Penalties
1. Member States shall lay down the rules on penalties applicable to infringements of the obligations regarding transfers of non-personal data to third countries pursuant to Article 5(14) and Article 31, the notification obligation of data intermediation services providers pursuant to Article 11, the conditions for providing data intermediation services pursuant to Article 12 and the conditions for the registration as a recognised data altruism organisation pursuant to Articles 18, 20, 21 and 22, and shall take all measures necessary to ensure that they are implemented. The penalties provided for shall be effective, proportionate and dissuasive. In their rules on penalties, Member States shall take into account the recommendations of the European Data Innovation Board. Member States shall, by 24 September 2023, notify the Commission of those rules and of those measures and shall notify it, without delay, of any subsequent amendment affecting them.
2. Member States shall take into account the following non-exhaustive and indicative criteria for the imposition of penalties on data intermediation services providers and recognised data altruism organisations for infringements of this Regulation, where appropriate:
(a)
the nature, gravity, scale and duration of the infringement;
(b)
any action taken by the data intermediation services provider or recognised data altruism organisation to mitigate or remedy the damage caused by the infringement;
(c)
any previous infringements by the data intermediation services provider or recognised data altruism organisation;
(d)
the financial benefits gained or losses avoided by the data intermediation services provider or recognised data altruism organisation due to the infringement, insofar as such benefits or losses can be reliably established;
(e)
any other aggravating or mitigating factors applicable to the circumstances of the case.
Evaluation and review
By 24 September 2025, the Commission shall carry out an evaluation of this Regulation and submit a report on its main findings to the European Parliament and to the Council as well as to the European Economic and Social Committee. The report shall be accompanied, where necessary, by legislative proposals.
The report shall assess, in particular:
(a)
the application and functioning of the rules on penalties laid down by the Member States pursuant to Article 34;
(b)
the level of compliance of the legal representatives of data intermediation services providers and recognised data altruism organisations that are not established in the Union with this Regulation and the level of enforceability of penalties imposed on those providers and organisations;
(c)
the type of data altruism organisations registered under Chapter IV and an overview of the objectives of general interests for which data are shared in view of establishing clear criteria in that respect.
Member States shall provide the Commission with the information necessary for the preparation of that report.
Amendment to Regulation (EU) 2018/1724
In the table in Annex II to Regulation (EU) 2018/1724, the entry ‘Starting, running and closing a business’ is replaced by the following:
Life events
Procedures
Expected output subject to an assessment of the application by the competent authority in accordance with national law, where relevant
Starting, running and closing a business
Notification of business activity, permission for exercising a business activity, changes of business activity and the termination of a business activity not involving insolvency or liquidation procedures, excluding the initial registration of a business activity with the business register and excluding procedures concerning the constitution of or any subsequent filing by companies or firms within the meaning of the second paragraph of Article 54 TFEU
Confirmation of the receipt of notification or change, or of the request for permission for business activity
Registration of an employer (a natural person) with compulsory pension and insurance schemes
Confirmation of registration or social security registration number
Registration of employees with compulsory pension and insurance schemes
Confirmation of registration or social security registration number
Submitting a corporate tax declaration
Confirmation of the receipt of the declaration
Notification to the social security schemes of the end of contract with an employee, excluding procedures for the collective termination of employee contracts
Confirmation of the receipt of the notification
Payment of social contributions for employees
Receipt or other form of confirmation of payment of social contributions for employees
Notification of a data intermediation services provider
Confirmation of the receipt of notification
Registration as a data altruism organisation recognised in the Union
Confirmation of the registration
Transitional arrangements
Entities providing the data intermediation services referred to in Article 10 on 23 June 2022 shall comply with the obligations set out in Chapter III by 24 September 2025.
Entry into force and application
This Regulation shall enter into force on the twentieth day following that of its publication in the Official Journal of the European Union .
It shall apply from 24 September 2023.
Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.
