GDPR fines must factor in a company's 'economic capacity,' EU top court says

By Matthew Newman ( February 13, 2025, 11:34 GMT | Insight) -- EU data protection fines against a subsidiary must be calculated based on its parent company's worldwide annual revenue, but watchdogs must also consider the subsidiary’s “material economic capacity” to assess if the fine is proportionate, the EU's top court said today. The ruling confirms that the antitrust-law concept of undertaking should be used for setting maximum fines, but it pinpoints how regulators must also consider a company’s specific situation.EU data protection fines against a subsidiary must be calculated based on its parent company's worldwide annual revenue, but watchdogs must also consider the subsidiary’s “material economic capacity” to assess if the fine is “effective, proportionate and dissuasive,” the EU's top court said today. ...

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GDPR fines must factor in a company's 'economic capacity,' EU top court says

Prepare for tomorrow’s regulatory change, today

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