FREE PLC Enforcement Mechanisms & Penalties Questions and Answers

Question 1

Under the GDPR, what is the maximum administrative fine for severe violations?

Accepted Answer

€20 million or 4% of annual global turnover

Answer

€10 million or 2% of annual global turnover

Answer

€15 million or 3% of annual global turnover

Answer

€25 million or 5% of annual global turnover

Question 2

Which U.S. agency is primarily responsible for enforcing consumer privacy laws?

Accepted Answer

Federal Trade Commission (FTC)

Answer

Federal Communications Commission (FCC)

Answer

Department of Justice (DOJ)

Answer

Consumer Financial Protection Bureau (CFPB)

Question 3

What is a common consequence for companies that fail to comply with data protection regulations?

Accepted Answer

Financial penalties and legal actions

Answer

Increased customer trust

Answer

Higher employee retention

Answer

Tax incentives

Question 4

Which of the following is a potential penalty under the CCPA for intentional violations?

Accepted Answer

$7,500 per violation

Answer

$2,500 per violation

Answer

$5,000 per violation

Answer

$10,000 per violation

Question 5

What enforcement action can the FTC take against companies violating privacy agreements?

Accepted Answer

Issue consent decrees

Answer

Issue tax audits

Answer

Revoke business licenses

Answer

Impose import tariffs