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By Stephen Gardner. EU national privacy authorities may regulate data processing by foreign firms with a minimal presence in the DPA's territory.

In a case referred by Hungary's Supreme Court, the ECJ said that under the EU Data Protection Directive (95/46/EC), national courts may impose sanctions for privacy infringements on foreign companies with “establishments” on their territory that are linked to companies' data processing activities, but that an “establishment” could be as little as having a representative, bank account or postal address in the country.

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