Overview
This article defines the territorial reach of GDPR, applying to personal data processing conducted by entities established in the EU, as well as non-EU organizations that target or offer goods/services to EU data subjects or monitor their behavior. GDPR also applies when processing falls under applicable Member State law.
Key Principles
EU Establishment: Any controller or processor established in the EU is subject to GDPR.
Targeting EU Data Subjects: Non-EU organizations offering goods/services to or monitoring EU individuals fall under GDPR.
Member State Law Applicability: GDPR applies where local EU laws govern the processing.
Organizational Applicability
Applies to:
EU-based controllers and processors handling personal data.
Non-EU organizations targeting or offering services to EU residents.
Non-EU organizations monitoring behavior of EU data subjects.
Organizations must assess whether their activities trigger GDPR obligations in any EU jurisdiction.
Implementation Requirements
Identify whether the organization or processing activity falls under EU establishment or targets EU data subjects.
Maintain records demonstrating whether GDPR applies, including contracts, website targeting evidence, and service offerings.
Implement GDPR-aligned data protection measures for all processing that falls within the scope.
Implementation Guidance
Map all processing activities to determine territorial applicability.
Review websites, marketing campaigns, and services to confirm targeting or monitoring of EU individuals.
Ensure GDPR-compliant policies, notices, and contracts are applied for all in-scope processing.
Document decisions and assessments to demonstrate compliance during audits.
Periodic Review
Frequency: Annually or upon expansion into new markets or changes in service offerings.
Responsible Role: Data Protection Officer (DPO) or Compliance Team.
Outcome: Confirm ongoing applicability of GDPR and update documentation and measures accordingly.
Non-Compliance Risks
Fines: Up to €20 million or 4% of global annual turnover.
Legal Exposure: Enforcement actions from EU regulators.
Reputational Damage: Loss of trust from EU customers and partners.
Operational Limitations: Restrictions on offering services in EU markets.