the eu law

7/31/2019 THE EU LAW

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HISTORY OF THE EUROPEAN UNION

Beginnings: war and peace

For centuries, Europe was the scene of frequent and bloody wars. In the period 1870 to 1945, France

and Germany fought each other three times, with terrible loss of life. A number of European leaders

became convinced that the only way to secure a lasting peace between their countries was to unite

them economically and politically.

So, in 1950, in a speech inspired by Jean Monnet, the French Foreign Minister Robert Schuman

proposed integrating the coal and steel industries of Western Europe. A a result, in 1951, the

European Coal and Steel Community (ECSC) was set up, with six members: Belgium, West

Germany, Luxembourg, France, Italy and the Netherlands. Its purpose was to pool the steel and coal

resources of the member states, thus preventing another European war. The power to take decisions

about the coal and steel industry in these countries was placed in the hands of an independent,

supranational body called the "High Authority". Jean Monnet was its first President.

From three Communities to the EU

The ECSC was such a success that, within a few years, these same six countries decided to go further

and integrate other sectors of their economies. In 1957 they signed the Treaties of Rome, creating the

European Atomic Energy Community (EURATOM) and the European Economic Community (EEC).

The member states set about removing trade barriers between them and forming a "common market".

The purpose of the EEC was to establish a customs union among the six founding members, based on

the "four freedoms": freedom of movement ofgoods, services, capital and people. Euratom was to

pool the non-military nuclear resources of the states. The EEC was by far the most important of the

three communities, so much so that it was later renamed simply theEuropean Community.

In 1967 the institutions of the three European communities were merged. From this point on, there

was a single Commission and a single Council of Ministers as well as the European Parliament.

Originally, the members of the European Parliament were chosen by the national parliaments but in

1979 the first direct elections were held, allowing the citizens of the member states to vote for the

candidate of their choice. Since then, direct elections have been held every five years.

The Treaty of Maastricht (1992) introduced new forms of co-operation between the member state

governments - for example on defence, and in the area of "justice and home affairs". By adding this

inter-governmental co-operation to the existing "Community" system, the Maastricht Treaty created

the European Union (EU).

Integration means common policies

Economic and political integration between the member states of the European Union means that

these countries have to take joint decisions on many matters. So they have developed common

policies in a very wide range of fields - from agriculture to culture, from consumer affairs to

competition, from the environment and energy to transport and trade.

In the early days the focus was on a common commercial policy for coal and steel and a common

agricultural policy. Other policies were added as time went by, and as the need arose. Some key

policy aims have changed in the light of changing circumstances. For example, the aim of the

agricultural policy is no longer to produce as much food as cheaply as possible but to support farmingmethods that produce healthy, high-quality food and protect the environment. The need for

environmental protection is now taken into account across the whole range of EU policies.
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The European Union's relations with the rest of the world have also become important. The EU

negotiates major trade and aid agreements with other countries and is developing a Common Foreign

and Security Policy.

The Single Market: banning the barriers

It took some time for the Member States to remove all the barriers to trade between them and to turn

their "common market" into a genuine single market in which goods, services, people and capital

could move around freely. The Single Market was formally completed at the end of 1992, though

there is still work to be done in some areas - for example, to create a genuinely single market in

financial services.

During the 1990s it became increasingly easy for people to move around in Europe, as passport and

customs checks were abolished at most of the EU's internal borders. One consequence is greater

mobility for EU citizens. Since 1987, for example, more than a million young Europeans have taken

study courses abroad, with support from the EU.

The Single Currency: the euro

In 1992 the EU decided to go for economic and monetary union (EMU), involving the introduction of

a single European currency managed by a European Central Bank. The single currency - the euro -

became a reality on 1 January 2002, when euro notes and coins replaced national currencies in twelve

of the 15 countries of the European Union (Belgium, Germany, Greece, Spain, France, Ireland, Italy,

Luxembourg, the Netherlands, Austria, Portugal and Finland).

The growing family

The EU has grown in size with successive waves of accessions.

