Court of Appeal overturns and confirms, in principle though technologically not in practice, mosaic blocking order jurisdiction in Mincione.

When CJEU Bolagsupplysningen was held, I flagged immediately (I was not alone) that the judgment would necessarily create follow-up litigation.

At the level of the CJEU itself, Mittelbayerischer Verlag somewhat reigned in the consequences of Bier and Shevill, albeit not directly related to the discussions in Bolagsupplysningen. In Gtflix, the Court confirmed that each Member State where damage has occurred, will continue to have locus damni jurisdiction even if the claimant requests rectification of the information and the removal of the content placed online in another jurisdiction: one with full jurisdiction as either the Handlungsort or the place of the claimant’s centre of interests.

In England and Wales, Saïd v L’Express (a first instance case) held that it follows from Bolagsupplysningen that so far as internet publications are concerned, a claimant who is seeking injunctive relief (removal, correction in particular) may do so only in the places with full jurisdiction. This was implicitly confirmed in Napag, also a first instance case.

This conclusion has now been overturned by the Court of Appeal in Mincione v Gedi Gruppo Editoriale SPA [2022] EWCA Civ 557. This is a libel case brought by an Italian national with acquired British citizenship who is resident in Switzerland. He sues the Italian-domiciled publisher of a daily newspaper and weekly magazine, both of which are published predominantly in Italy and in the Italian language.

The first instance judge, Mincione v Gedi Gruppo Editoriale SpA [2021] EWHC 2006 (QB) had followed Said and Napag. The Court of Appeal notes that as a result of the Withdrawal Agreement it is bound by Bolagsupplysningen, it having been held before Brexit, and that it  ‘can have regard to’ ([65]) Gtlfix.

Warby J, seeking support in Gtflix, holds injunctive jurisdiction to restrain a harmful internet publication that has either occurred or “may occur”, does exist for the locus damni court yet only in respect of publication that may occur within the territorial jurisdiction of the court concerned. It can justify a domestic internet injunction, even for a ‘mosaic’ (locus damni) court, yet not to grant an injunctive remedy that would inevitably take effect extraterritorially.

The first instance judgment therefore is overturned on legal substance but  largely confirmed in practical reality: [72]. Current proceedings are largely held in substance, albeit not in form, to be a claim for a single and indivisible remedy. That is because a domestic internet injunction, prohibiting further publication, in this case however limited it might be in form, would, on the undisputed evidence, inevitably have extraterritorial effect. In future, technology might mean that an order framed as a domestic internet injunction would or could take territorial effect only. Yet in current technological reality, it is said that ordering removal would immediately have extraterritorial substantive effect. Those with knowledge of the technology may have more to say about this. Update 29 04 4:50 PM: the first instance judgment suggests this is related to the limited E&W jurisdiction, while the order would impact other parts of the UK, too: [98]: geo-blocking can only be done at a UK level, and the removal of a YouTube video can also be only done at a UK level (not: the E&W level).

The only part of the claim where jurisdiction for injunctive relief, if claimant is found at trial to have been libelled, will be possible, is for a so-called ‘section 12’ internet injunction: an order to publish a summary of the eventual judgment. That is because in the view of the the Court of Appeal, this relief can be targeted to the current subscriber basis of the publication outlets in England and Wales only.

Per Soriano, post Brexit a claimant will have to show that England and Wales is clearly the most appropriate place to bring an action, with locus damni per  SC Brownlie the tort gateway. Bolagsupplysningen will therefore not echo for much longer in E&W, and I doubt therefore that the SC will hear an appeal if it were sought.

Geert.

EU private international law, 3rd ed. 2021, 2.439 ff.

Ask me no questions, and I’ll tell you no lies. The CJEU on internet (libel) jurisdiction in Gtflix.

The CJEU held yesterday in Grand Chamber in C-251/20 GtflixTV – for the facts see my initial flag of the case here. I reviewed the Opinion of Hogan AG here. The AG need not have bothered for the Court entirely ignores the Opinion.

