GDPR Litigation Risks Heighten: Federal Court Scraping Decision

Data protection professionals are delving into an intricate and dynamic landscape as recent judicial developments amplify GDPR-related litigation risks. The Federal Court of Justice in Germany, known as the Bundesgerichtshof or BGH, has rendered a decision with profound implications. On November 18, 2024, the BGH held that simply losing control over user data is sufficient to justify a damage claim under Article 82 of the EU’s General Data Protection Regulation, regardless of actual data misuse or harm.

Key Insights:

– Easing Plaintiff Burdens: This landmark ruling reduces the burden of proof on plaintiffs, as they no longer need to demonstrate data misuse resulting from the loss of control. This paradigm shift is expected to incentivize more litigation, pressing data controllers to bolster their data protection measures.

– Broad Application Beyond Scraping: While this case specifically involved data scraping, the court’s decision sets a precedent that extends to other types of data breaches or leaks, affecting a wide spectrum of situations where individual data control is compromised.

– Economic Implications: Although individual claim values, estimated at around EUR 100, may seem minor, the cumulative potential of approximately 6 million plaintiffs poses significant financial exposure for data controllers.

– Litigation Strategies: Data controllers facing such potential lawsuits must develop robust litigation strategies. Legal tech solutions, including AI-based tools, will be integral in managing high volumes of claims effectively.

Professional Litigation and Collective Actions:

German civil procedure offers two primary pathways for claimants. Professional litigation entities may purchase claims en masse, bringing them to court. Alternatively, under recently enacted laws, consumer protection associations can initiate collective actions, grouping multiple claims and presenting them collectively.

For data protection professionals and privacy experts, this decision underscores the necessity of re-evaluating data governance frameworks to align with heightened legal vulnerabilities. Incorporating legal tech innovations will be critical in navigating and defending against this new wave of litigation.

Further details on this pivotal decision can be accessed through the original article.

Original source link: [https://hengeler-news.com/en/articles/federal-court-decision-on-scraping-increases-gdpr-related-litigation-risks]