REGIONAL ECONOMIC INTEGRATION: THE EU AND BEYOND
TOPIC 1: HISTORY AND THE INSTITUTION OF THE EU__________________________ 4
1. BRIEF HISTORY OF THE EUROPEAN UNION___________________________ 4
2. THE CREATION OF THE EUROPEAN UNION:___________________________ 4
TOPIC 2: POWER, INSTITUTIONS AND DECISION MAKING_______________________9
DIVISON OF COMPETENCES BETWEEN THE EU AND MEMBER STATES________ 9
1. Exclusive Competences (Article 3 TFEU) – Only the EU can legislate__________9
2. Shared Competences (Article 4 TFEU) – Both the EU and Member States can
legislate____________________________________________________________ 9
3. Supporting Competences (Article 6 TFEU) – The EU can only assist Member
States_____________________________________________________________ 9
4. Principles Governing the Exercise of Competences (Article 5 TEU)___________10
INSTITUTIONS________________________________________________________ 10
1. The Institutions and Other Union Bodies________________________________10
2. Functions of Government in the EU___________________________________ 10
3. Power Sharing in the EU:___________________________________________ 16
LEGISLATIVE PROCEDURES, EXECUTIVE POWERS AND MEMBERSHIP_______ 17
1. The Legislative Framework of the EU:_________________________________ 17
2. Types of EU Competences: (As defined in Articles 2-6 TFEU, reinforced by the
Treaty of Lisbon)____________________________________________________ 17
3. EU Legislative Acts:_______________________________________________ 17
4. The EU Legislative Process (Ordinary vs. Special Procedures)______________ 18
5. Principles Governing EU Legislation___________________________________ 18
6. Enforcement of EU Law____________________________________________ 18
7. Admission Procedure (Article 49 TEU)_________________________________ 19
8. Suspension of Membership (Article 7 TEU)_____________________________ 19
9. Withdrawal from the EU (Article 50 TEU) – Brexit Case____________________ 19
TOPIC 3: THE EU’S LEGAL ORDER_________________________________________ 21
SOURCES OF THE UNION LAW:_________________________________________ 21
Primary sources of law:_______________________________________________ 21
1. Treaties as the Primary Source____________________________________ 21
2. Amendments and Additional Treaties_______________________________ 21
3. Protocols and Declarations_______________________________________ 21
1. Function and Status of General Principles in EU Law___________________22
2. Examples of General Principles___________________________________ 22
A. Principle of Equality and Non-Discrimination______________________ 22
B. Fundamental Rights as General Principles________________________23
3. Scope of Enforcement of the Charter of Fundamental Rights (CFREU)_____ 23
Enforcement and Limitations_____________________________________ 23
Secondary sources of the EU:__________________________________________25
Voting Procedures in the EU________________________________________ 26
Delegated Acts (Article 290 TFEU)______________________________________ 26
Implementing Acts (Article 291 TFEU)___________________________________ 26
1
, Case law of he Court of justice of the European Union:______________________ 27
1. How the CJEU Develops EU Law_____________________________________ 27
2. Key Principles from CJEU Case Law__________________________________ 27
3. Why is the CJEU’s Case Law Important?_______________________________ 27
International agreements:_____________________________________________ 27
Types of International Agreements:______________________________________27
Legal Effect:_______________________________________________________ 27
- Binding on EU and Member States → Must comply with agreed terms.________ 27
- Enforceable by the CJEU → Ensures conformity with EU law.________________27
- Influences EU Law → Some agreements become part of the EU legal order.____ 27
The EU’s power to make international agreements strengthens its global role but can
create tensions with Member States over sovereignty._______________________ 27
THE RELATIONSHIP BETWEEN UNION LAW AND NATIONAL LEGAL SYSTEMS: 28
The Original Position → The founding treaties did not clarify the status of EU law
within Member States, leading to different interpretations:____________________ 28
The Doctrine of Supremacy of EU Law___________________________________ 28
1. Creation of the Doctrine____________________________________________ 28
2. Development of the Doctrine_________________________________________29
The Doctrine of the direct effect:________________________________________ 30
1. Direct Applicability of EU Law in National Courts_________________________ 30
2. EU Law Supremacy and its Effect in National Courts______________________ 31
3. Limitations and Challenges in Direct Applicability_________________________ 31
i. Clear and Precise_______________________________________________ 31
ii. Unconditional__________________________________________________ 32
iii. Not Subject to Further Implementing Measures_______________________ 32
Direct Effect of Different Sources of Union Law_______________________________ 32