The AG had predicted, as had I, that the CJEU would not heed his calls (joining those of plenty of AGs before him) that the Article 7(2) CJEU Bier introduced distinction between Handlungsort and Erfolgort be abandoned or at least curtailed. The CJEU however also dismisses his suggestion that the case at issue, which involves defamation of competitors over the internet, does not engage the Bolagsupplysningen case-law (infringement of personality rights over the internet) but rather Tibor Trans on acts of unfair competition.

I do not see quite clearly in the Grand Chamber’s mention [28] that Gtlix did not request inaccessibility of the information in France: for Gtflix did request retraction.

Instead of qualifying locus damni jurisdiction, the CJEU squarely confirms its faith in the Mosaic consequences of Article 7(2) locus damni jurisdiction. Each court in whose district damage has occurred, will continue to have locus damni jurisdiction even if the claimant requests rectification of the information and the removal of the content placed online in the Handlungsort or centre of interests jurisdiction. Locus damni jurisdiction in my view extends only to the damage occurring in that district (for Article 7(2) determines territorial, not just national jurisdiction), albeit in current, internet related case the CJEU [38] would seem to speak of ‘national’ jurisdiction, linked to accessibility in the Member State as a whole.

Those courts’ locus damni jurisdiction is subject to the sole condition that the harmful content must be accessible or have been accessible in that Member State. Per CJEU Pinckney, an additional direction of activities to that Member State is not required (the recent High Court approach in Mahmudov on which I shall blog shortly, is at odds with that approach nota bene).

Grand Chamber judgments must not only be expected in cases where earlier authority is radically changed or qualified. It can also occur in cases where the CJEU wishes to reconfirm a point earlier made but stubbornly resisted in scholarship and lukewarmly embraced in national court practice.

Geert.

GtFlix. Hogan AG suggests the jurisdictional gateway for economic damage, not defamation, catches malicious falsehood between economic operators.

As I noted when I signalled the reference, the French Supreme Court in C-251/20 GtFlix has not referred the question whether Bolagsupplysningen is good authority for acts of unfair competition between competitors. Rather, it queries whether Bolagsupplysningen means that a claimant who requests both rectification /retraction and damages, has to necessarily turn to courts with full jurisdiction or whether they can continue to turn for the damages part, to all courts with locus damni jurisdiction.

Hogan AG in his Opinion a few weeks ago (more analysis by  Marta Requejo Isidro here) right up to (94) revisits the wisdom of applying Shevill’s Handlungsort/Erfolgort distinction and the possibility of using GtFlix to overturn. I agree that this is not the case to do it. (On the CJEU and overturning its authority, see excellently the departing Bobek AG in C‑205/20).

At 95 he then essentially requalifies and answers the question which the SC had not referred. The action at the French courts is one in dénigrement, which is a form of malicious falsehood which, the AG suggests, does not call into question the Bolagsupplysningen line of cases but rather Tibor Trans and the cases before it.

An action relating to an infringement of unfair competition law may be brought before the courts of any Member State where that act caused or may cause damage within the jurisdiction of the court seised. Where the market affected by the anticompetitive conduct is in the Member State on whose territory the alleged damage is purported to have occurred, that Member State must be regarded as the place where the damage occurred for the purposes of applying Article 7(2) (99).  A final reference at (102) ff is to the applicable law level under (Article 6) Rome II. 

Should the CJEU follow, one of the left-over questions following Bolagsupplysningen will not be answered, yet another issue on falsehoods spread between competitors, will.

Geert.

(Handbook of) European private international law, 2nd ed. 2016, Chapter 2, Heading 2.2.11.2

Mittelbayerischer Verlag: determining centre of interests for jurisdiction in online defamation cases. The AG suggests this is not the case for big changes.

What I said in my post on Markt24 this morning, also goes for the Opinion of Bobek AG in C-800/19 Mittelbayerischer Verlag KG v SM: others have in the meantime posted analysis on it, in this case Tobias Lutzi whose scholarship was cited by the AG.

