A data trust is a structure that enables multiple parties to pool and combine their datasets according to specific purposes. An independent trustee administers the data within the trust to ensure that the data providers’ wishes are fulfilled and to make the combined data available for use by the data providers or third parties.
Jersey Data Trusts
A Jersey data trust is a specific structure established according to the Trusts (Jersey) Law 1984 and administered by a Jersey trustee. Trust businesses are in Jersey are regulated by the Jersey Financial Services Commission.
Why use a Jersey Data Trust?
Many businesses and organisations are seeking to share or combine data in order to generate synergy and unlock value. When multiple parties want to share and combine data, legal and governance mechanisms are needed The traditional data sharing agreement isn’t fit for multi-party data sharing. Conversely, a Jersey data trust is ideally suited to enable data providers to extract greater value from their data through sharing.
Jersey Data Trusts are ideal for data sharing
Core features make Jersey data trusts ideal for data sharing:
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Flexible and streamlined structures with built in (yet adaptable) data governance mechanisms
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A single nexus for data sharing agreements removing the need for a complex matrix of bilateral data sharing agreements
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Data providers and data users can freely move in and out of the trust through time
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Tightly regulated independent trustees engender trust and act as intermediary between various parties
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Easily structured for monetisation with flexible commercial arrangements in a tax neutral jurisdiction
What does a Jersey data trustee do?
A Jersey data trustee is an independent fiduciary regulated by the Jersey Financial Services Commission. The trustee administers the trust according to Jersey trust law and is legally required to make sure the purposes of the trust are fulfilled.
In practice, the trustee is responsible for:
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Collecting data
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Creating and maintaining databases
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Managing data on behalf of data providers according to their wishes
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Acting as an intermediary between data providers to maintain confidentiality and avoid conflicts of interest
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Overseeing compliance with applicable laws and regulations (e.g. data protection laws)
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Enabling the sharing of data and insights with third parties
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Negotiating and executing commercial terms for third party data users to access the data
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Monetising data access where appropriate
About Jersey
Jersey is an independent island jurisdiction. Our community is forward looking and entrepreneurial. With the support of Digital Jersey we are working to make the island smarter and accelerate the adoption of technology to enhance the economy and lives of islanders. Jersey is pioneering digital placemaking and data trusts.
As an international finance centre committed to good governance and regulation the island is also the leading global trust jurisdiction: There are numerous, long-established professional trust companies fielding trustees. Thousands of trust structures are under administration in the island including large numbers of highly complex trust structures. All trust businesses (and trustees) are regulated by Jersey Financial Services Commission. Jersey trust law is regarded as the gold standard worldwide following decades of continuous innovation and the Royal Court of Jersey is highly experienced in dealing with the law of trusts in highly complex disputes and is regarded as on par with the High Court of England & Wales in this area.
The first legally constituted data trust, LifeCycle was established as a Jersey trust in March 2023.