Denmark, Ireland and the United Kingdom joined in 1973 followed by Greece in 1981,

Spain and Portugal in 1986 and

Austria, Finland and Sweden in 1995.

The European Union welcomed ten new countries in 2004: Cyprus, the Czech Republic,

Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia and Slovenia.

Finally, Bulgaria and Romania in 2007.

Croatia and Turkey began membership negotiations in 2005. To ensure that the enlarged EU can

continue functioning efficiently, it needs a more streamlined system for taking decisions. That is why

the Treaty of Nice lays down new rules governing the size of the EU institutions and the way theywork. It came into force on 1 February 2003. It will be replaced by the new EU Constitution - if all

EU countries approve this.

THE EUROPEAN UNION KEY INSTITUTIONS

THE EUROPEAN PARLIAMENT

The European Parliament (EP) is elected by the citizens of the European Union to represent their interests.

Its origins go back to the 1950s and the founding treaties, and since 1979 its members have been directly

elected by the people they represent.

Elections are held every five years, and every EU citizen who is registered as a voter is entitled to vote.

Parliament thus expresses the democratic will of the Union's citizens (more than 455 million people), and it

represents their interests in discussions with the other EU institutions. The present Parliament, elected in

June 2004, has 732 members from all 25 EU countries
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Members of the European Parliament (MEPs) do not sit in national blocks, but in seven Europe-wide

political groups. Between them, they represent all views on European integration, from the strongly pro-

federalist to the openly Eurosceptic.

The European Parliament has three places of work: Brussels (Belgium), Luxembourg and Strasbourg

(France). Luxembourg is home to the administrative offices (the General Secretariat). Meetings of the

whole Parliament, known as plenary sessions, take place in Strasbourg and sometimes in Brussels.

Committee meetings are also held in Brussels.

Parliament has three main roles:

Passing European laws jointly with the Council in many policy areas. The fact that the EP is

directly elected by the citizens helps guarantee the democratic legitimacy of European law.

Parliament exercises democratic supervision over the other EU institutions, and in particular the

Commission. It has the power to approve or reject the nomination of commissioners, and it has the

right to censure the Commission as a whole.

The power of the purse. Parliament shares with the Council authority over the EU budget and can

therefore influence EU spending. At the end of the procedure, it adopts or rejects the budget in its

entirety.

1. Passing European laws

The most common procedure for adopting EU legislation is codecision. This procedure places the

European Parliament and the Council on an equal footing and it applies to legislation in a wide range of

fields.

In some fields (for example agriculture, economic policy, visas and immigration), the Council alone

legislates, but it has to consult Parliament. In addition, Parliaments assent is required for certain important

decisions, such as allowing new countries to join the EU.

Parliament also provides impetus for new legislation by examining the Commissions annual work

programme, considering what new laws would be appropriate and asking the Commission to put forward

proposals.

2. Democratic supervision

Parliament exercises democratic supervision over the other European institutions. It does so in several ways.

When a new Commission takes office, its members are nominated by the EU member state governments but

they cannot be appointed without Parliaments approval.

Throughout its term of office, the Commission remains politically accountable to Parliament.

More generally, Parliament exercises control by regularly examining reports sent to it by the Commission

(the annual general report, reports on the implementation of the budget, etc.). Moreover, MEPs regularly ask

the Commission questions which the commissioners are legally required to answer.

Parliament also monitors the work of the Council: MEPs regularly ask the Council questions, and the

President of the Council attends the EPs plenary sessions and takes part in important debates.

Parliament can examine petitions from citizens and set up committees of inquiry.

3. The power of the purse

The EUs annual budget is decided jointly by Parliament and the Council. Parliament debates it in two

successive readings, and the budget does not come into force until it has been signed by the President of

Parliament.


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Parliament's Committee on Budgetary Control monitors how the budget is spent, and each year Parliament

decides whether to approve the Commissions handling of the budget for the previous financial year.

