Digital Services Act 2024

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Limitations on amount of administrative financial sanction

67. (1) In the case of a contravention falling within paragraph (a) or (c) of the definition of “contravention” in section 43 , the amount of an administrative financial sanction imposed under section 62 shall not exceed 6 per cent of the annual turnover of the inquiry subject in the financial year preceding the date of the decision under section 62 to impose the sanction.

(2) In the case of a contravention falling within paragraph (b) of that definition, the amount of an administrative financial sanction imposed under section 62 shall not exceed one per cent of the annual income or turnover of the inquiry subject in the financial year preceding the date of the decision under section 62 to impose the sanction.

(3) The Commission shall have regard to the following matters in determining the amount of the administrative financial sanction imposed under section 62 :

(a) the nature, gravity and duration of the contravention;

(b) the degree of harm to particular people or to the public caused as a result of the contravention;

(c) the extent of any failure by the inquiry subject to co-operate with an investigation, provided that acknowledgement of a contravention shall not in itself constitute grounds for reduction of a sanction;

(d) any explanation accepted by the Commission for the contravention or the failure to co-operate with an investigation;

(e) any gain (financial or otherwise) made, or any loss (financial or otherwise) avoided, by the inquiry subject or by any person in which the inquiry subject has a pecuniary interest or beneficial interest, as a consequence of the contravention;

(f) whether a previous decision under section 62 in respect of the inquiry subject has been confirmed or made by the appropriate court (within the meaning of section 68 ) under section 68 or confirmed by the Circuit Court under section 69 ;

(g) the nature and timeliness of any steps taken by the inquiry subject to bring the contravention to an end, and any steps taken by the inquiry subject to remedy the consequences of the contravention;

(h) the absence or ineffectiveness of internal mechanisms or procedures intended to prevent such a contravention;

(i) the extent to which the contravention was contributed to by the act or omission of a third party, and the extent to which the inquiry subject took steps to identify, and mitigate the effect of, the act or omission;

(j) the extent to which the contravention was contributed to by circumstances beyond the control of the inquiry subject, and the extent to which the inquiry subject took steps to identify, and mitigate the effect of, those circumstances;

(k) in the case of a body corporate, the extent to which the management of the body knew, or ought to have known, that the contravention was occurring or would occur;

(l) the income or turnover of the inquiry subject in the financial years during which the contravention occurred, and the ability of the inquiry subject to pay a sanction;

(m) any views communicated by the European Commission under Article 59(3) that are relevant to the amount of the sanction;

(n) any submissions made by the inquiry subject under section 65 (2) in relation to the determination of the amount of the sanction;

(o) any further information given to the Commission by the inquiry subject in response to a request under section 65 (3);

(p) previous determinations under this section which have been confirmed or made by the appropriate court (within the meaning of section 68 ) under section 68 or confirmed by the Circuit Court under section 69 .

(4) The amount of an administrative financial sanction imposed under section 62 shall—

(a) be proportionate to the nature of the contravention, and

(b) be set with a view to deterring the inquiry subject and, where the inquiry subject is a provider, other providers, from committing a contravention.