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Stay granted on suspension of data transfers to China pending appeal due to risk of irreparable harm
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The High Court granted a stay on enforcement of data suspension and corrective orders imposed on a technology company by the State's data protection supervisory authority, pending determination of the company's appeal. The data protection authority had previously found the company unlawfully transferred EEA user data to China without ensuring adequate protections, imposed fines, and ordered suspension of such transfers. The company argued that immediate compliance would result in significant and largely irreparable financial harm and disruption to its business, and that the fairness and adequacy of the data protection authority's inquiry and interpretation of Chinese law were disputed. The court found that damages would not offer adequate remedy for potential losses, that the risks to users' fundamental rights during the short-term stay were limited, and that the balance of justice favoured allowing the company to maintain the status quo until the appeals process concludes. The court emphasised this outcome was subject to conditions, including expediting the appeal and notifying users of the authority's findings.
stay application – data protection – EEA user data – personal data transfers – administrative fines – Data Protection Act 2018 – General Data Protection Regulation (GDPR) – standard contractual clauses – Project Clover – suspension order – corrective order – adequacy of damages – irreparable harm – procedural autonomy – balance of injustice – notification of users – Section 142 and 150 of the Data Protection Act 2018 – Article 46 GDPR – remote access to data – supervisory authority decision – Article 60 cooperation procedure – Francovich damages – fair procedures – constitutionality – burden of proof – appeal proceedings – interim measures
Note: This is intended to be a fair and accurate report of a decision made public by a court of law. Any errors should be notified to the editor and will be dealt with accordingly.
