https://web.archive.org/web/20200813235643/http://slawsonandslawson.com/article-32-the-hole-in-the-gdpr-wall/ https://web.archive.org/web/20200813235643/http://

https://web.archive.org/web/20200813235643/http://slawsonandslawson.com/article-32-the-hole-in-the-gdpr-wall/ https://web.archive.org/web/20200813235643/http://slawsonand... > Article 3(2), a new feature of the GDPR, creates extraterritorial jurisdiction over companies that have nothing but an internet presence in the EU and offer goods or services to EU residents[1]. While the GDPR requires these companies[2] to follow its data processing rules, it leaves the question of enforcement unanswered. Regulations that cannot be enforced do little to protect the personal data of EU citizens. > This article discusses how U.S. law affects the enforcement of Article 3(2). In reality, enforcing the GDPR on U.S. companies may be almost impossible. First, the U.S. prohibits enforcing of foreign-country fines. Thus, the EU enforcement power of fines for noncompliance is negligible. Second, enforcing the GDPR through the designated representative can be easily circumvented. Finally, a private lawsuit brought by in the EU may be impossible to enforce under U.S. law. [snip] > Currently, there is a hole in the GDPR wall that protects European Union personal data. Even with extraterritorial jurisdiction over U.S. companies with only an internet presence in the EU, the GDPR gives little in the way of tools to enforce it. Fines from supervisory authorities would be stopped by the prohibition on enforcing foreign fines. The company can evade enforcement through a representative simply by not designating one. Finally, private actions may be stalled on issues of personal jurisdiction. If a U.S. company completely disregards the GDPR while targeting customers in the EU, it can use the personal data of EU citizens without much fear of the consequences. While the extraterritorial jurisdiction created by Article 3(2) may have seemed like a good way to solve the problem of foreign companies who do not have a physical presence in the EU, it turns out to be practically useless.