Online Safety and Media Regulation Act 2022

Meaning of “under the jurisdiction of the State”: providers of video-sharing platform services

5. The Principal Act is amended by the insertion of the following section after section 2A:

“2B. (1) For the purposes of this Act, the question whether the provider of a video-sharing platform service is under the jurisdiction of the State (or another Member State) is to be determined in accordance with this section.

(2) The provider of a video-sharing platform service is under the jurisdiction of a Member State if the provider is established in the territory of that state.

(3) If the provider of a video-sharing platform service is not established in a Member State, then the provider is under the jurisdiction of a Member State if—

(a) it has a parent undertaking or a subsidiary undertaking that is established in the territory of that state, or

(b) it is part of a group, and another undertaking of that group is established in the territory of that state.

(4) For the purposes of subsection (3), if in the provider’s case there are different undertakings (parent undertaking, subsidiary undertakings, or other undertakings in the same group) that are established in different Member States, the provider shall be deemed to be established—

(a) if it has a parent undertaking that is established in a Member State, in that Member State,

(b) if paragraph (a) does not apply but it has a subsidiary undertaking established in a Member State, in that Member State, and

(c) if paragraphs (a) and (b) do not apply but another undertaking in the group is established in a Member State, in that Member State.

(5) If subsection (4)(b) applies but there are different subsidiary undertakings established in different Member States, the provider shall be deemed to be established in the Member State where one of the subsidiary undertakings first began its activity, provided that it maintains a stable and effective link with the economy of that Member State.

(6) If subsection (4)(c) applies but there are different undertakings in the group established in different Member States, the provider shall be deemed to be established in the Member State where one of the undertakings first began its activity, provided that it maintains a stable and effective link with the economy of that Member State.

(7) In this section—

(a)‘established’ has the same meaning as in Article 3(1) of the E‑Commerce Directive;

(b)‘parent undertaking’ means an undertaking that controls one or more subsidiary undertakings;

(c)‘subsidiary undertaking’ means an undertaking controlled by a parent undertaking, including any subsidiary undertaking of an ultimate parent undertaking;

(d)‘group’ means a parent undertaking, all its subsidiary undertakings and all other undertakings having economic and legal organisational links to them.”.