Embedding Laws and Location

First of all I'm sorry if this thread is in the wrong section (I don't know where to put it)

European embedding laws are very lenient in that the embedding of copyrighted content isn't illegal for the embedder (just for the original poster of the content).

are the european laws dependant on if you live in europe? or does your site hosting location determine whether you fall under the european laws or not? I live in europe but don't want to have hosting outside of europe if it means the embedding law would be different for my site.

thanks

tl:dr : does the european embedding laws apply depending on where you live or is it dependant on where your site is hosted?