Home » Articles » Dutch legislative reform introduces an obligation to notify data breaches also applicable to non-Dutch undertakings

Dutch legislative reform introduces an obligation to notify data breaches also applicable to non-Dutch undertakings

files-and-foldersThe Dutch reform entered into force on the 1st of January 2016 and contains an obligation to notify data breaches in a maximum of 72 hours from the occurrence of the breach[i]. The obligation used to be valid only for data controllers of certain sectors [ii], while this new law extends the obligation to all data controllers[iii]. Besides the extension of the scope of the obligation, the reform also provides for higher penalties in case of non-compliance. If an undertaking failed to notify, the fine can reach up to 820 000€[iv].

Non-Dutch undertakings are bound by this obligation if: (a) the undertaking in which the breach occurred is not established in one of the member states of the EU and it uses automated or non-automated means located in the Netherlands, except when the means are exclusively used for the transit of data[v]; and (b) the non-member state of the EU must have in place a sufficient level of data protection[vi].

Hadewich van Alst

 

[i] Which is a broad concept as it includes all security breach with serious adverse consequences for the individuals subject to the breach, art. 34a(1) of the Dutch Data Protection Act (Wet bescherming persoonsgegevens).

[ii] Mainly financial sector or telecommunication sector.

[iii]Art. 2(1) of the Dutch Data Protection Act (Wet bescherming persoonsgegevens).

[iv]Art.  66 of the Dutch Data Protection Act (Wet bescherming persoonsgegevens).

[v] Art. 4  of the Dutch Data Protection Act (Wet bescherming persoonsgegevens).

[vi] Art. 76(1)  of the Dutch Data Protection Act (Wet bescherming persoonsgegevens).