Claimant is a Polish national who had been a former Auschwitz prisoner. He brought a civil claim against a German newspaper before the Polish courts for having used the expression ‘Polish extermination camp’ in an online article to refer to a Nazi extermination camp built on the territory of (then) occupied Poland. The camp in Treblinka was a Nazi extermination camp built within the territory of occupied Poland. Not a ‘Polish’ or indeed even a ‘German’ concentration camp: a Nazi or fascist camp. But I stray.

Although the article had been online for only a few hours before it was corrected, the applicant maintains that the online publication has harmed his national identity and dignity.

Do Polish courts have international jurisdiction to hear such claim? In the main proceedings, the applicant is not only seeking monetary compensation, but also other remedies: a court order prohibiting the publisher from using the expression ‘Polish extermination camp’ in the future and the publication of an apology. (For related issues on the nature of the remedy, see prof Hess’ post on the blog here). Bolagsupplysningen is the most recent relevant CJEU authority. Some of the complications of that case recently featured in Napag Trading and in  Saïd v L’Express.

Warsaw was undoubtedly the claimant’s centre of interest per Bolagsupplysningen, yet the referring court wondered whether this was sufficient to give it jurisdiction given the range of remedies sought by the claimant (damages; prohibition to use the term in the future; public apology). Particularly seeing as the intensity of contact of the claimant with the offending material was on the lighter side: unlike eDate, the online article that formed the basis for the action did not directly concern claimant. The paper’s regional profile and readership range, and focus on regional news, the entirely German nature of the site, lack of any targeting of non-regional readers etc.. meant it was not at all directed at anything else but a local readership.

As Tobias points out, the AG reemphasises (39-44) the unfortunate consequences of Mozaik jurisdiction per CJEU Bier, as plenty of AGs and scholars have done with him. He suggests however that current case is not one suited to a wholesale revisiting of the Bier authority, specifically in an internet context (see also the phrase ‘ubiquitous nature’ of the internet in Google v CNIL, per Szpunar AG), seeing as the essence of the dispute is one on the merits. Instead, he suggests the Court exercise judicial economy and take a most narrow approach to the case: whether in a case seeking a prohibition on the use of a certain statement in the future and the publication of an apology, the applicability of centre of interests of a party allegedly harmed by online publication, be precluded by the fact that that person is not named in the publication at issue?

The case therefore will be an opportunity to specify to some extent the open questions with respect to the indivisibility of the remedies in online defamation cases (see also Gtflix TV and BVC v EWF).

Tobias maps the AG’s approach which discusses predictability yet anchors the conclusion unto the very reason (ia per recitals 15 and 16 which themselves go back to the Report Jenard) for having introduced A7 special jurisdiction: the connection of the court to the facts of the case (59):

any alternative grounds of jurisdiction, must be ‘based on a close connection between the court and the action or in order to facilitate the sound administration of justice. The existence of a close connection should ensure legal certainty and avoid the possibility of the defendant being sued in a court of a Member State which he could not reasonably have foreseen. This is important, particularly in disputes concerning non-contractual obligations arising out of violations of privacy and rights relating to personality, including defamation’.

‘the reasonable foreseeability of the centre of gravity of a dispute should not be effectively replaced by the publisher’s knowledge of the place of the victim’s domicile (62)’

A criterion of intent (69) must not be introduced for online torts, the AG suggests (cf intention expressed as ‘directing at’ in the consumer title). Applied to the case at issue, given the nature of the expressions used (the use of ‘Polish concentration camps’ can be predicted to create a fall-out in Poland, even if one does not have any specific individuals on one’s radar). At 81 ff the AG adds quasi-obiter that at the enforcement stage, any Polish judgment prohibiting in particular further use of the phrase may indeed bounce off German ordre public – as Burkhard’s post discusses re an earlier case.

