GDPR Data Transfer Regulations Quiz

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Questions and Answers

What is the primary principle regulating the transfer of personal data between EU Member States?

  • Data transfers require authorization from the European Commission.
  • The free flow of personal data is unrestricted between member states. (correct)
  • Data transfers are subject to strict national restrictions.
  • Data transfers must adhere to specific contractual agreements.

Which agreement extends the free movement of data beyond the EU to include Iceland, Liechtenstein, and Norway?

  • The Treaty of Lisbon.
  • The North Atlantic Treaty.
  • The Agreement on the European Economic Area (EEA). (correct)
  • The Schengen Agreement.

According to the GDPR, under what circumstances can personal data be transferred to a third country without a need for specific authorization?

  • When transfers are occasional and for limited purposes.
  • When the third country is a member of the United Nations.
  • When the third country ensures a level of protection that is declared adequate by the European Commission. (correct)
  • When consent is obtained from the data subject.

What is the concept defined as 'essentially equivalent' in the context of data protection?

<p>Ensuring comparable fundamental rights and freedoms as provided in the EU. (B)</p> Signup and view all the answers

Which of the following scenarios does NOT require a specific authorization when transferring personal data according to the GDPR?

<p>Transferring data between affiliated companies in France and the Netherlands. (A)</p> Signup and view all the answers

What condition must be met if there is no adequacy decision made by the European Commission regarding data transfer to a third country?

<p>The controller or processor must provide appropriate safeguards with enforceable rights for the data subject. (A)</p> Signup and view all the answers

According to Article 45 of the GDPR, what needs to be in place for a data transfer to a third country without specific authorization?

<p>A decision from the European Commission that the third country has an adequate level of protection. (C)</p> Signup and view all the answers

When a Dutch affiliate wants to transfer data to Australia, which statement is correct?

<p>This transfer requires either an adequacy decision or appropriate safeguards (or eventual derogations). (C)</p> Signup and view all the answers

According to the GDPR, what does the adequacy standard for data protection in third countries NOT require?

<p>A point-to-point replication of EU rules. (D)</p> Signup and view all the answers

Which of these is a factor that the European Commission takes into account when assessing the level of data protection in a third country as per Article 45(2) GDPR?

<p>The international commitments of the third country relating to personal data protection. (D)</p> Signup and view all the answers

According to Article 45(2) of the GDPR, what specific factor related to data protection rules is considered in the assessment of a third country?

<p>The data protection rules, professional rules, and security measures, including onward transfer rules. (B)</p> Signup and view all the answers

Which element is a key focus for the European Commission when evaluating a third country's data protection supervisory authorities?

<p>The authority's effective enforcement powers and ability to assist data subjects. (D)</p> Signup and view all the answers

What is the outcome of a positive assessment by the European Commission concerning a third country's data protection standards?

<p>The Commission issues a binding adequacy decision recognizing the third country's protection standards. (B)</p> Signup and view all the answers

According to Article 45(2) GDPR, which of the following is considered when assessing the access of public authorities to personal data?

<p>The relevant legislation, both general and sectoral, concerning public security, defense, national security and criminal law and the access of public authorities to personal data, as well as the implementation of such legislation. (A)</p> Signup and view all the answers

When assessing a third country's data protection standards in relation to international commitments, what specifically is considered?

<p>The international commitments the third country has entered into regarding personal data protection, as well as the obligations arising from legally binding instruments. (B)</p> Signup and view all the answers

What is a crucial aspect of 'effective and enforceable data subject rights' that is considered during the data protection adequecy assessment?

<p>Data subject's access to effective administrative and judicial redress. (A)</p> Signup and view all the answers

According to GDPR, what is the primary function of a supervisory authority?

<p>To ensure compliance with data protection laws. (D)</p> Signup and view all the answers

An individual believes their data is being processed unlawfully. Which of the following is their first step according to GDPR?

<p>Lodge a complaint with the competent supervisory authority. (A)</p> Signup and view all the answers

Which option best describes the individual’s right to an effective remedy under GDPR?

<p>The right to take their case to court if they disagree with a binding supervisory authority decision. (B)</p> Signup and view all the answers

How does the GDPR support individuals in actioning their right to an effective judicial remedy?

<p>By allowing the individual to bring action in the state where the data subject lives. (D)</p> Signup and view all the answers

If an individual lodges a complaint with a supervisory authority, what is the authority required to do?

