set an end-of- month deadline to clinch an agreement.

“As we come up to those last couple of days, I would say we’re optimistic that a deal could be had,” Antonipillai said. “We’ve done a lot,” he said. “We’ve really tried to address the concerns raised by our colleagues.”

The two sides were forced back to the drawing board after the EU’s top judges blocked an earlier “safe harbour” agreement dating back to 2000 — saying it failed to offer safeguards to EU citizens when US-based companies such as social media giant Facebook Inc process personal data on customers, from billing information to the content of messages.

The initial safe harbour pact, drafted in the pre-9/11 days, was designed to facilitate trade by allowing US companies with activities in Europe to shift information between their sites. It allowed companies to transfer data provided they adhered to a list of principles designed to ensure privacy isn’t breached.

Spies’ Access

After the court ruling, the EU demanded reassurances about spies’ access to data and a pledge from US authorities to follow up on complaints. But talks hit the buffers after some US officials voiced concerns the EU would tone down its demands after the tragedy in Paris gave a deadly reminder of what can happen when intelligence fails, people familiar with the discussions said this month.

“We are approaching what we hope is the last mile of the negotiations with a constructive spirit,” Bruno Gencarelli, head of the data protection unit at the European Commission, said during a brief appearance at an event in Brussels Wednesday before he went back to the negotiating table.

‘Comprehensive Arrangement’

EU Justice Commissioner Vera Jourova said last week the bloc wouldn’t accept just any deal, and would demand a “comprehensive arrangement with clear legal commitments can ensure the level of data protection Europeans are entitled to under EU law.”

A big issue for American negotiators has been the EU’s demands for equivalent privacy protections on both sides of the Atlantic.

“The US has constitutional and statutory protections, both for national security and for law enforcement access, much of which does not exist here in Europe,” Federal Trade Commissioner Julie Brill said at a privacy event in Brussels Thursday. “One could argue” that “actually the US has gone further” than merely being deemed equivalent to the EU.

Still, “there are a lot of very good proposals on the table,” said Brill. “There is absolutely a path to yes, and we need to get to yes.”

The EU was aiming toward a deal by Monday at the latest, Paul Nemitz, another European Commission official from the talks, said at an event in Brussels Thursday. The aim is to present it to lawmakers from the 28-nation bloc and also to governments that evening, he said.

The following day they would present any accord to EU data protection watchdogs, who will gather in Brussels on February 2 to discuss multiple “enforcement actions” if no “appropriate solution” is found by then.