What would be rather cool is for the CJEU in spite of the AG’s invite not to do so, to take the opportunity of this case to bin or radically amend Bier. That is a pipe dream: this is not going to happen [or is it 😉 ?] particularly seeing as the case will not be held in Grand Chamber.

Geert.

EU Private International Law, 3rd ed. 2021, Heading 2.2.12.2.5, and para 2.598 in fine.

 

 

Google and the jurisdictional reach of the Belgian DPA in right to be forgotten cases. Another piece misplaced in the puzzle?

Thank you Nathalie Smuha for first signalling the €600,000.00 fine which the Belgian Data Protection Authority (DPA) issued on Tuesday against Google Belgium, together with a delisting order of uncertain reach (see below) and an order to amend the public’s complaint forms. The decision will eventually be back up here I am assume (at vanished yesterday) however I have copy here.

Nauta Dutilh’s Peter Craddock and Vincent Wellens have very good summary and analysis up already, and I am happy to refer. Let me add a few things of additional note:

  • The one-stop shop principle of the GDPR must now be under severe strain. CNIL v Google already put it to the test and this Belgian decision further questions its operationalisation – without even without for the CJEU to answer the questions of the Brussels Court of Appeal in the Facebook case. At 31, the DPA refers to a letter which Google LLC had sent on 23 June 2020 (a few days therefore after the French decision) to the Irish DPA saying that it would no longer object to national DPAs exercising jurisdiction in right to be forgotten cases. Of note is that in ordinary litigation, deep-pocket claimants seeking mozaik jurisdiction seldom do that because it serves the general interest.
  • Having said that, the Belgian DPA still had to establish jurisdiction against Google Belgium. Here, CJEU Google v Spain, Google v CNIL, and Wirtschaftsakademie led the DPA to take a ‘realistic’ /business plan approach (such as Jääskinen AG in Google Spain) rather than a legally pure approach: at 80 following extensive reference to CJEU authority, and to the effet utile of the GDPR, the DPA holds that it matters little whether the actual processing of the date takes places outside of the EU, by Google employees ex-EU, and that Google Belgium’s activities are supportive only. A Belgian resident’s right to be forgotten has been infringed; a Google entity is available there: that would seem to suffice.
  • That left the issue of the territorial reach of the delisting request. The DPA arguably cuts a few corners on the Google Belgium issue; here, it is simply most vague: at 81 ff it refers to the jurisdictional decision in e-Date Advertising, that for infringement of privacy within Brussels Ia, the courts of the person’s centre of interests are best placed to hear the case in its entirety, holding this should be applied mutatis mutandis in GDPR cases and removal orders. It then holds at 85 that neither Google v CNIL nor Belgian law give it specific power to impose a worldwide delisting order, yet at 91 that an EU-wide delisting order would seem an effective means of redress, to end up in its final order (p.48-49) not identifying a territorial scope for delisting.

I am confused. I suspect I am not the only one.

Geert.

(Handbook of) EU private international law, 2nd ed.2016, chapter 2, Heading 2.2.8.2.5.

 

Gtflix Tv. The French Supreme Court queries the CJEU on further specification of Bolagsupplysningen and jurisdiction for libel over the internet.

Update 22 September 2020 the Case is known at the CJEU as C-251/20.

Thank you Helene Peroz for flagging the French Supreme Court on 13 May last referring to the CJEU for clarification of the Bolagsupplysningen case-law. The case concerns Gtflix Tv which I understand is a Czech adult entertainment corporation, who is suing Mr X, himself a producer of porn and domiciled at Hungary, arguing Mr X has defamed them in public comments.

Gtflix claim both retraction and correction of the comments, and symbolic damages. X argues the French courts do not have jurisdiction and the Court of Appeal at Lyons agreed. It held that Gtflix cannot suffice with a simple show of accessibility of the comments in France: for it to establish jurisdiction, Gtflix was required to show real damage to its reputation in France.