<p>Ensure that the complaint is investigated and provide feedback. (A)</p> Signup and view all the answers

Which of these is an example of a Supervisory Authority according to the text?

<p>Hellenic Data Protection Authority. (C)</p> Signup and view all the answers

In which of these possible locations can an individual lodge a complaint about the processing of their data according to the GDPR?

<p>In the member state of the individual's habitual residence, place of work, or place of the alleged infringement. (D)</p> Signup and view all the answers

According to the GDPR, what action is required regarding the submission of complaints?

<p>Supervisory authorities should create electronic complaint forms to facilitate submissions. (C)</p> Signup and view all the answers

What is the minimum frequency at which adequacy decisions are reviewed?

<p>Every four years (B)</p> Signup and view all the answers

Which body has the power to invalidate adequacy decisions made by the European Commission?

<p>The Court of Justice of the European Union (CJEU) (A)</p> Signup and view all the answers

What was the primary concern raised by Maximilian Schrems regarding the transfer of his data to the US?

<p>US surveillance activities and inadequate data protection. (C)</p> Signup and view all the answers

Which legal framework was deemed invalid by the CJEU in the Schrems I case?

<p>The Safe Harbour decision (A)</p> Signup and view all the answers

According to the CJEU, why was the Safe Harbour framework invalid?

<p>Because US legislation allowed generalized access to electronic communications by public authorities, and lacked effective legal protection. (A)</p> Signup and view all the answers

What did the US and the European Commission agree upon after the Safe Harbour arrangement was invalidated?

<p>The EU-US Privacy Shield framework. (C)</p> Signup and view all the answers

What fundamental rights were identified as being at risk due to the Safe Harbour principles?

<p>The right to data privacy, access, rectification, and erasure of data. (C)</p> Signup and view all the answers

What was a key deficiency of the US laws according to the CJEU, that made the Safe Harbour framework invalid?

<p>The absence of legal remedies for individuals regarding access, rectification, or erasure of personal data (B)</p> Signup and view all the answers

What was the primary impact of the Schrems II ruling on EU-US data transfers?

<p>It declared the EU-US Privacy Shield invalid, impacting data transfer mechanisms. (C)</p> Signup and view all the answers

According to Article 46(1) of the GDPR, under what condition can a controller transfer personal data to a third country?

<p>If the controller has provided appropriate safeguards and enforceable data subject rights are available. (A)</p> Signup and view all the answers

Which of the following does NOT require specific authorization from a supervisory authority to provide appropriate safeguards for data transfer, according to Article 46(2) GDPR?

<p>Contractual clauses between the controller and the processor in the EU and data recipients in a third country. (D)</p> Signup and view all the answers

According to Article 82 of the GDPR, who has the right to receive compensation for damages resulting from an infringement?

<p>Any person who has suffered material or non-material damage (B)</p> Signup and view all the answers

What is required for customised contractual clauses to be used as appropriate safeguards for data transfer under Article 46(3)(a) GDPR?

<p>They need authorization from the competent supervisory authority. (D)</p> Signup and view all the answers

If damage is caused by multiple controllers and processors, how is liability determined under the GDPR?

<p>All controllers and processors must be held liable for the entire damage (B)</p> Signup and view all the answers

Which of the following is not considered an appropriate safeguard for transferring personal data to a third country under GDPR?

<p>A verbal agreement between the data controller and the recipient. (B)</p> Signup and view all the answers

What is the maximum administrative fine that a supervisory authority can impose for GDPR infringements?

<p>€20,000,000 or 4% of total worldwide annual turnover, whichever is higher (D)</p> Signup and view all the answers

Besides the Privacy Shield, what mechanism did the Schrems II judgment primarily focus on regarding data transfers?

<p>Standard Contractual Clauses. (A)</p> Signup and view all the answers

Which of the following factors is NOT specified as a factor to consider when determining the amount of an administrative fine?

<p>The number of employees in the organization (A)</p> Signup and view all the answers

What does Article 46 of the GDPR generally address?

<p>Transfers of personal data to third countries or international organisations. (D)</p> Signup and view all the answers

According to the provided text, what is a key difference between standard data protection clauses adopted by the commission and customised contractual clauses?

<p>Customised clauses require authorization from a supervisory authority, whereas standard clauses do not. (D)</p> Signup and view all the answers

According to Article 83 of the GDPR, what should supervisory authorities consider when deciding on an administrative fine?

<p>The intentional or negligent character of the infringement (D)</p> Signup and view all the answers

What type of action is considered a mitigating factor when determining the administrative fine?

<p>Any action taken by the controller to mitigate the damage to data subjects (B)</p> Signup and view all the answers

What does 'full and effective' compensation refer to in the context of GDPR?

<p>Compensation in relation to the damage suffered (A)</p> Signup and view all the answers

Which of these is a consideration when deciding the administrative fine for a GDPR infringement?

<p>The degree of cooperation with the supervisory authority. (C)</p> Signup and view all the answers

Flashcards

Free Flow of Data

The GDPR allows for unrestricted transfer of personal data between EU Member States. This applies to both data sent between EU Member States and data sent from the EU to non-EU countries that have been deemed to provide adequate protection.

Restrictions on Data Transfer (EU)

The EU prohibits restrictions on the transfer of personal data between EU Member States. This means that EU laws cannot prevent or limit data movement within this region.

EEA Agreement

Allows for free movement of data between EU Member States and Iceland, Liechtenstein, and Norway. This extends the free flow of data beyond traditional EU borders.

Transfer to Third Countries

The transfer of personal data from an EU country to a non-EU country must comply with GDPR regulations. This can occur either through an adequacy decision or through robust safeguards and enforceable rights for the data subject.

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Adequacy Decision

The European Commission can decide if a third country provides a level of data protection comparable to the EU's. This designation then allows for unrestricted data transfer to that country.

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Appropriate Safeguards

A mechanism that enables data transfer to a third country when an adequacy decision is not in effect. This involves ensuring adequate safeguards, enforceable rights, and legal remedies for the data subject.

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Derogations

When neither an adequacy decision nor appropriate safeguards are available, these exemptions can be used for data transfer to third countries.

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Adequate Level of Protection

The third country must provide a comparable level of protection for fundamental rights and freedoms as is guaranteed in the EU. The level of protection must be essentially equivalent to that of the EU.

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Schrems I

A ruling by the Court of Justice of the European Union (CJEU) that invalidated the EU-US 'Safe Harbour' framework for data transfers. The CJEU found that US surveillance laws did not offer adequate protection for EU citizens' data.

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EU-US Privacy Shield

An agreement between the EU and US that was designed to replace the 'Safe Harbour' framework. It was declared invalid by the CJEU in Schrems II.

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Schrems II

A ruling by the CJEU that invalidated the EU-US Privacy Shield framework for data transfers. The CJEU found that US surveillance laws still did not offer adequate protection for EU citizens' data.

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Period Review

The process of regularly reviewing adequacy decisions, taking into account all relevant developments in the third country or international organization. This ensures that the adequacy decision remains valid and reflects current data protection standards.

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Data Protection

A legal principle that ensures that individuals' data is protected from unauthorized or unlawful processing. This means that everyone involved in data processing must comply with certain rules and regulations.

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Data Transfers

A term used to describe the transfer of personal data from one jurisdiction to another, often involving transfers to countries outside the European Union (EU).

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Right to Rectification or Erasure

The right of individuals to have their personal data rectified or erased if it is inaccurate or unlawfully processed. This right is crucial for ensuring data privacy and protection.

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Supervisory Authority

An independent public body responsible for enforcing data protection laws within a specific country.

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GDPR

The General Data Protection Regulation (GDPR) is a legal framework that protects personal data within the European Union (EU). It sets the standards for how organizations can collect, store, use and share personal data.

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Right to lodge a complaint

The ability of individuals to file a complaint with the relevant supervisory authority if they believe their data is being processed illegally.

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Right to an effective judicial remedy

The ability of individuals to seek legal recourse (through a court) if they believe their data protection rights have been violated.

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Liability and the right to compensation

The legal responsibility of individuals (data controllers or processors) for any damage caused by a breach of GDPR regulations.

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How does the EC assess data protection?

The European Commission (EC) assesses the adequacy of data protection in third countries. By looking at legislation, oversight bodies, and international commitments, the EC determines if a country provides a level of protection equivalent to the EU's standards.

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Legal Framework Assessment

The EC analyzes a third country's legal framework, including laws, regulations, and judicial rulings, related to data protection. This involves examining general and sectoral legislation, including areas like national security and criminal justice, to ensure they align with EU principles.

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Sanctions

Penalties or sanctions applied by the supervisory authority to enforce GDPR compliance.

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Independent Data Protection Authorities (DPA)

The EC investigates the presence and operations of independent data protection authorities in third countries. These bodies are responsible for enforcing data protection rules, assisting individuals in exercising their rights, and collaborating with EU authorities.

