Federal Court of Justice plans landmark decision on Facebook data scandal

The Federal Court of Justice (BGH) has announced that it intends to issue a landmark ruling in the form of a leading decision on claims for damages in connection with the massive data leak at Facebook discovered in 2021. In doing so, the BGH is making use of a new legal option that was only recently introduced to the German Code of Civil Procedure (ZPO).

New instrument of the key decision procedure

According to the new Section 552b of the German Code of Civil Procedure (ZPO), the Federal Court of Justice can upgrade an appeal case pending before it to a leading decision case if the appeal raises legal issues whose decision is important for a large number of proceedings. The aim is to relieve the burden on the judiciary and create legal certainty for those affected and those applying the law by clarifying legal issues before the highest court at an early stage in mass proceedings.

The BGH can select a suitable procedure from several appeals pending before it that offers the broadest possible spectrum of unresolved legal issues. This procedure is then designated as the lead decision procedure by way of a ruling. The decision must contain a description of the facts of the case and the legal issues to be decided.

Leading decision also upon termination of proceedings

The special feature: The BGH decides on the legal issues in the form of the leading decision even if the parties withdraw the appeal or the appeal proceedings are settled by means other than a judgment. This is intended to prevent a supreme court ruling from being delayed by the tactical withdrawal of appeals or settlements.

The leading decision is issued by order without an oral hearing and is limited to deciding the relevant legal issues. Although it is not formally binding, it serves as important guidance for the courts of lower instances and the public.

First landmark ruling on the Facebook data scandal

In the Facebook data scandal, tens of thousands of users worldwide have sued the parent company Meta for unauthorized scraping of their personal data. Unknown persons had taken advantage of Facebook’s contact import function to access publicly accessible user data on a large scale. The plaintiffs claim that Meta had not taken sufficient security measures.

The Federal Court of Justice has now designated the appeal proceedings VI ZR 10/24 as the first leading case in this complex ([Pressemitteilung des BGH](https://www.bundesgerichtshof.de/SharedDocs/Pressemitteilungen/DE/2024/2024206.html)). The proceedings, which have been scheduled for November 11, 2024, are intended to clarify fundamental legal issues that are important for a large number of pending proceedings. These include in particular

– Liability requirements for data protection breaches under the GDPR
– Requirements for proof of causal damage
– Claim for compensation for non-material damage such as annoyance and loss of control

The lower courts dealing with similar cases can now suspend their proceedings until the BGH ruling.

Conclusion

The new instrument of the leading decision offers the Federal Court of Justice the opportunity to ensure legal certainty in mass proceedings at an early stage and to relieve the burden on the judiciary. It remains to be seen whether the expectations will be fulfilled in practice. The Facebook data scandal is now the first application case. The BGH’s leading decision is eagerly awaited and is likely to set the tone for a large number of proceedings.