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Data Protection / GDPR

Federal Data Protection Act

The German Federal Data Protection Act (Bundesdatenschutzgesetz, BDSG) is Germany's national data protection law that supplements and specifies the GDPR wherever the latter grants the member states regulatory leeway through opening clauses.

The German Federal Data Protection Act (Bundesdatenschutzgesetz, BDSG) in its version applicable since 25 May 2018 is the central national legal basis of German data protection law. It does not stand alongside the General Data Protection Regulation (GDPR) as an independent regime, but rather supplements and specifies it: as directly applicable EU law, the GDPR takes precedence, yet it contains numerous so-called opening clauses that permit or require the member states to adopt their own rules. The BDSG fills exactly these gaps for Germany. Anyone seeking to understand the obligations of a controller must therefore always read the GDPR and the BDSG together.

The Act is divided into four parts: common provisions (Part 1), implementing provisions for processing within the scope of the GDPR (Part 2), transposition of the so-called Law Enforcement Directive for police and justice authorities (Part 3), and special provisions for processing outside the scope of Union law (Part 4). The provisions most relevant in practice for businesses concern the appointment of a data protection officer (Section 38 BDSG), employee data protection (Section 26 BDSG), restrictions on data subject rights (Sections 32 et seq. BDSG), as well as video surveillance and scoring.

A key German particularity is the obligation to appoint a data protection officer: under Section 38 BDSG, a controller must as a rule appoint a data protection officer as soon as, as a rule, at least 20 persons are constantly engaged in the automated processing of personal data - a threshold the GDPR itself does not contain. Infringements of the BDSG may be penalised as an administrative offence under Section 43 BDSG or, in serious cases, even prosecuted as a criminal offence under Section 42 BDSG, in addition to the fines under the GDPR. For compliance practice, the BDSG is therefore the indispensable national building block alongside the European framework.

Legal Basis

German Federal Data Protection Act (BDSG) of 30 June 2017; supplementing Regulation (EU) 2016/679 (GDPR), in particular its opening clauses; relevant provisions include Sections 26, 38, 42, 43 BDSG

Practical Example

A medium-sized company with 35 employees, 24 of whom regularly process personal data in CRM and ERP systems, reviews its data protection obligations. The GDPR alone does not impose a mandatory obligation to appoint a data protection officer. Only a look at the BDSG reveals that, because more than 20 persons are constantly engaged in automated data processing, Section 38 BDSG applies and the company must appoint a data protection officer. The compliance officer documents the threshold assessment, appoints an internal or external data protection officer, and notifies the competent supervisory authority.

FAQ

The GDPR is directly applicable EU law and takes precedence. The BDSG is the national German act that supplements and specifies the GDPR wherever the latter permits national rules through opening clauses. Both apply in parallel and must be read together.
Under Section 38 BDSG, a data protection officer must as a rule be appointed when at least 20 persons are constantly engaged in the automated processing of personal data. This threshold is a German particularity and goes beyond the requirements of the GDPR.
Infringements of the BDSG may be penalised as an administrative offence with a fine under Section 43 BDSG, and in serious cases even prosecuted as a criminal offence under Section 42 BDSG. These sanctions apply in addition to the GDPR fines, which can reach up to 20 million euros or 4 percent of total worldwide annual turnover.

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