THE COUNCIL OF THE EUROPEAN UNION

The Council is the EU's main decision-making body. Like the European Parliament, the Council was set up

by the founding treaties in the 1950s. It represents the member states, and its meetings are attended by one

minister from each of the EUs national governments.

Which ministers attend which meeting depends on what subjects are on the agenda. If, for example, the

Council is to discuss environmental issues, the meeting will be attended by the Environment Minister from

each EU country and it will be known as the Environment Council.

The Council hassix key responsibilities:

To pass European laws jointly with the European Parliament in many policy areas.

To co-ordinate the broad economic policies of the member states.

To conclude international agreements between the EU and other countries or international

organisations.

To approve the EUs budget, jointly with the European Parliament. To develop the EUs Common Foreign and Security Policy (CFSP), based on guidelines set by

the European Council.

To co-ordinate co-operation between the national courts and police forces in criminal matters.

1. Legislation

Much EU legislation is adopted jointly by the Council and Parliament . As a rule, the Council only acts on a

proposal from the Commission, and the Commission normally has responsibility for ensuring that EU

legislation, once adopted, is correctly applied.

2. Co-ordinating the policies of member states

The EU countries have decided that they want an overall economic policy based on close co-ordination

between their national economic policies. This co-ordination is carried out by the economics and finance

ministers.

They also want to create more jobs and to improve their education, health and social protection systems.

Although each EU country is responsible for its own policy in these areas, they can agree on common goals

and learn from each others experience of what works best. This process is called the open method of

coordination, and it takes place within the Council.

3. Concluding international agreements

Each year the Council concludes (i.e. officially signs) a number of agreements between the European

Union and non-EU countries, as well as with international organisations. These agreements may cover broad

areas such as trade, co-operation and development or they may deal with specific subjects such as textiles,

fisheries, science and technology, transport etc.

4. Approving the EU budget

The EUs annual budget is decided jointly by the Council and the European Parliament.

5. Common Foreign and Security Policy

The member states of the EU are working to develop a Common Foreign and Security Policy (CFSP). But

foreign policy, security and defence are matters over which the individual national governments retain

independent control. They have not pooled their national sovereignty in these areas, so Parliament and the
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European Commission play only a limited role here. However, the EU countries have much to gain by

working together on these issues.

To enable it to respond more effectively to international crises, the European Union has created a Rapid

Reaction Force. This is not a European army: the personnel remain members of their national armed forces

and under national command, and their role is limited to carrying out humanitarian, rescue, peacekeeping

and other crisis management tasks.

6. Freedom, security and justice

EU citizens are free to live and work in whichever EU country they choose, so they should have equal access

to civil justice everywhere in the European Union.

Freedom of movement within the EU is of great benefit to law-abiding citizens, but it is also exploited by

international criminals and terrorists. To tackle cross-border crime requires cross-border co-operation

between the national courts, police forces, customs officers and immigration services of all EU countries.

They have to ensure, for example: that the EUs external borders are effectively policed; that customs

officers and police exchange information on the movements of suspected drugs traffickers or people

smugglers; that asylum seekers are assessed and treated in the same way throughout the EU.

THE EUROPEAN COMMISSION

The Commission is independent of national governments. Its job is to represent and uphold the interests of

the EU as a whole. It drafts proposals for new European laws, which it presents to the European Parliament

and the Council. It is also called the EUs executive arm in other words, it is responsible for implementing

the decisions of Parliament and the Council

Like the Parliament and Council, the European Commission was set up in the 1950s under the EUs

founding treaties. The seat of the Commission is in Brussels (Belgium), but it also has offices in

Luxembourg, representations in all EU countries and delegations in many capital cities around the world.

The European Commission hasfour main roles:

to propose legislation to Parliament and the Council;

to manage and implement EU policies and the budget;

to enforce European law (jointly with the Court of Justice);

to represent the European Union on the international stage, for example by negotiating

agreements between the EU and other countries.

1. Proposing new legislation

The Commission has the right of initiative. In other words, the Commission alone is responsible for

drawing up proposals for new European legislation, which it presents to Parliament and the Council.

