ii. Of direct concern to WhatsApp
As mentioned before, Article 263 (4) TFEU states that any natural or legal person may institute proceedings against an act addressed to that person or which is of direct and individual concern to them, and against a regulatory act which is of direct concern to them and does not entail implementing measures. Thus, for an action to be admissible under this provision, the condition of direct and individual concern must be fulfilled.
According to the Court WhatsApp is indeed individually concerned by the decision, since the decision concerns certain aspects of the draft final decision, which pertain to the situation of that undertaking.
For a natural or legal person to be directly concerned by the decision, two cumulative conditions must be fulfilled.
- The measure must have a direct impact on the legal situation of that person;
- The measure leaves no room for discretion to the addressees who are entrusted with the task of implementing it. It is implemented purely automatic and based solely on EU provisions without the application of other immediate rules.
Relating to the first condition, the Court finds that there in indeed a direct link between the EDPB’s decision and its effects on WhatsApp’s situation. Following the EDPB’s intervention, WhatsApp was required to change its contractual relationship with the users of the messaging service.
With regard to the second condition, the Court determines that the EDPB’s decision is binding on both the lead supervisory authority (DPC), as well as the other supervisory authorities concerned. Both cannot depart from the EDPB’s position, and they are unconditionally bound by it. This pertains to the finding of the infringement as well as the obligation to increase the amount of the envisaged fines
Whilst it is correct that the legal cases in question involve two different legal proceedings, one before the EU judicature (on the basis of Article 263 TFEU and in respect of the binding decision of the EDPB), and the other one before a national court (based on Article 78 GDPR, relating to the binding decision by the national supervisory authority), this does not mean that the effects of the EDPB’s decision should be qualified as ‘indirect’ in relation to WhatsApp.
Consequently, the Court states that the decision at issue is of direct concern to WhatsApp.