Compliance with the European Union Data Protection Directive

Many sites in Europe we have worked with ask us to add a notice to visitors on their site to comply with the European Union Data Protection Directive.
This notice includes the statement:
"This site uses cookies.  Some of the cookies we use are essential for parts of the site to operate and have already been set.  You may delete and block all cookies from this site,, but parts of the site will not work. To find out more about cookies on this website, see our privacy policy."
"Privacy Policy" provides a link to the site's privacy policy notice.  The content of the privacy policy is provided by the site owner.
This is followed by:
"I accept cookies from this site" a checkbox and a continue button.
Reference to EU Data Protection Directive: