# C_2021289EN.01004801.xml

| 19.7.2021 | EN | Official Journal of the European Union | C 289/48 |
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19.7.2021

EN

Official Journal of the European Union

C 289/48

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Action brought on 2 June 2021 — Air Canada v Commission

(Case T-310/21)

(2021/C 289/65)

Language of the case: English

Parties

Applicant: Air Canada (Saint-Laurent, Quebec, Canada) (represented by: T. Soames, I.-Z. Prodromou-Stamoudi, lawyers, and T. Johnston, Barrister)

Defendant: European Commission

Form of order sought

The applicants claim that the Court should:

| — | Order the European Union, represented by the Commission, to redress the damage sustained by Air Canada because of the Commission’s failure to pay the default interest and compound interest owing pursuant to the first paragraph of Article 266 TFEU, in order to give effect to the judgment of 16 December 2015, Air Canada v Commission (Case T-9/11) and therefore pay the following amounts, pursuant to the second paragraph of Article 266 TFEU, Article 268 TFEU and the second paragraph of Article 340 TFEU:






  — | an amount equal to the default interest owing, i.e. interest on the sum of EUR 21 037 500,00 at the European Central Bank interest rate for its refinancing operations on 1 November 2010 (namely, 1 %), increased by 3,5 %, for the period between 10 February 2011 and 8 February 2016, less the guaranteed return already paid of EUR 468 540,80 which results in an amount of EUR 4 264 896,70 or, failing that, at the interest rate the General Court considers appropriate; |
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Order the European Union, represented by the Commission, to redress the damage sustained by Air Canada because of the Commission’s failure to pay the default interest and compound interest owing pursuant to the first paragraph of Article 266 TFEU, in order to give effect to the judgment of 16 December 2015, Air Canada v Commission (Case T-9/11) and therefore pay the following amounts, pursuant to the second paragraph of Article 266 TFEU, Article 268 TFEU and the second paragraph of Article 340 TFEU:

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an amount equal to the default interest owing, i.e. interest on the sum of EUR 21 037 500,00 at the European Central Bank interest rate for its refinancing operations on 1 November 2010 (namely, 1 %), increased by 3,5 %, for the period between 10 February 2011 and 8 February 2016, less the guaranteed return already paid of EUR 468 540,80 which results in an amount of EUR 4 264 896,70 or, failing that, at the interest rate the General Court considers appropriate;

| — | an amount equal to the interest owing on the sum of EUR 4 264 896,70 at the default rate, for the period between 9 February 2016 and the date of the Interest Application (4 February 2021) at the European Central Bank interest rate for its refinancing operations on 1 November 2010 (namely, 1 %), increased by 3,5 %, which results in an amount of EUR 958 550,14 (or, failing that, at the interest rate and for the time period that the General Court considers appropriate); and |
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an amount equal to the interest owing on the sum of EUR 4 264 896,70 at the default rate, for the period between 9 February 2016 and the date of the Interest Application (4 February 2021) at the European Central Bank interest rate for its refinancing operations on 1 November 2010 (namely, 1 %), increased by 3,5 %, which results in an amount of EUR 958 550,14 (or, failing that, at the interest rate and for the time period that the General Court considers appropriate); and

| — | an amount equal to the compound interest owing on the amount of unpaid interest on the sum owing at the date of the Interest Application (EUR 4 264 896,70 + EUR 958 550,14: EUR 5 223 446,84 or any other amount that the Court considers appropriate) for the period between 5 February 2021 and the date on which the Commission reimburses Air Canada the amounts of interest owing, at the European Central Bank interest rate for its refinancing operations on 1 November 2010 (namely, 1 %), increased by 3,5 %, or, failing that, for the time period and at the interest rate that the General Court considers appropriate. |
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an amount equal to the compound interest owing on the amount of unpaid interest on the sum owing at the date of the Interest Application (EUR 4 264 896,70 + EUR 958 550,14: EUR 5 223 446,84 or any other amount that the Court considers appropriate) for the period between 5 February 2021 and the date on which the Commission reimburses Air Canada the amounts of interest owing, at the European Central Bank interest rate for its refinancing operations on 1 November 2010 (namely, 1 %), increased by 3,5 %, or, failing that, for the time period and at the interest rate that the General Court considers appropriate.

| — | Further and/or alternatively annul the Contested Decision; and |
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Further and/or alternatively annul the Contested Decision; and

| — | Order the Commission to pay the applicant’s costs. |
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Order the Commission to pay the applicant’s costs.

Pleas in law and main arguments

In support of the action, the applicant relies on two pleas in law.

| 1. | First plea in law, alleging that the European Union is non-contractually liable to pay certain sums in outstanding interest. The applicant states that on 8 February 2016 the Commission paid the applicant a sum of interest to reflect the ‘guaranteed return’ on a provisional payment paid by the applicant on 10 February 2011. The applicant alleges that the ‘guaranteed return’ did not reflect the sums owing to the applicant by way of default interest. Accordingly, the applicant alleges that the Commission acted in breach of Article 268 TFEU and the applicant seeks an order requiring the Commission to repay the default and compound interest. |
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1.

First plea in law, alleging that the European Union is non-contractually liable to pay certain sums in outstanding interest. The applicant states that on 8 February 2016 the Commission paid the applicant a sum of interest to reflect the ‘guaranteed return’ on a provisional payment paid by the applicant on 10 February 2011. The applicant alleges that the ‘guaranteed return’ did not reflect the sums owing to the applicant by way of default interest. Accordingly, the applicant alleges that the Commission acted in breach of Article 268 TFEU and the applicant seeks an order requiring the Commission to repay the default and compound interest.

| 2. | Second plea in law, alleging that the interest application was not time barred and, therefore the Court shall annul Commission Decision of 25 March 2021 (1). |
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2.

Second plea in law, alleging that the interest application was not time barred and, therefore the Court shall annul Commission Decision of 25 March 2021 (1).

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(1)  Ref. Ares(2021)2113744 of 25 March 2021

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