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DENMARK

Since May 2018
Since June 2020

Pillar Cross-border data policies  |  Sub-pillar Ban to transfer and local processing requirement
Danish Data Protection Act

Danish Executive Order No. 1104 of 30 June 2020
Section 3(9) of the Danish Data Protection Act mandates the Minister of Justice to lay down rules requiring that personal data processed in specific IT systems, which are held for the public administration, must be kept in whole or in part in Denmark. In 2020, the Danish Minister of Justice issued Danish Executive Order No. 1104 of 30 June 2020, which states that the following IT systems shall be maintained in Denmark:
- DeMars: the Defence Management and Resource Control System;
- Digital Post: the system to digitally provide all post from Danish authorities to citizens;
- MitID: Denmark’s digital ID;
- NemLog-in3: online public self-service solutions;
- Statens Lønløsning: the systems to manage salary and pension payments to all government employees.
Coverage Certain IT systems held for the public administration

DENMARK

Since January 2012

Pillar Telecom infrastructure and competition  |  Sub-pillar Presence of independent telecom authority
Presence of independent telecom authority
It is reported that the Danish Business Authority (DBA), the executive authority for the supervision and administration of services in the telecommunications sector, is independent from the government in the decision-making process.
Coverage Telecommunications sector

DENMARK

N/A

Pillar Telecom infrastructure and competition  |  Sub-pillar Functional/accounting separation for operators with significant market power
Lack of mandatory functional separation for dominant network operators
It is reported Denmark does not mandate functional separation for operators with significant market power (SMP) in the telecom market. However, accounting separation can be mandated in relation to certain price control mechanisms – only on SMP operators.
Coverage Telecommunications sector

DENMARK

Since May 2014

Pillar Telecom infrastructure and competition  |  Sub-pillar Passive infrastructure sharing obligation
Directive 2014/61/EU on measures to reduce the cost of deploying high-speed electronic communications networks
It is reported that passive sharing is mandated in Denmark, and it is practiced in the mobile and fixed sectors based on commercial agreements. In addition, Directive 2014/61/EU (Art. 3.2) establishes that Member States shall ensure that, upon written request of an undertaking providing or authorised to provide public communications networks, any network operator has the obligation to meet all reasonable requests for access to its physical infrastructure under fair and reasonable terms and conditions, including price, with a view to deploying elements of high-speed electronic communications networks. Such written request shall specify the elements of the project for which the access is requested, including a specific time frame.
Coverage Telecommunications sector

DENMARK

Since June 2016
Since 2018

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Effective protection covering trade secrets
Directive (EU) 2016/943 of the European Parliament and of the Council of 8 June 2016 on the protection of undisclosed know-how and business information (trade secrets)

Trade Secrets Act (2018)
The Directive 2016/943 on the protection of undisclosed know-how and business information (trade secrets) is key in harmonising national laws concerning trade secrets. In 2018, Denmark updated its Trade Secret Legislation. Trade secrets were previously protected in the Marketing Act and in other laws, but as a consequence of the EU Trade Secrets Directive, the rules have largely been compiled into one law, the Trade Secrets Act. The new Act introduces a definition of trade secrets, legal remedies and compensation.
Coverage Horizontal

DENMARK

Since March 2010

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Signature of the WIPO Performances and Phonogram Treaty
WIPO Performances and Phonograms Treaty
Denmark has ratified the World Intellectual Property Organization (WIPO) Performances and Phonograms Treaty.
Coverage Horizontal

DENMARK

Since March 2010

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Signature of the WIPO Copyright Treaty
WIPO Copyright Treaty
Denmark has ratified the World Intellectual Property Organization (WIPO) Copyright Treaty.
Coverage Horizontal

DENMARK

Since May 2001
Since 2001

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Copyright law with clear exceptions
Directive 2001/29/EC

Consolidate Act on Copyright
There is no general principle for the use of copyright protected material comparable to the fair use/fair dealing principles. Directive 2001/29/EC defines an optional, but exhaustive set of limitations from the author´s exclusive rights under the control of the “three-step test” in line with the Berne Convention that establishes three cumulative conditions to the limitations and exceptions of a copyright holder’s rights. The Directive has been transposed by Member States with significant freedom.
In general, the Danish copyright regulation corresponds to the scope of exceptions and limitations set out in the Copyright Directive. Accordingly, the three-step test originating in the Berne Convention applies to all the provided exceptions and limitations. Chapter 2 of the Danish Consolidate Act on Copyright contains a comprehensive list of copyright exceptions.
Coverage Horizontal

DENMARK

Since December 1978

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Participation in the Patent Cooperation Treaty
Patent Cooperation Treaty (PCT)
Denmark is a party to the Patent Cooperation Treaty (PCT).
Coverage Horizontal

