Introduction to EU Law

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WW2 and European Integration

After WW2 Europe was ruined and politically divided → this was a catalyst for European integration

4 main branches of European integration:

  • Economic (EEC, ECSC, Euratom)
  • Defence (NATO): this was important at the start of the Cold War
  • Foreign Policy (CFSP)
  • Human Rights, confidence building (CoE, Conference for Security and Cooperation in Europe (later Organisation for Security and Cooperation in Europe))

Although the EU took off in the economic branch it has overtime took on additional power, which has led to the EU looking far different from its origins

Economic Integration

There were two main driving factors of economic integration after WW2:

  • A) The politics of early Cold War: the Truman Doctrine basically supported anyone who stood up to the spread of Communism
  • B) The economic situation of West Europe and the USA: US accounts for ½ of world trade and Europe is a major market for the USA

Marshall Plan (June 1947)

The Marshall Plan was the US plan for the reconstruction of Europe

  • It provided Europe with cash grants and loans: but this would only be given if Europe cooperated and trade barriers were eliminated

Schuman Plan (May 1950)

This proposed to set up an organisation (ECSC - see below) to integrate trade in coal and steel

Schuman believed doing this would promote trade and prevent war

The Plan was also welcomed by Germany as way of regaining independence

European Coal and Steel Community (ECSC) (1951-2012)

Aim to create common market in coal and steel. It was a big success!

Institutional structure of the ECSC:

  • Council: consisted of representatives of the members brought together
  • Assembly: consisted of representatives of the Member States with debate and discussion
  • High Authority: consisted of individuals appointed independently of the Member States
  • Court: crucial in the development of the European Communities

Theoretical foundations of the ECSC

Functionalism: this is the idea that states should collaborate, but in order to work they must all surrender some sovereignty

  • It favours global integration though strong international institutions
  • Integration will then spill over into other areas

Neo-functionalism: functionalism on a smaller scale e.g. Europe

  • This focuses on economic spill over

Following ECSC’s success → Treaty of Rome (EEC and Euratom)

European Economic Community (EEC) (1957)

Aim: to create a common market over a transition period

  • This was done by removing trade barriers and regulation (i.e. common rules applying to all)
  • Long term objectives included economic and monetary policies

Institutional Structure of the EEC:

  • Assembly and Court shared with ECSC
  • Council and High Commission separate: but following the Merger Treaty 1965, the ECSC, EEC, Euratom had the same institutional structure

European Atomic Energy Community (Euratom) (1957)

Aim: the speedy establishment and growth of nuclear industries

Limited impact on: nuclear industry AND on European integration generally

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CONTENT

From common market to international actor

1950s – Article 2 EEC established the European Community's aims (which demonstrated that the Member States wished to integrate on broader terms than just the economy)

1960s – spectacular progress in European integration:

  • Customs union fully established ahead of schedule
  • Reduction of border controls
  • Removal of technical obstacles to trade i.e. tariffs
  • Abolition of restrictions on freedom of establishment and freedom to provide services
  • Decision-making in the Council became more flexible

1970s – integration stalls and there is some stagnation, especially due to a difficult international economic situation at the time

  • Member States return to national solutions and protectionism and the Council prove incapable of dealing with the economic issues at the time

1980s – European integration revived

  • National solutions were no really working so there was a drive by key states (Germany and France) which drove integration
  • Agenda for completion of a common market established driven by Commission White Paper 1985 and President Jaques Delors
  • SEA (Single European Act) 1986 provided the legal framework for completing internal market and improved legislative procedure contained in the Treaty of Rome

Reconceptualisation

  • Political changes and more holistic understanding of internal market led to new areas of integration e.g. labour and safety

2000s – continuity and change, but increasing pressure to adapt to the ever expanding size of the Union

The Treaty Framework: From Rome to Lisbon

Two Competing Visions

Supranationalism: the broad transfer of sovereign power to international institutions and creation of federal structures