Before making any proposals, the Commission must be aware of new situations and problems developing in

Europe and it must consider whether EU legislation is the best way to deal with them.

The Commission will propose action at EU level only if it considers that a problem cannot be solved more

efficiently by national, regional or local action. This principle of dealing with things at the lowest possible

level is called the subsidiarity principle.

2. Implementing EU policies and the budget

As the European Union's executive body, the Commission is responsible for managing and implementing the

EU budget. Most of the actual spending is done by national and local authorities, but the Commission is

responsible for supervising it under the watchful eye of the Court of Auditors. Both institutions aim to

ensure good financial management.
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The Commission also has to manage the policies adopted by Parliament and the Council, such as the

Common Agricultural Policy. Another example is competition policy, where the Commission has the power

to authorise or prohibit mergers between companies. The Commission also has to make sure that EU

countries do not subsidise their industries in such a way as to distort competition.

3. Enforcing European law

The Commission acts as guardian of the Treaties. This means that the Commission, together with the Court

of Justice, is responsible for making sure EU law is properly applied in all the member states.

It launches a process called the infringement procedure. This involves sending the government an official

letter, saying why the Commission considers this country is infringing EU law and setting it a deadline for

sending the Commission a detailed reply.

If this procedure fails to put things right, the Commission must then refer the matter to the Court of Justice,

which has the power to impose penalties. The Courts judgments are binding on the member states and the

EU institutions.

4. Representing the EU on the international stage

The European Commission is an important mouthpiece for the European Union on the international stage. It

enables the member states to speak with one voice in international forums such as the World Trade

Organization. The Commission also has the responsibility ofnegotiating international agreements on behalf

of the EU.

THE COURT OF JUSTICE

The Court of Justice of the European Communities (often referred to simply as the Court) was set up under

the ECSC Treaty in 1952. It is based in Luxembourg.

Its job is to make sure thatEU legislation is interpreted and applied in the same way in all EU countries, so

that the law is equal for everyone. It ensures, for example, that national courts do not give different rulingson the same issue. The Court also makes sure that EU member states and institutions do what the law

requires. The Court has the power to settle legal disputes between EU member states, EU institutions,

businesses and individuals.

The Court is composed of one judge per member state, so that all 25 of the EUs national legal systems are

represented. For the sake of efficiency, however, the Court rarely sits as the full court. It usually sits as a

Grand Chamber of just 13 judges or in chambers of five or three judges.

The Court is assisted by eight advocates-general. Their role is to present reasoned opinions on the

cases brought before the Court. They must do so publicly and impartially.

The judges and advocates-general are people whose impartiality is beyond doubt. They have thequalifications or competence needed for appointment to the highest judicial positions in their home countries.

They are appointed to the Court of Justice by joint agreement between the governments of the EU member

states. Each is appointed for a term of six years, which may be renewed.

To help the Court of Justice cope with the large number of cases brought before it, and to offer citizens better

legal protection, the Court of First Instancewas created in 1989. This Court (which is attached to the Court

of Justice) is responsible for giving rulings on certain kinds of case, particularly actions brought by private

individuals, companies and some organisations, and cases relating to competition law.

The Court of Justice and the Court of First Instance each have a President, chosen by their fellow-judges to

serve for a renewable term of three years.

The Courtgives rulings on cases brought before it. Thefour most common types of case are:

references for a preliminary ruling;

actions for failure to fulfil an obligation;

actions for annulment;
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actions for failure to act.

1. The preliminary ruling procedure

The national courts in each EU country are responsible for ensuring that EU law is properly applied in that

country. But there is a risk that courts in different countries might interpret EU law in different ways.

To prevent this happening, there is a preliminary ruling procedure. This means that if a national court is in

any doubt about the interpretation or validity of an EU law it may, and sometimes must, ask the Court ofJustice for advice. This advice is given in the form of a preliminary ruling.

2. Proceedings for failure to fulfil an obligation

The Commission can start these proceedings if it has reason to believe that a member state is failing to fulfill

its obligations under EU law. These proceedings may also be started by another EU country.