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Electronic complaint form

A specific mechanism for reporting a possible data breach to the supervisory authority.

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Choice of supervisory authority

Data subjects can complain to the supervisory authority of their habitual residence, workplace, or the location of the alleged infringement.

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International Commitments Assessment

The EC examines international agreements and commitments undertaken by third countries that relate to data protection. This includes legally binding instruments, multilateral or regional systems, and participation in international data protection collaborations.

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Complaint investigation

Supervisory authorities are obligated to investigate complaints and inform the affected person of the outcome.

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Adequacy Decision Issuance

Upon finding that a third country or international organization guarantees adequate data protection, the EC issues a binding adequacy decision. This allows for legal data transfers from the EU to that country.

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Adequacy Standard Scope

The adequacy standard does not require an exact copy of EU data protection regulations in third countries. It involves evaluating a country's overall protection level, including its legal framework, enforcement mechanisms, and international commitments.

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Standard Contractual Clauses (SCCs)

Standard Contractual Clauses (SCCs) are legally binding agreements that establish appropriate safeguards for transferring personal data to third countries. The CJEU upheld their use in the Schrems II judgement, making them a crucial tool for ensuring compliant data transfers.

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GDPR Article 46(1)

Article 46(1) of the GDPR allows data transfers to third countries under two conditions: appropriate safeguards are in place, and enforceable data subject rights and legal remedies exist.

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Data Transfer to Third Countries

Without a decision from the EU Commission under Article 45(3), the GDPR requires appropriate safeguards for data transfers to third countries. This typically involves mechanisms like Standard Contractual Clauses (SCCs) to ensure data protection standards are met.

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GDPR Article 46(2)

Article 46(2) outlines various methods for establishing appropriate safeguards, allowing data transfer without specific authorizations from supervisory authorities. These methods include binding corporate rules, standard data protection clauses adopted by the Commission or supervisory authorities, approved codes of conduct, and approved certification mechanisms.

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GDPR Article 46(3)(a)

Article 46(3)(a) allows for customized contractual clauses between the controller and data recipients in a third country, but these require authorization from the competent supervisory authority before they can be used for data transfer.

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Customised Contractual Clauses

Customized contractual clauses are a tool for providing appropriate safeguards for transferring personal data. They are tailored to specific situations and require approval from relevant authorities.

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Right to Compensation (GDPR)

The General Data Protection Regulation (GDPR) gives individuals the legal right to seek compensation from controllers or processors who have unlawfully processed their personal data, resulting in material or non-material harm.

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Liability under GDPR

Controllers and processors are held responsible for any unlawful processing of personal data under the GDPR. This means they can be sued for any damage caused.

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Joint and Several Liability

Under the GDPR, when multiple controllers or processors are involved in the unlawful processing of data, each party is fully responsible for the entire damage caused.

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GDPR Enforcement

EU Member State supervisory authorities have the authority to impose administrative fines for infringements of the GDPR.

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GDPR Fines

The EU supervisory authorities can impose fines up to €20,000,000 or 4% of the company's global annual revenue, whichever is higher, for breaches of the GDPR.

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Fines Calculation

The severity of GDPR fines depends on factors like the nature, gravity, and duration of the infringement. The number of individuals impacted and the level of damage suffered are also considered.

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Mitigating Factors (GDPR Fines)

If a company takes steps to mitigate the damage caused by a GDPR breach, the fines may be reduced.

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Cooperation (GDPR Fines)

The level of cooperation with the supervisory authority during an investigation can significantly impact the severity of the GDPR fine.

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Study Notes

International Data Transfer and GDPR Mechanisms

  • International transfer of data is free between EU member states, the EU, and other countries.
  • Restrictions on data transfer between EU member states are prohibited.
  • The EEA agreement extends the free flow of data to Iceland, Liechtenstein, and Norway.
  • Data transfer from a Dutch company affiliate in the Netherlands to a French affiliate is permitted.
  • Data transfer from a Dutch company affiliate to a non-EU country (e.g., Australia) is not permitted without additional considerations.

Transfer of Personal Data to Third Countries or International Organizations

  • Two methods exist for transferring personal data to third countries or international organizations:
    • An adequacy decision by the European Commission
    • Safeguards provided by the controller/processor ensuring enforceable rights and legal remedies
  • The adequacy decision assures a level of protection "essentially equivalent" to the EU's.
  • The means of securing this adequate level of protection may vary between countries
  • The adequacy standard does not require identical replication of EU rules.

