Watch out: Consumer protection associations may now sue companies for data protection violations

On 24th February, a new law for the civil enforcement of violations of data protection rules, specifically protecting consumers entered into force. With this new law, certain provisions of the German Act on Injunctive Relief (Unterlassungsklagengesetz – UklaG) are amended and also extended.

Previous situation
Until now, consumer protection organizations (e.g. the Federation of German Consumer Organisations – vzbv) were only able to challenge privacy policies of companies under the German Act on Injunctive Relief if the competent court acknowledged that the respective policy could be considered as general terms and conditions (see for example one press release about a recent lawsuit against Facebook, pdf). In general, certain clauses of privacy policies were therefore the aim of legal actions if these clauses deviated from the statutory provision of data protection law. If personal data were in fact processed in an unlawful way was merely the question.
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Private use of the internet and the rights of the employer

Employers may collect browser data of their employees without their approval, if (1) there is reasonable suspicion that the employee uses his (business) computer and/or the office internet improperly and (2) there is no other means to prove this improper use than the collection of browser data (LAG Berlin-Brandenburg, Urt. v. 14.01.2016 – 5 Sa 657/15).

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MFM fee recommendations and the license analogy method

Rightholders are entitled to damages when their photographs are used by third parties who have not been granted the necessary rights of use. Under German copyright law, damages are calculated according to the so-called license analogy method. This method assumes a fictitious license agreement upon reasonable conditions between the rightholder and the infringer. The rightholder then receives monetary compensation amounting to the royalties the parties would have reasonably agreed on. Continue reading

On “warranty” and “Gewährleistung”

When drafting and negotiating technology agreements of almost any sort between German companies and US or UK companies (or companies from other common law based countries), particularly on software, one of the various Groundhog moments that one experiences is the never-ending discussion on everything that is “warranty”. Continue reading