1. The Doctrine of Direct Effect____________________________________________ 32
2. Direct Effect of Treaty Articles___________________________________________ 32
3. Direct Effect of Regulations_____________________________________________33
4. Direct Effect of Decisions______________________________________________ 33
5. Direct Effect of International Agreements__________________________________ 33
6. Direct Effect of Directives______________________________________________ 33
Key Cases on Direct Effect of Directives:_________________________________ 33
7. Problems with the Lack of Horizontal Direct Effect for Directives________________ 33
Enforcement Principles in Member States_____________________________ 35
Development of the Doctrine of Indirect Effect_____________________________ 35
Key Cases in Indirect Effect___________________________________________ 35
Limits on Indirect Effect____________________________________________ 35
Marleasing and Expansion of Indirect Effect____________________________ 35
‘Incidental’ or ‘Triangular’ Effect________________________________________ 35
Additional Considerations_____________________________________________ 36
Francovich Principle (State Liability for Damages)_____________________________ 37
Conditions for Member State Liability (Francovich Test)______________________ 38
Expansion of the Francovich Principle______________________________________ 38
2
, Brasserie du Pêcheur & Factortame III (Cases C-46/93 & C-48/93)_____________38
Definition of "Sufficiently Serious Breach"____________________________________38
Judicial Liability: Case C-224/01, Köbler v Austria_____________________________ 38
Parallel to EU Institution Liability (Art. 340 TFEU)______________________________38
Extension to Private Parties (C-453/99, Courage v Crehan)______________________38
TOPIC 4: ENFORCING UNION LAW__________________________________________ 39
Enforcing EU law rights before national courts_____________________________ 39
Preliminary references and rulings:______________________________________42
Enforcement actions against the member states: (Art, 258 to 260 TFEU)________ 47
Actions against EU institutions: Judicial Review of the acts and commissions of union
bodies:____________________________________________________________50
CASE STUDIES:_________________________________________________________ 58
People’s climate case:___________________________________________________58
Sabena: (Horizontal direct effect):__________________________________________60
Van gend loos (Direct effect):_____________________________________________ 66
Direct effect of directives - (Marshall):_______________________________________72
Primacy of the EU Law ( (Costa v. ENEL, Simmenthal)_________________________ 75
3
, TOPIC 1: HISTORY AND THE INSTITUTION OF THE EU
1. BRIEF HISTORY OF THE EUROPEAN UNION
- 1957 The European economic community (ECC) is created by the treaty of rome
- 1993 The EEC becomes known as the european community (EC) following the enactment of the treaty
of european union (also known as the Maastricht treaty)
- 2010 The EC becomes known as the european union (EU) following the enactment of changes
introduced by the treaty of Lisbon
2. THE CREATION OF THE EUROPEAN UNION:
- 1945: End of World War II → Europe devastated, need for peace and economic recovery.
- 1948: Marshall Plan → U.S. financial aid to rebuild Europe, requiring cooperation.
- 1948: Organisation for Economic Co-operation (OEEC) formed to manage aid.
- 1949: NATO established → Military alliance for Western European defense.
The Council of Europe (1949) The European Coal and Steel Community (ECSC)
(1951)
● Intergovernmental organisation, separate ● A functional approach to integration:
from the EU. started with coal and steel industries.
● Adopted the European Convention on ● Aimed to stabilise Franco-German relations
Human Rights (ECHR). and prevent secret rearmament.
● Established the European Court of Human ● Treaty of Paris (1951) established ECSC.
Rights (ECtHR). - Founding members: France, Germany, Italy,
● Focus on human rights but lacked economic Belgium, Luxembourg, Netherlands. UK
and political integration. refused to join, believing in its strong ties
with the Commonwealth and USA.
Introduced a supranational governance
system (not just intergovernmental):
● High Authority (executive), Assembly,
Council, Court of Justice.
- Significance: First real transfer of sovereign
powers to European institutions.
Failed Attempts at Political and Defence Integration The European Atomic Energy Community
(EURATOM) (1957)
● Plans for a European Defence Community ● Established by the Treaty of Rome (1957).
(EDC) and a European Political Community ● Signed by the same six countries which
(EPC). made up the ECSC.
● Aimed to create a European army and ● Focused on peaceful use of atomic energy
common foreign policy. and common safety standards.
● Failed due to lack of agreement. ● Governance: Same four institutions as
● Paul-Henri Spaak’s Report (1956) led to new ECSC.
economic integration efforts.
