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Each Member State establishes its own penalty structure under Article 40. Understanding these frameworks helps organisations plan compliance approaches.
Netherlands: Up to €1M or 10% of EU-wide annual turnover
France: Up to 5% of global annual turnover for repeat violations
Germany: Up to €5M or 4% of global annual turnover
When personal data is involved, GDPR provisions may also apply. Organizations operating across multiple Member States should understand the varying frameworks.
Regulatory Context
Key Obligations
Article 40: Member States must establish penalty rules by September 12, 2025
Penalties must be effective, proportionate, and dissuasive
No uniform EU-wide cap (unlike GDPR's €20M / 4% maximum)
Member States consider: nature, gravity, scale, duration of infringement; actions taken to mitigate damage; previous infringements; annual turnover
For personal data violations: GDPR penalties (up to €20M or 4%) apply in addition
Enforcement is decentralized—each Member State designates competent authorities
September 12, 2025
Member States required to notify Commission of penalty frameworks
2026
Enforcement expected to ramp up; authorities designated and frameworks operational
Implementation Reality
Challenges
Netherlands: Framework allows up to €1M or 10% of EU-wide turnover, establishing upper bounds
France: SREN Law provisions include 3% base, scaling to 5% for repeat violations
Germany: Federal Net Agency designated with authority for fines up to €5M or 4% of global turnover
Personal data provisions: When violations involve personal data, GDPR penalties may also apply
Multi-jurisdiction considerations: Organizations operating EU-wide navigate multiple frameworks
Enforcement evolution: As of January 2026, Member States are establishing operational frameworks
Solution
Documented Implementation
Article 40 frameworks consider implementation efforts when determining penalties. Comprehensive documentation provides evidence of compliance activities.
Audit Infrastructure
Automated logging and compliance reporting generate records of data access activities, consent management, and recipient onboarding.
Consistent Standards
Standardized approach to data access, consent, and recipient management ensures consistent practices across operations.
Multi-Jurisdiction Support
Single platform architecture supports compliance requirements across different Member State frameworks and regulations.
Trust & Proof
Built by teams with GDPR enforcement experience
Compliance documentation designed for regulatory scrutiny
Evidence generation for penalty mitigation
Track record with regulatory audits
Deployed across multiple EU Member States
Coverage for varying national penalty frameworks
Proven compliance infrastructure at scale
Multi-jurisdiction regulatory expertise
Talk to our team about your EU Data Act compliance needs.