In a ruling by the Higher Regional Court (OLG) Hamm (11 U 69/23) an important aspect of GDPR claims for damages was addressed, namely the question of the assignability of such claims. This decision has significant implications for the mass enforcement of GDPR claims, often referred to as the “litigation industry.”
Basic assignability
The Hamm Higher Regional Court found that claims for damages Art. 82 GDPR are generally assignable. An assignment of such claims is only excluded if the claim is of a highly personal nature, which is not the case with claims for damages under the GDPR.
While some courts and commentators argue that such claims should be treated similarly to violations of personal rights and are therefore not transferable, the Hamm Higher Regional Court decided that the GDPR claim for damages does not focus on the satisfaction of the person concerned, but is aimed at financial compensation. This gives the claim a more objective focus and opens the door for broad assignment of these claims.
Significance for the “lawsuit industry”
The assignability of GDPR damage claims makes it possible to bundle them en masse and assert them through specialized debt collection companies or law firms. This leads to a potential increase in class action lawsuits as affected individuals have to assign their claims rather than assert them in court themselves. This could lead to a “lawsuit industry,” similar to what happens in the U.S. with data breaches or consumer rights lawsuits. This poses a significant risk of liability for companies, as such claims could be filed systematically and in large numbers.
Last articles by lawyer Jens Ferner (specialist lawyer for IT and criminal law) (Show all)