4
TOPIC 1: HISTORY AND THE INSTITUTION OF THE EU__________________________ 4
1. BRIEF HISTORY OF THE EUROPEAN UNION___________________________ 4
2. THE CREATION OF THE EUROPEAN UNION:___________________________ 4
TOPIC 2: POWER, INSTITUTIONS AND DECISION MAKING_______________________9
DIVISON OF COMPETENCES BETWEEN THE EU AND MEMBER STATES________ 9
1. Exclusive Competences (Article 3 TFEU) – Only the EU can legislate__________9
2. Shared Competences (Article 4 TFEU) – Both the EU and Member States can
legislate____________________________________________________________ 9
3. Supporting Competences (Article 6 TFEU) – The EU can only assist Member
States_____________________________________________________________ 9
4. Principles Governing the Exercise of Competences (Article 5 TEU)___________10
INSTITUTIONS________________________________________________________ 10
1. The Institutions and Other Union Bodies________________________________10
2. Functions of Government in the EU___________________________________ 10
3. Power Sharing in the EU:___________________________________________ 16
LEGISLATIVE PROCEDURES, EXECUTIVE POWERS AND MEMBERSHIP_______ 17
1. The Legislative Framework of the EU:_________________________________ 17
2. Types of EU Competences: (As defined in Articles 2-6 TFEU, reinforced by the
Treaty of Lisbon)____________________________________________________ 17
3. EU Legislative Acts:_______________________________________________ 17
4. The EU Legislative Process (Ordinary vs. Special Procedures)______________ 18
5. Principles Governing EU Legislation___________________________________ 18
6. Enforcement of EU Law____________________________________________ 18
7. Admission Procedure (Article 49 TEU)_________________________________ 19
8. Suspension of Membership (Article 7 TEU)_____________________________ 19
9. Withdrawal from the EU (Article 50 TEU) – Brexit Case____________________ 19
TOPIC 3: THE EU’S LEGAL ORDER_________________________________________ 21
SOURCES OF THE UNION LAW:_________________________________________ 21
Primary sources of law:_______________________________________________ 21
1. Treaties as the Primary Source____________________________________ 21
2. Amendments and Additional Treaties_______________________________ 21
3. Protocols and Declarations_______________________________________ 21
1. Function and Status of General Principles in EU Law___________________22
2. Examples of General Principles___________________________________ 22
A. Principle of Equality and Non-Discrimination______________________ 22
B. Fundamental Rights as General Principles________________________23
3. Scope of Enforcement of the Charter of Fundamental Rights (CFREU)_____ 23
Enforcement and Limitations_____________________________________ 23
Secondary sources of the EU:__________________________________________25
Voting Procedures in the EU________________________________________ 26
Delegated Acts (Article 290 TFEU)______________________________________ 26
Implementing Acts (Article 291 TFEU)___________________________________ 26
1
, Case law of he Court of justice of the European Union:______________________ 27
1. How the CJEU Develops EU Law_____________________________________ 27
2. Key Principles from CJEU Case Law__________________________________ 27
3. Why is the CJEU’s Case Law Important?_______________________________ 27
International agreements:_____________________________________________ 27
Types of International Agreements:______________________________________27
Legal Effect:_______________________________________________________ 27
- Binding on EU and Member States → Must comply with agreed terms.________ 27
- Enforceable by the CJEU → Ensures conformity with EU law.________________27
- Influences EU Law → Some agreements become part of the EU legal order.____ 27
The EU’s power to make international agreements strengthens its global role but can
create tensions with Member States over sovereignty._______________________ 27
THE RELATIONSHIP BETWEEN UNION LAW AND NATIONAL LEGAL SYSTEMS: 28
The Original Position → The founding treaties did not clarify the status of EU law
within Member States, leading to different interpretations:____________________ 28
The Doctrine of Supremacy of EU Law___________________________________ 28
1. Creation of the Doctrine____________________________________________ 28
2. Development of the Doctrine_________________________________________29
The Doctrine of the direct effect:________________________________________ 30
1. Direct Applicability of EU Law in National Courts_________________________ 30
2. EU Law Supremacy and its Effect in National Courts______________________ 31
3. Limitations and Challenges in Direct Applicability_________________________ 31
i. Clear and Precise_______________________________________________ 31
ii. Unconditional__________________________________________________ 32
iii. Not Subject to Further Implementing Measures_______________________ 32
Direct Effect of Different Sources of Union Law_______________________________ 32
