Article 64 Penalties

Member States shall lay down the rules on penalties applicable to infringements of this Regulation and shall take all measures necessary to ensure that they are implemented. The penalties provided for shall be effective, proportionate and dissuasive. Member States shall, without delay, notify the Commission of those rules and measures and shall notify it, without delay, of any subsequent amendment affecting them.

Non-compliance with the essential cybersecurity means cybersecurity as defined in Article 2, point (1), of Regulation (EU) 2019/881; requirements set out in Annex I and the obligations set out in Articles 13 and 14 shall be subject to administrative fines of up to EUR 15000000 or, if the offender is an undertaking, up to 2,5 % of the its total worldwide annual turnover for the preceding financial year, whichever is higher.

Non-compliance with the obligations set out in Articles 18 to 23, Article 28, Article 30(1) to (4), Article 31(1) to (4), Article 32(1), (2) and (3), Article 33(5), and Articles 39, 41, 47, 49 and 53 shall be subject to administrative fines of up to EUR 10000000 or, if the offender is an undertaking, up to 2 % of its total worldwide annual turnover for the preceding financial year, whichever is higher.

The supply of incorrect, incomplete or misleading information to notified bodies means a conformity assessment body designated in accordance with Article 43 and other relevant Union harmonisation legislation; and market surveillance authorities means a market surveillance authority as defined in Article 3, point (4), of Regulation (EU) 2019/1020; in reply to a request shall be subject to administrative fines of up to EUR 5000000 or, if the offender is an undertaking, up to 1 % of its total worldwide annual turnover for the preceding financial year, whichever is higher.

1. the nature, gravity and duration of the infringement and of its consequences;

2. whether administrative fines have been already applied by the same or other market surveillance authorities means a market surveillance authority as defined in Article 3, point (4), of Regulation (EU) 2019/1020; to the same economic operator means the manufacturer, the authorised representative, the importer, the distributor, or other natural or legal person who is subject to obligations in relation to the manufacture of products with digital elements or to the making available of products with digital elements on the market in accordance with this Regulation; for a similar infringement;

3. the size, in particular with regard to microenterprises, ‘small enterprises’ and ‘medium-sized enterprises’ mean, respectively, microenterprises, small enterprises and medium-sized enterprises as defined in the Annex to Recommendation 2003/361/EC; and small and medium sized-enterprises, including start-ups, and the market share of the economic operator means the manufacturer, the authorised representative, the importer, the distributor, or other natural or legal person who is subject to obligations in relation to the manufacture of products with digital elements or to the making available of products with digital elements on the market in accordance with this Regulation; committing the infringement.

Market surveillance authorities means a market surveillance authority as defined in Article 3, point (4), of Regulation (EU) 2019/1020; that apply administrative fines shall communicate that application to the market surveillance authorities means a market surveillance authority as defined in Article 3, point (4), of Regulation (EU) 2019/1020; of other Member States through the information and communication system referred to in Article 34 of Regulation (EU) 2019/1020.

Each Member State shall lay down rules on whether and to what extent administrative fines may be imposed on public authorities means any government or other public administration entity, including national central banks. and public bodies established in that Member State.

Depending on the legal system of the Member States, the rules on administrative fines may be applied in such a manner that the fines are imposed by competent national courts or other bodies according to the competences established at national level in those Member States. The application of such rules in those Member States shall have an equivalent effect.

Administrative fines may be imposed, depending on the circumstances of each individual case, in addition to any other corrective or restrictive measures applied by the market surveillance authorities means a market surveillance authority as defined in Article 3, point (4), of Regulation (EU) 2019/1020; for the same infringement.

1. manufacturers means a natural or legal person who develops or manufactures products with digital elements or has products with digital elements designed, developed or manufactured, and markets them under its name or trademark, whether for payment, monetisation or free of charge; that qualify as microenterprises, ‘small enterprises’ and ‘medium-sized enterprises’ mean, respectively, microenterprises, small enterprises and medium-sized enterprises as defined in the Annex to Recommendation 2003/361/EC; or small enterprises means a financial entity that employs 10 or more persons, but fewer than 50 persons, and has an annual turnover and/or annual balance sheet total that exceeds EUR 2 million, but does not exceed EUR 10 million; with regard to any failure to meet the deadline referred to in Article 14(2), point (a), or Article 14(4), point (a);

2. any infringement of this Regulation by open-source software stewards means a legal person, other than a manufacturer, that has the purpose or objective of systematically providing support on a sustained basis for the development of specific products with digital elements, qualifying as free and open-source software and intended for commercial activities, and that ensures the viability of those products;.