Article 45 GDPR (Adequacy Decisions)

  • Transferring personal data to a territory or international organization deemed adequate by the EU commission requires no specific authorization.
  • Ensuring an adequate standard is the responsibility of the third country, and the adequacy decision considers factors like the rule of law, human rights, relevant legislation, and redress mechanisms.

Article 45(2) GDPR (Elements to Consider Adequacy)

  • The assessment of adequacy considers specific factors like:
    • Rule of law, human rights, sectoral legislation (security, defence, criminal law)
    • Public access to personal data by authorities
    • Implementation and application of data protection rules
    • Enforcement of rights by the data subject
    • Effective data subject rights and redress options
    • International commitments or obligations concerning data protection and related systems

Article 45(3) GDPR (Period Review and Validity)

  • Adequacy decisions are binding but are subject to regular reviews, at least every four years.
  • These reviews take relevant developments into account to assess the continuing validity of the original decision.
  • The Court of Justice of the European Union (CJEU) has the authority to review and invalidate adequacy decisions.

Updated List of Third Countries with Adequacy Decisions

  • Provided in a separate image/table that lists countries and whether commercial organizations are included in the determination.

Transfers of Personal Data to the USA - Schrems I (2014)

  • Austrian citizen Maximilian Schrems filed a complaint against Facebook's transfer of personal data from an Irish subsidiary to servers in the US.
  • Concerns regarding US surveillance activities were raised.
  • Schrems argued that US laws did not adequately protect EU data.
  • The Irish court found that the existing 'Safe Harbour' adequacy decision was invalid due to the inadequacy of US data protection compared to EU standards.
  • The inadequacy was related to the potential interference with data subject rights by US authorities and absence of effective redress. The CJEU upheld a preliminary ruling of the invalidity.

Transfers of Personal Data to the USA - Schrems II (2015)

  • After Schrems I, the EU Commission and the US agreed on a new adequacy framework, named "Privacy Shield".
  • In 2016, a decision was taken that the US ensures adequate protection levels under Privacy Shield.

Transfers Subject to Appropriate Safeguards - Article 46(1) GDPR

  • Data transfer is only permitted if appropriate safeguards are in place when no adequate decision is available.
  • The safeguards are necessary to ensure that personal data transferred experiences similar to its level in accordance with EU rules, in the absence of a suitable ruling.

Article 46(2) GDPR (Providing Appropriate Safeguards)

  • Lists possible ways of providing safeguards, including contractual clauses, binding corporate rules, standard clauses from the EU Commission or a supervisory authority, and approved codes of conduct or certification mechanisms.

Article 46(3)(a) GDPR (Contractual Clauses)

  • A form of appropriate safeguard; custom-made contracts between the data controller and data recipient in the EU and elsewhere, including specific clauses regarding their use.
  • Supervise authority authorization for these clauses is required.

GDPR Mechanisms - Protecting Rights and Compensation for Damage

  • Data subjects have rights to register complaints, seek effective legal remedies, get compensation for damages suffered due to infringements.
  • Sanctions for infringements are also included in the measures.

What is a Supervisory Authority?

  • A public authority responsible for enforcing data protection within a particular member state.
  • Often includes examples of specific EU Member states' authorities (Austria, Croatia and other examples).

Right to Lodge a Complaint with a Supervisory Authority - Article 77 GDPR

  • Data subjects' right to formally complain to a supervisory authority if they believe their data processing isn't in compliance with GDPR rules.
  • Includes instructions for submission (like electronic forms).

Right to an Effective Judicial Remedy - Article 78 GDPR

  • Data subjects' right to seek court action against data protection issues and/or decisions by regulatory authorities.
  • Options for judicial remedies within different jurisdictions or in reference to EU courts are available depending on the issue.

Liability and the Right to Compensation - Article 82 GDPR

  • Legal liability for controllers and processors for damages resulting from unlawful data processing.

Sanctions - Article 83 GDPR

  • Fines and penalties for data protection breaches.
  • Fines can range from €20 million to 4% of the global annual turnover, whichever is higher.

Enforcement Tracker (GDPR Fines)

  • A list of significant fines imposed for GDPR violations by relevant regulatory bodies in the European Union.
  • Includes companies like Meta, Amazon, TikTok, etc., and the amount of fines associated with those infringements.

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