1. The Doctrine of Direct Effect____________________________________________ 32
2. Direct Effect of Treaty Articles___________________________________________ 32
3. Direct Effect of Regulations_____________________________________________33
4. Direct Effect of Decisions______________________________________________ 33
5. Direct Effect of International Agreements__________________________________ 33
6. Direct Effect of Directives______________________________________________ 33
Key Cases on Direct Effect of Directives:_________________________________ 33
7. Problems with the Lack of Horizontal Direct Effect for Directives________________ 33
Enforcement Principles in Member States_____________________________ 35
Development of the Doctrine of Indirect Effect_____________________________ 35
Key Cases in Indirect Effect___________________________________________ 35
Limits on Indirect Effect____________________________________________ 35
Marleasing and Expansion of Indirect Effect____________________________ 35
‘Incidental’ or ‘Triangular’ Effect________________________________________ 35
Additional Considerations_____________________________________________ 36
Francovich Principle (State Liability for Damages)_____________________________ 37
Conditions for Member State Liability (Francovich Test)______________________ 38
Expansion of the Francovich Principle______________________________________ 38
2
, Brasserie du Pêcheur & Factortame III (Cases C-46/93 & C-48/93)_____________38
Definition of "Sufficiently Serious Breach"____________________________________38
Judicial Liability: Case C-224/01, Köbler v Austria_____________________________ 38
Parallel to EU Institution Liability (Art. 340 TFEU)______________________________38
Extension to Private Parties (C-453/99, Courage v Crehan)______________________38
TOPIC 4: ENFORCING UNION LAW__________________________________________ 39
Enforcing EU law rights before national courts_____________________________ 39
Preliminary references and rulings:______________________________________42
Enforcement actions against the member states: (Art, 258 to 260 TFEU)________ 47
Actions against EU institutions: Judicial Review of the acts and commissions of union
bodies:____________________________________________________________50
CASE STUDIES:_________________________________________________________ 58
People’s climate case:___________________________________________________58
Sabena: (Horizontal direct effect):__________________________________________60
Van gend loos (Direct effect):_____________________________________________ 66
Direct effect of directives - (Marshall):_______________________________________72
Primacy of the EU Law ( (Costa v. ENEL, Simmenthal)_________________________ 75
3
, TOPIC 1: HISTORY AND THE INSTITUTION OF THE EU
1. BRIEF HISTORY OF THE EUROPEAN UNION
- 1957 The European economic community (ECC) is created by the treaty of rome
- 1993 The EEC becomes known as the european community (EC) following the enactment of the treaty
of european union (also known as the Maastricht treaty)
- 2010 The EC becomes known as the european union (EU) following the enactment of changes
introduced by the treaty of Lisbon
2. THE CREATION OF THE EUROPEAN UNION:
- 1945: End of World War II → Europe devastated, need for peace and economic recovery.
- 1948: Marshall Plan → U.S. financial aid to rebuild Europe, requiring cooperation.
- 1948: Organisation for Economic Co-operation (OEEC) formed to manage aid.
- 1949: NATO established → Military alliance for Western European defense.
The Council of Europe (1949) The European Coal and Steel Community (ECSC)
(1951)
● Intergovernmental organisation, separate ● A functional approach to integration:
from the EU. started with coal and steel industries.
● Adopted the European Convention on ● Aimed to stabilise Franco-German relations
Human Rights (ECHR). and prevent secret rearmament.
● Established the European Court of Human ● Treaty of Paris (1951) established ECSC.
Rights (ECtHR). - Founding members: France, Germany, Italy,
● Focus on human rights but lacked economic Belgium, Luxembourg, Netherlands. UK
and political integration. refused to join, believing in its strong ties
with the Commonwealth and USA.
Introduced a supranational governance
system (not just intergovernmental):
● High Authority (executive), Assembly,
Council, Court of Justice.
- Significance: First real transfer of sovereign
powers to European institutions.
Failed Attempts at Political and Defence Integration The European Atomic Energy Community
(EURATOM) (1957)
● Plans for a European Defence Community ● Established by the Treaty of Rome (1957).
(EDC) and a European Political Community ● Signed by the same six countries which
(EPC). made up the ECSC.
● Aimed to create a European army and ● Focused on peaceful use of atomic energy
common foreign policy. and common safety standards.
● Failed due to lack of agreement. ● Governance: Same four institutions as
● Paul-Henri Spaak’s Report (1956) led to new ECSC.
economic integration efforts.
4