Intergovernmentalism: governmental collaboration and consensual decision-making

Treaty of Rome (1957)

The Treaty of Rome is the founding text creating the EEC (European Economic Community)

Four economic freedoms of Community (freedom of movement of services, capital and workers and the freedom of establishment);

Customs union

Harmonisation of laws to create the common market

SEA (1986)

Aim: completion of single market

First comprehensive amendment of the Treaty of Rome

  • Qualified majority voting for legislative harmonisation
  • Environment; research and technological research;
  • Court of First Instance, to assist the Court of Justice;
  • The concept of economic and monetary union

Pillar structure: EEC and European Political Cooperation

  • Supranationalist EEC and intergovernmentalist European Political Cooperation (foreign policy) kept separate under a single text

Maastricht (1992)

Renames EEC the European Community and also creates the European Union through the Treaty on European Union (TEU)

Pillar structure created:

  • European Communities (EC, ECSC, Euratom)
  • Justice and Home Affairs (later PJCC)
  • CFSP (replaced European Political Cooperation)

TEU: Political union; CFSP; union citizenship

EC: Education, public health, culture, consumer protection, trans-European networks, industry and Subsidiarity

Amsterdam (1997)

Prepared Union for expansion

Key changes: fundamental freedoms and Rule of Law; more effective institutional structure for CFSP introduced

Nice (2001)

Changes to the weighting of votes in the Council and the number of seats in the European Parliament (from 1 January 2005)

Extension of powers of the President of the Commission

Reduced number of Commissioners from 2 to 1 for France, Germany, Italy and UK

Lisbon Treaty

Background to the Lisbon Treaty

Amsterdam and Nice fail to resolve political and institutional questions of enlargement: so there was a need for new round of negotiations

Initially, there were calls to put the EU on constitutional foundation: this was proposed via the Constitutional Treaty

  • French and Dutch referenda showed there was little support for the idea - so it was thrown out

The Lisbon Treaty (2009): this led to the EU succeeding the European Communities and the treaty establishing the EC was renamed the Treaty on the Functioning of the European Union (TFEU)

Structure of the TEU (Lisbon)

Title I: Common Provisions → values and objectives of the Union and rights

Title II: Provisions on Democratic Principles → principles of democracy in the EU and the role national parliaments

Title III: Provisions on the Institutions → roles of each of the institutions

Title IV: Provisions on Enhanced Co-operation

Title V: General Provisions on External Action and specific provisions on CFSP

Title VI: Final Provisions → includes legal personality, the scope of the treaty, and the revision procedure

Structure of the TFEU

Part One: Principles → including the areas of Union competence

Part Two: Non-Discrimination and Citizenship

Part Three: Union Policies and Internal Actions → provisions on the internal market, the 4 freedoms (workers, right of establishment, services and capital), agriculture, area of freedom, security and justice, competition, economic and monetary policy, and other areas concerning the functioning of the union

Part Four: Association of Overseas Countries and Territories

Part Five: External Action (other than CFSP)

Part Six: Institutional and Budgetary Provisions;

Part Seven: General and Final Provisions → includes the rights and obligations of the institutions and servants of the union and the member states, the flexibility clause, the scope of the treaty and the suspension of rights of Member States

Membership

Membership requires rights and obligations (e.g. sincere cooperation)

Requirements to be a member set out in Art 49 TEU:

  • Political requirements (to be peace loving); Economic requirements (to withstand economic pressures); Geographical requirement (to actually be in Europe); Procedural requirements

Copenhagen Criteria: defines whether a country can join the EU

  • Stable institutions that guarantee democracy, the rule of law, human rights and respect for and protection of minorities;
  • Functioning market economy; the ability to cope with the pressure of competition; and market forces at work inside the Union;
  • The ability to assume the obligations of membership
  • The ability to put the EU rules and procedures into effect (Madrid European Council 1995)

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