noyb Gains Qualified Entity Status for GDPR Collective Redress in the EU
The approvals of noyb as a Qualified Entity (QE) in Austria and Ireland mark a significant advancement in the EU’s collective redress system for data protection violations. The EU’s framework allows only non-profit organizations to initiate enforcement actions, contrasting with the U.S. model, where any law firm can pursue class actions, often driven by financial gain. The new system aims to eliminate financial incentives for plaintiffs, ensuring that only organizations like noyb can bring cases against companies that violate the General Data Protection Regulation (GDPR).
Max Schrems, Chair of noyb, highlighted the rigorous process the organization underwent to obtain these approvals. With the backing of both Austria and Ireland, noyb can now take legal action against companies that infringe upon GDPR rights across the EU. This capability includes the potential for collective actions, enabling thousands or even millions of users to seek damages for personal data misuse. The first actions are anticipated to be initiated in 2025, as noyb seeks to raise awareness of collective redress as a powerful tool for consumer protection.
Under the EU Directive, Qualified Entities can request injunctions to halt illegal practices, such as tracking users without consent or employing deceptive consent mechanisms. This new authority allows noyb to address various forms of non-compliance, including inadequate responses to data access or deletion requests under the GDPR. Ursula Pachl, Head of Collective Redress at noyb, emphasized the importance of injunctions, which have long been utilized by consumer organizations to combat unfair commercial practices.
The legislation also facilitates redress measures for past and ongoing violations, allowing claims for damages or the return of profits gained from unlawful processing. While individual claims may be modest, they can accumulate significantly when representing large numbers of affected users. The approval of noyb as a QE represents a pivotal step in enhancing consumer protection and accountability within the EU’s data protection landscape.
Source: noyb is now qualified to bring collective redress actions