The Supreme Court first of all held that Bolagsupplysningen is good authority for acts of unfair competition between competitors – a finding which was not as such made in Manitou v JCB and on which the court does not refer to the CJEU. The applicable law issues which I discussed earlier in the week, were not subject of the Cour de Cassation’s assessment.

The court then does refer to the CJEU to ask whether Bolagsupplysningen means that a claimant who requests both rectification /retraction and damages, has to necessarily turn to courts with full jurisdiction or whether they can continue to turn for the damages part, to all courts with locus damni jurisdiction.

The specific question referred, is

Les dispositions de l’article 7, point 2, du règlement (UE) n° 1215/2012 doivent-elles être interprétées en ce sens que la personne qui, estimant qu’une atteinte a été portée à ses droits par la diffusion de propos dénigrants sur internet, agit tout à la fois aux fins de rectification des données et de suppression des contenus, ainsi qu’en réparation des préjudices moral et économique en résultant, peut réclamer, devant les juridictions de chaque État membre sur le territoire duquel un contenu mis en ligne est ou a été accessible, l’indemnisation du dommage causé sur le territoire de cet État membre, conformément à l’arrêt eDate Advertising (points 51 et 52) ou si, en application de l’arrêt Svensk Handel (point 48), elle doit porter cette demande indemnitaire devant la juridiction compétente pour ordonner la rectification des données et la suppression des commentaires dénigrants ?” ;

Geert.

(Handbook of) European private international law, 2nd ed. 2016, Chapter 2, Heading 2.2.11.2

 

Yelp and Facebook. The German and Dutch courts on reputational damage, jurisdiction and applicable law.

Thank you Matthias Lehmann for flagging X v Yelp , held 14 January 2020 at the Bundesgerichthof (German federal court) and to Jef Ausloos for drawing our attention to X and Avrotros v Facebook BV and Facebook Ireland ltd held 15 May 2020. An English summary of that case is here. Note that the Dutch case is one in interlocutory proceedings. Both concern the application of Article 7(2) Brussels IA at the jurisdictional level, and Rome II at the applicable law level, with respect to reputational damage.

In the German Yelp case, a German gym had complained that Yelp’s review algorithm had created a distorted picture of its business. Jurisdiction was established under Article 7(2) Brussels Ia per CJEU Bolagsupplysningen: centre of interests in Germany.  As to applicable law, the pickle is A1(2)(g) Rome II which excludes from its scope of application, “non-contractual obligations arising out of violations of privacy and rights relating to personality, including defamation”.

Under residual German PIL, claimant has a choice between lex locus damni or lex locus delicti commissi. Matthias points to the difficulty: if companies have ‘personality rights’ within the meaning of Rome II (Bolagsupplysningen clearly suggests they do; but that is a jurisdictional case) then the issue ought to be held exempt from Rome II. Except, a big chunk of unfair trading practices consists of thrashing a competitor’s reputation – and A6 Rome II has a specific lex causae for unfair trading practices.

The German court does not address the issue directly for it held that claimant had made an implicit choice for lex locus damni – German law: the same result as Rome II would have had.

In the Dutch case, the Court likewise holds jurisdiction on the basis of centre of interests,  and then squarely applies A4 Rome II’s general lex locus damni rule (the action was based against Facebook, arguing that FB was not taking enough measures to block fake/fraudulent bitcoin ads on its platform).

On the choice of court suggestion of Facebook, the court holds that current dispute is not of a contractual nature and that FB’s contractual choice of court and law does not extend to same; it leaves undecided whether the celebrity at issue can be considered a ‘consumer’ for jurisdictional purposes (their FB use I imagine potentially having developed into, or even started as professional use: see the dynamic nature per CJEU C-498/16 Schrems). There must be more argument in there.

Interesting cases, with both courts cutting corners.

Geert.

A reminder: Austrian courts apply CJEU Eva Glawischnig-Piesczek v Facebook ruling. Limits removal to national territory only but does not rule out worldwide removal on principle.

