# C_2022318EN.01004801.xml

| 22.8.2022 | EN | Official Journal of the European Union | C 318/48 |
| --- | --- | --- | --- |

22.8.2022

EN

Official Journal of the European Union

C 318/48

---

Action brought on 5 July 2022 — HSBC Continental Europe v Commission

(Case T-418/22)

(2022/C 318/62)

Language of the case: English

Parties

Applicant: HSBC Continental Europe (Paris, France) (represented by: D. Bailey, C. Thomas, Barristers-at-Law, M. Giner Asins and C. Angeli, lawyers)

Defendant: European Commission

Form of order sought

The applicant claims that the Court should:

| — | order the Commission to pay forthwith the Default Interest Amount of EUR 3 199 935,70; or, alternatively, any other amount based upon such period and such rate of interest as the Court sees fit; |
| --- | --- |

—

order the Commission to pay forthwith the Default Interest Amount of EUR 3 199 935,70; or, alternatively, any other amount based upon such period and such rate of interest as the Court sees fit;

| — | order the Commission to pay compound interest on the Default Interest Amount (or such amount as is specified under paragraph above) from 5 November 2019 to the date of payment of such amount, at the default rate of 3.5 % (being the ECB refinancing rate plus 3.5 %, or alternatively for such period and at such rate as the Court sees fit); or, alternatively, order the Commission to pay such compound interest from either the date of HBCE’s demand on 14 March 2022 or from the date of this application (with simple interest at the default rate of 3.5 % being payable prior to that moment); |
| --- | --- |

—

order the Commission to pay compound interest on the Default Interest Amount (or such amount as is specified under paragraph above) from 5 November 2019 to the date of payment of such amount, at the default rate of 3.5 % (being the ECB refinancing rate plus 3.5 %, or alternatively for such period and at such rate as the Court sees fit); or, alternatively, order the Commission to pay such compound interest from either the date of HBCE’s demand on 14 March 2022 or from the date of this application (with simple interest at the default rate of 3.5 % being payable prior to that moment);

| — | further or in the alternative, annul the Commission’s Refusal Decision; |
| --- | --- |

—

further or in the alternative, annul the Commission’s Refusal Decision;

| — | in the further alternative, declare that the Commission’s failure to act by paying the Default Interest Amount (or any default interest) and compound interest thereon is unlawful; and |
| --- | --- |

—

in the further alternative, declare that the Commission’s failure to act by paying the Default Interest Amount (or any default interest) and compound interest thereon is unlawful; and

| — | order the Commission to pay HBCE’s legal and other costs of these proceedings. |
| --- | --- |

—

order the Commission to pay HBCE’s legal and other costs of these proceedings.

Pleas in law and main arguments

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

| 1. | First plea in law, alleging that the applicant is entitled to the Default Interest Amount by way of an action under the first paragraph of Article 266 TFEU and Article 47 of the Charter of Fundamental Rights of the EU, on the basis that the Commission was obliged to pay that amount to comply with the judgment of the General Court in Case T-105/17. In this regard, HBCE relies in the alternative on Article 277 TFEU, in the event that the Commission seeks to use secondary legislation to justify its position and such legislation is interpreted in a manner inconsistent with HBCE’s Treaty rights. |
| --- | --- |

1.

First plea in law, alleging that the applicant is entitled to the Default Interest Amount by way of an action under the first paragraph of Article 266 TFEU and Article 47 of the Charter of Fundamental Rights of the EU, on the basis that the Commission was obliged to pay that amount to comply with the judgment of the General Court in Case T-105/17. In this regard, HBCE relies in the alternative on Article 277 TFEU, in the event that the Commission seeks to use secondary legislation to justify its position and such legislation is interpreted in a manner inconsistent with HBCE’s Treaty rights.

| 2. | Second plea in law, alleging (in the alternative) that the applicant is in any event entitled to recover the Default Interest Amount by way of an action under the second paragraph of Article 266 TFEU, under Articles 268 and 340 TFEU and under Article 41(3) of the Charter of Fundamental Rights of the EU, on the basis of the non-contractual liability of the Union owing to the Commission’s failure to pay default interest in compliance with the judgment of the General Court in Case T-105/17. In this regard, HBCE again relies in the alternative on Article 277 TFEU, in the event that the Commission seeks to use secondary legislation to justify its position and such legislation is interpreted in a manner inconsistent with HBCE’s Treaty rights. |
| --- | --- |

2.

Second plea in law, alleging (in the alternative) that the applicant is in any event entitled to recover the Default Interest Amount by way of an action under the second paragraph of Article 266 TFEU, under Articles 268 and 340 TFEU and under Article 41(3) of the Charter of Fundamental Rights of the EU, on the basis of the non-contractual liability of the Union owing to the Commission’s failure to pay default interest in compliance with the judgment of the General Court in Case T-105/17. In this regard, HBCE again relies in the alternative on Article 277 TFEU, in the event that the Commission seeks to use secondary legislation to justify its position and such legislation is interpreted in a manner inconsistent with HBCE’s Treaty rights.

| 3. | Third plea in law, alleging that the applicant is entitled to the payment of compound interest in respect of the Commission’s failure to pay default interest as set out under the first and second pleas in law, in accordance with the first paragraph of Article 266 TFEU, and/or the second paragraph of Article 266 TFEU and under Articles 268 and 340 TFEU and under Article 41(3) of the Charter of Fundamental Rights of the EU. |
| --- | --- |

3.

Third plea in law, alleging that the applicant is entitled to the payment of compound interest in respect of the Commission’s failure to pay default interest as set out under the first and second pleas in law, in accordance with the first paragraph of Article 266 TFEU, and/or the second paragraph of Article 266 TFEU and under Articles 268 and 340 TFEU and under Article 41(3) of the Charter of Fundamental Rights of the EU.

| 4. | Fourth plea in law, seeking (further or in the alternative) annulment under Article 263(4) TFEU of the Commission’s refusal to pay the default interest and compound interest, contrary to Article 266 TFEU. |
| --- | --- |

4.

Fourth plea in law, seeking (further or in the alternative) annulment under Article 263(4) TFEU of the Commission’s refusal to pay the default interest and compound interest, contrary to Article 266 TFEU.

| 5. | Fifth plea in law, seeking (in the further alternative) a declaration under Article 265 TFEU that the Commission has acted unlawfully by failing to pay to the applicant default interest and compound interest, contrary to Article 266 TFEU. |
| --- | --- |

5.

Fifth plea in law, seeking (in the further alternative) a declaration under Article 265 TFEU that the Commission has acted unlawfully by failing to pay to the applicant default interest and compound interest, contrary to Article 266 TFEU.

---