In either case, the Court investigates the allegations and gives its judgment. The accused member state, if it is

indeed found to be at fault, must set things right at once. If the Court finds that the member state has not

complied with its judgment, it may impose a fine on that country.

3. Actions for annulment

If any of the member states, the Council, the Commission or Parliament believes that a particular EU law is

illegal they may ask the Court to annul it.

These actions for annulment can also be used by private individuals who want the Court to cancel a

particular law because it directly and adversely affects them as individuals.

If the Court finds that the law in question was not correctly adopted or is not correctly based on the Treaties,

it may declare the law null and void.

4. Actions for failure to act

The Treaty requires the European Parliament, the Council and the Commission to make certain decisions

under certain circumstances. If they fail to do so, the member states, the other Community institutions and

sometimes even individuals or companies can lodge a complaint with the Court so as to have this failure to

act officially recorded.

The European Court of Auditors

The Court of Auditors was set up in 1975. It is based in Luxembourg. The Courts job is to check that

EU funds, which come from the taxpayers, are properly collected and that they are spent legally,

economically and for the intended purpose. Its aim is to ensure that the taxpayers get maximum value

for their money, and it has the right to audit any person or organisation handling EU funds.

The Court has one member from each EU country, appointed by the Council for a renewable term ofsix years. The members elect one of their number as President for a renewable term of three years.

Vtor Manuel da Silva Caldeira, from Portugal, was elected President in January 2008.

The Courts main role is to check that the EU budget is correctly implemented in other words, that

EU income and expenditure is legal and above board and to ensure sound financial management. So

its work helps guarantee that the EU system operates efficiently and openly.

To carry out its tasks, the Court investigates the paperwork of any person or organisation handling EU

income or expenditure. It frequently carries out on-the-spot checks. Its findings are written up in

reports which bring any problems to the attention of the Commission and EU member state

governments.

To do its job effectively, the Court of Auditors must remain completely independent of the other

institutions but at the same time stay in constant touch with them.

One of its key functions is to help the European Parliament and the Council by presenting them every

year with an audit report on the previous financial year. Parliament examines the Courts report in

detail before deciding whether or not to approve the Commissions handling of the budget. If
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satisfied, the Court of Auditors also sends the Council and Parliament a statement of assurance that

European taxpayers' money has been properly used.

Finally, the Court of Auditors gives its opinion on proposals for EU financial legislation and for EU

action to fight fraud.

THE EUROPEAN UNION LEGISLATION

Originally, the European Community (EC) dealt mainly with economic and trade matters. The European

Commission and the European Court of Justice, both independent from the EC governments, had a lot of

power within the system. The European Parliament, which was directly elected by the citizens of the EC

member states, also had some power. The Governments controlled the remainder of the power, but since the

mid-1980s had increasingly been doing so through majority votes. This system was called the Community

method, or supranationalism, since international institutions not directly controlled by the governments

wielded a lot of power, and members could have decisions they disagreed with imposed upon them through

majority votes.

It was desired to add competencies in foreign policy, military and criminal matters to the European

Community. However, many member states considered that these areas were too sensitive to be managed bythe mechanisms of the European Community, and that the power of governments in relation to these areas

had to be stronger than the powers of governments in the European Community. That is, an

intergovernmental, as opposed to supranational, system would have to be used. Other member states feared

that this might threaten the power of the independent supranational institutions (the European Commission,

European Court of Justice and European Parliament) in relation to the economic matters then dealt with by

the European Community. The three pillar structure was then developed to isolate the traditional Community

responsibilities in the area of the economy (the Community Pillar) from the new competencies in the areas of

foreign policy and military matters (the CFSP pillar) and criminal matters (the JHA pillar).

