Jurisdiction(s):
United Kingdom

EWCA clarifies controllers’ GDPR/UK GDPR liability and Article 82 compensation: disclosure not required; unlawful processing suffices; well-founded fear recoverable as non-material damage; Jameel abuse argument rejected

Published on: 08 September 2025

Published by a LexisNexis Information Law expert

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Article summary

Farley and others v Paymaster (1836) Ltd (trading as Equiniti) (Information Commissioner intervening) [2025] EWCA Civ 1117

What are the practical implications of this case?

The court’s confirmation that unlawful processing, by itself, can found a duty to compensate for ensuing damage emphasises the need for controllers to maintain rigorous UK data protection compliance that is well-documented and to record those measures, including clear documentation of steps taken and decisions taken. It also serves as a useful prompt that ‘processing’ spans collection, storage and organisation of personal data, and that even small departures from handling protocols may attract liability. Organisations should reassess incident response frameworks so that appropriate standards for logging, inquiry and remediation also apply to low-level events (for example, misdirected emails), and keep contemporaneous records of investigations and outcomes. Documenting investigation and remediation for seemingly minor mishaps can therefore be critical. The lack of any minimum threshold for non-material harm may encourage more individuals to seek compensation under Article 82 UK GDPR based on anxiety about potential misuse following low-impact mistakes. The ruling further shows that UK courts still look to, and at times place reliance on, Court of Justice of the European Union authority. This signals a...

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