I had already reported in March on the first application of the CJEU C-18/18 Eva Glawischnig-Piesczek v Facebook ruling in an update to my post on the latter. I thought I’ld add a separate post on the ruling for it, well, deserves it: the court held that orders based on Austrian copyright are limited to Austria (given copyright’s territorial limitations), but if they are based on personal rights, the claimant has to specify the requested territorial reach (so potentially global).

IPKat have further analysis here. As one or two of us discussed at the time of the CJEU ruling: the infringement of personality rights angle is an important one.

Geert.

(Handbook of) EU Private International Law, 2nd ed. 2016, Chapter 2, Heading 2.2.8.2, Heading 2.2.8.2.5.

Cyberinsults over patents, unfair competition and jurisdiction. The Paris Court of Appeal in Manitou v JCB.

In Manitou v J.C. Bamford Excavators, (defendant is better known as ‘JCB’ which in England is an eponym for ‘digger’ or excavator) the Paris Court of Appeal held that French Courts have jurisdiction in an interesting tale of patent insults. JCB (England incorporated) had obtained a French injunction against Manitou (domiciled at France) obliging it to halt production of one of its products possibly in violation of a JCB patent. On the eve of an important trade fair taking place in France, JCB boasted about the injunction in a Twitter, Linked-in and website post. Manitou argue the post was insulting and an act of unfair competition.

Manitou claim jurisdiction on the basis of A7(2) BIa, special jurisdiction for tort, per CJEU C-618/15 Concurrences /Samsumg /Amazon, which I reviewed here. It refers to all sites on which the news was posted being accessible in France (Pinckney would have been strong authority here); to the post discussing a French judgment which is only aimed at and enforceable in France; and that its publication was timed to coincide with the aforementioned French fair. JCB on the other hand argue mere accessibility does not suffice and that the sites did not target readers in France.

The Court refers both to Shevill and to Concurrences; decides that the very fact that the site was published in English does not insulate it from French jurisdiction (seeing also that plenty of potential clients looking to buy from Manitou at the time would have been in France for the fair); and that the publication clearly would have affected the brand’s reputation in France and also its sales there. Jurisdiction therefore established.

Geert.

(Handbook of) European private international law, 2nd ed. 2016, Chapter 2, Heading 2.2.11.2

High Court confirms refusal to sue Google in the UK for its (alleged) assistance to hotlinkers: Wheat v Alphabet /Google Inc and Monaco Telecom.

I have earlier reviewed the decision of Chief Master Marsh in [2018] EWHC 550 (Ch) Wheat v Alphabet /Google Inc and Monaco Telecom. In Wheat v Google LLC [2020] EWHC 27 (Ch), this decision was confirmed upon appeal (on the copyright issues see here).

Google is involved in the litigation because claimant alleges that Google’s search engine algorithm has done little to address hotlinking practice, which, it is said, facilitates copyright infringement.

Both cases are a good example of the standards for serving out of jurisdiction, essentially, to what degree courts of the UK should accept jurisdiction against non-UK defendants (here: with claimants resident in the UK). The Brussels I Recast Regulation is not engaged in either cases for neither Monaco nor Alphabet are EU based. Mr Wheat is resident in England and his business is based in England. Any damage as a result of hotlinkers’ infringement of his copyright is very likely to be and to have been suffered in England; there is in fact evidence that damage has been suffered. It is also clear to Keyser J that England is clearly the appropriate forum and a forum non conveniens argument therefore going nowhere. However the case to answer by Google, like Marsh CM concluded, is simply too weak nay non-existant: following extensive review of secondary EU law and CJEU copyright law, Keyser J holds that the acts complained of against Google cannot be unlicensed communications, because they are not communications to a new public (all potential users of the unrestricted Website constituting one public, so far as concerns a case involving communication via hotlinking) and are not communications by a new technical means (the internet constituting a single technical means).

No case to answer by Google. No service out of jurisdiction.

Geert.

 

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