The distinction between European Community (EC) law and European Union law is that based on the

treaty structure of the European Union. The European Community constitutes one of the 'three pillars' of the

European Union and concerns the social and economic foundations of the single market. The second and thethird pillars were created by the Treaty of the European Union (the Maastricht Treaty) and involve Common

Security and Defence Policy and Internal Security. Decision making under the second and third pillars is not

subject to majority voting at present. The Maastricht Treaty created the Justice and Home Affairs pillar as

the third pillar. Subsequently, the Treaty of Amsterdam transferred the areas of illegal immigration, visas,

asylum, and judicial co-operation to the European Community (the first pillar). Now Police and Judicial Co-

operation in Criminal Matters is the third pillar. Justice and Home Affairs now refers both to the fields that

have been transferred to the EC and the third pillar.

AcquiscommunautaireThe whole body of EU law is together called theacquis communautaire, broken into 31 chapters for purposesof accession negotiations.

Legislative procedures

There are three main legislative procedures in the European Union, with the main difference between them

being how the European Parliament interacts with the Council of the European Union: 1) Codecision

procedure; 2) Assent procedure; 3) Consultation procedure.

PRIMARY LEGISLATION

The treaties constitute the European Unions primary legislation, which is comparable to constitutional law

at national level. The treaties themselves are the subject of direct negotiations between the governments of

the Member States, after which they have to be ratified in accordance with the procedures applying at

national level (in principle by the national parliaments or by referendum).

Treaty establishing the European Coal and Steel Community
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The Treaty establishing the European Coal and Steel Community (ECSC Treaty) is the oldest of the

European Communitys three founding treaties.

It was signed in Paris on 23 July 1952 and expired on 23 July 2002, as it had been concluded for a period of

50 years.

The purpose of the treaty was to set up a common market in coal and steel, and this formula was meant to be

gradually extended to other areas of the economy. The coal and steel sectors now come under the ordinary

regime of the EC Treaty.

Treaty establishing the European Atomic Energy Community (Euratom)

The Treaty establishing the European Atomic Energy Community (Euratom Treaty) was signed in Rome on

25 March 1957 and came into force on 1 January 1958 at the same time as the EEC Treaty

The aim of the Euratom Treaty was to coordinate the research programmes already undertaken or planned by

the Member States for the peaceful use of nuclear energy. This treaty has now in a sense been absorbed into

the EC Treaty.

Treaty establishing the European Community (EC Treaty)

The main purpose of the Treaty establishing the European Community (EC Treaty) was to bring about the

gradual integration of the States of Europe and to establish a common market founded on the four freedoms

of movement (for goods, services, people and capital) .

Treaty on European Union (EU Treaty)

The Treaty on European Union (EU Treaty) pursues two main objectives: the creation of a monetary union

by laying down the principles and arrangements for the introduction of the euro and the creation of an

economic and political union. This is the treaty that originated the concept of a three-pillar structure, the first

pillar consisting of the European Community and the other two of the common foreign and security policy

and police and judicial cooperation in criminal matters.

The original EU Treaty (the Treaty of Maastricht) came into force on 1 November 1993 and has been

amended successively by the Treaty of Amsterdam, which came into force in 1999, and the Treaty of Nice,

which came into force on 1 February 2003.

Accession Treaties

The European Union has been enlarged six times: the six founder members (Belgium, Germany, France,

Italy, Luxembourg and the Netherlands) were joined in 1973 by Denmark, Ireland and the United Kingdom,

in 1981 by Greece, in 1986 by Spain and Portugal, in 1995 by Austria, Finland and Sweden and in 2004 by

the Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovakia and Slovenia aswell as Romania and Bulgaria in 2007.

The Accession Treaties contain the terms laid down for the new countries accession to the European Union

and the necessary adjustments to the treaties on which the Union is founded.

Treaty establishing a Constitution for Europe

This deserves special mention: approved by the Heads of State or Government on 18 June 2004 and signed

on 29 October 2004, the treaty has yet to be ratified by all the Member States of the European Union before

it enters into force.

Other treaties and protocols

The Single European Actwas signed on 28 February 1986 and came into force on 1 July 1987. Its purpose

was the completion, by 31 December 1992 at the latest, of the Single European Market, i.e. an area within
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