DPC’s legal bill for one case hit €2.9m
Long-running action over US data transfer channels
THE Data Protection Commission (DPC) has run up a legal bill exceeding €2.9m as a result of the long-running Max Schrems data case. Commissioner Helen Dixon commenced the legal action in May 2016 which has involved a six-week hearing at the High Court in Dublin.
The case last year went to the European Court of Justice (ECJ) in Strasbourg, where the validity of European Commission decisions approving EU-US data transfer channels used by Facebook and others were examined.
Last December, a non-binding opinion by a high-level adviser to the ECJ found that personal data transfers from tech companies in the EU into the US are “valid”.
Commissioner Dixon sought referral after reaching a draft view that Austrian lawyer and privacy activist Max Schrems had raised “wellfounded” objections over the transfer of his personal data to the US.
Figures released in response to a Freedom of Information request show that the case has been a boon for lawyers and experts involved in the case and has cost the DPC €2.9m in the past four years.
Last year, the case cost the DPC €359,719 in legal bills, following a legal spend of
€630,672 in 2018. Legal costs were €1.33m in 2017 and €588,138 in 2016. Dublin legal firm Philip Lee solicitors has been paid €1.9m in relation to the Schema case.
However, a breakdown of the figures show that a substantial portion of the fees paid to the legal firm were third-party costs for onward disbursement in respect of costs awarded against the DPC in respect of the Schrems proceedings.
Philip Lee solicitors received €97,206 in respect of the case last year and €529,289 in 2018. It was paid €808,865 in 2017 and €478,860 in 2016. Those amounts included third-party costs.
Barristers Michael Collins SC and Brian Murray SC have led the State legal team in the long-running case. From 2016 to the end of 2019 Mr Murray was paid €401,497, Mr Collins €362,819.
In addition, Catherine Donnelly BL received €296,788 in counsel fees.
The DPC has spent €4.6 million on all legal costs over the past four years. New figures it provided show a total legal bill of €991,033 for last year – a minor decrease on the €1.08m paid out in legal fees in 2018.
The Commission’s legal spend in 2017 totalled €1.6m and €909,022 in 2016.
Given that many social media giants and tech companies have headquarters here, the DPC has become involved in high-profile court cases concerning data protection.
The DPC has 23 “big tech” inquiries currently under investigation.