DENMARK

Since January 2019

Pillar Intellectual Property Rights (IPRs)  |  Sub-pillar Practical or legal restrictions related to the application process for patents
Consolidate Patents Act (2019)
Pursuant to Article 11 of the Consolidate Patents Act (2019), the Patent and Trademark Office may invite the applicant to appoint a patent agent residing in the European Economic Area (EEA) to represent the applicant in all matters relating to the application. Moreover, it is reported that it is highly recommended for foreign applicants to perform patent prosecution in Denmark through a local agent, a registered Danish patent attorney.
Coverage Horizontal

DENMARK

Since March 2019
Since September 2021

Pillar Foreign Direct Investment (FDI) in sectors relevant to digital trade  |  Sub-pillar Screening of investment and acquisitions
Regulation 2019/452 establishing a framework for the screening of foreign direct investments

Investment Screening Act
Under the Regulation 2019/452, Member States may maintain their existing investments screening mechanisms (21 Member States currently do), adopt new ones or remain without such national mechanisms. The Commission keeps an up-to-date list of screening laws in the EU. Member States must notify the Commission who may issue an opinion when an investment threatens the security or public order of more than one Member State, or when an investment could undermine a strategic project or programme of interest to the whole EU, such as Horizon 2020 or Galileo. The final decision remains with the Member State.
The Investment Screening Act covers foreign direct investments in Denmark. Foreign investors must apply for authorisation from the Danish Business Authority if they intend to directly or indirectly acquire at least 10% of the shareholdings or voting rights in a company or entity domiciled in Denmark, and the Danish company or entity belongs to particularly sensitive sectors in relation to national security or public order. These sectors include IT security functions, publicly accessible electronic communications networks and services, central data storage, satellite, radio and television transmission, central public digital identification, common public master data, including geodata, personal registration and central business registration, as well as critical technology, such as artificial intelligence for autonomous vessels and machine learning for biometric identification.
Pursuant to the Investment Screening Act, the Danish Business Authority may carry out further investigation if an investment has been made without authorisation in violation of the Act. The Authority can then either order the violation to be brought to an end, i.e. authorisation must be applied for within a specified period, or the investment must be stopped by a given date. Notification is voluntary for investments in other sectors that will achieve at least 25% of the shareholding or voting rights or equivalent controls by other means, and where the investment may pose a threat to national security or public order.
Coverage Horizontal
Sources

DENMARK

Since December 2015

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Public Procurement Act (2015)
The Danish Public Procurement Act (part 1, section 3) states that a contracting authority shall treat economic operators or services from member states of the European Union or the European Economic Area equally to Danish economic operators and services. Economic operators and services from other countries shall also be treated equally to Danish operators, to the extent that this follows from international obligations incumbent on Denmark or the European Union.
Coverage Horizontal

DENMARK

Since March 2004, last amended in February 2014
Since December 2015

Pillar Public procurement of ICT goods and online services  |  Sub-pillar Other limitations on foreign participation in public procurement
Utilities Directive (2014/25/EU)

Public Procurement Act (2015)
Art. 85 of the Utilities Directive (2014/25/EU) contains provisions allowing contracting public entities to reject foreign goods not covered by any EU international commitments from its tender procedures. In these cases, a tender submitted for the award of a supply contract may be rejected where the proportion of the products originating in third countries exceeds 50% of the total value of the products constituting the tender (Art. 85.2). Additionally, in cases of equivalent offers, the provisions provide for a preference for European tenders and tenders covered by EU's international obligations. In practice, this possibility has rarely been used.
Although the Danish Public Procurement Act has not directly included Art. 85 of the Utilities Directive (2014/25/EU), it states that contracting entities shall comply with the provisions of the Utilities Directive.
Coverage Selected products including software used in telecommunication network equipment

EUROPEAN UNION

Since April 2016, entry into force in May 2018

Pillar Online sales and transactions  |  Sub-pillar Local presence requirement for digital services providers
General Data Protection Regulation (EU) 2016/679
Art. 27 of the General Data Protection Regulation (EU) 2016/679 requires a local representative for data controllers or processors not established in the EU.
Coverage Horizontal

EUROPEAN UNION

Since May 2018

Pillar Online sales and transactions  |  Sub-pillar Local presence requirement for digital services providers
Directive (EU) 2016/1148 concerning measures for a high common level of security of network and information systems
Art. 18 (2) of Directive (EU) 2016/1148 establishes a local presence requirement, through the designation of a representative, for digital services providers not established in the Union, but offering digital services within the Union. The types of digital services for the purposes of Art. 18 (2), referred to in Annex III, are: online marketplace, online search engine and cloud computing services.
Coverage Online marketplace, online search engine, cloud computing services