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Google Fined for Violation of EU Data

Protection Law



February 22, 2019

In a decision testing what it means to give informed consent to online data collection, a French regulatory
body recently fined Google LLC (Google) 50 million euro (approximately 56 million U.S. dollars)- the
largest fine issued to date for violating the European Union's (EU's) General Data Protection Regulation
(GDPR).  Discussed in this CRS In Focus, the GDPR is an EU law that provides rules for protection of
personal data throughout the 28-member European Union. The French data protection authority-the
Commission  Nationale de l'informatique et des Libertes (CNIL)-concluded that Google's lack of
transparency and failure to obtain valid consent from Android phone users violated the GDPR. Although
the fine arose under EU law (and Google has announced plans to appeal it), the decision could offer
lessons for recent congressional efforts to craft more comprehensive federal data privacy policy.

What is the GDPR?

In effect since May 2019, the GDPR provides data protection rules in several interrelated areas: data
privacy (i.e., how companies and organizations collect, use, and disseminate personal data), data security
(i.e., how companies guard against and respond to data breaches), and cross-border data flows (i.e., when
companies are permitted to transfer personal data within and outside of the EU). In terms of data privacy,
which Google's fine concerned, the GDPR is more comprehensive than U.S. federal law. Whereas federal
data privacy law involves a patchwork of separate laws covering different issues and sectors of the
economy  (discussed in this Legal Sidebar), the GDPR creates a single, unified data privacy regime.
Unless an exception applies, the GDPR applies to all processing of personal data, which is broadly
defined to include collection, use, storage, disclosure or any other set of operations performed on
personal data. From a territorial perspective, the GDPR applies to organizations that have an
establishment in the EU and to non-EU-established entities that offer goods or services to individuals in
the EU. Because many businesses with an online presence offer goods and services to EU individuals, the
GDPR   applies to many businesses outside the EU, including many American businesses.





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