Judgment — ECLI:EU:C:2001:307
Date: 2001-05-31
Language of the case: Italian
Court formation: Fifth Chamber
Based on: Treaty establishing the European Economic Community (1957)
Subject matter: Right of establishment;Freedom to provide services;Free movement of workers
Concepts: General;Employment in the public service
Procedure: Action for failure to fulfil obligations - successful
Origin: Italy

Summary of the Judgment 
1. Freedom of movement for persons — Freedom of establishment — Freedom to 
provide services — Restrictions — National rules reserving the performance of 
private security activities to private security firms holding the nationality of the State 
concerned — Not permissible — Justification — None 
(EC Treaty, Arts 52 and 59 (now, after amendment, Arts 43 EC and 49 EC), 55, first 
para., and 66 (now Arts 45, first para., EC and 55 EC)) 
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SUMMARY — CASE C-283/99 
2. Freedom of movement for persons — Workers — National rules reserving employ­
ment as a sworn private security guard to nationals — Not permissible 
(EC Treaty, Art. 48 (now, after amendment, Art. 39 EC)) 
3. Freedom of movement for persons — Derogations — Employment in the public 
service — Concept — Employment by a private natural or legal person — Not 
included 
(EC Treaty, Art. 48(4) (now, after amendment, Art. 39(4) EC)) 
1. Where a Member State provides that 
private security work (including sur­
veillance or caretaking of movable 
property and buildings) may be carried 
out on its territory, subject to licence, 
only by private security firms holding 
the nationality of that State, the Mem­
ber State in question fails to fulfil its 
obligations under Articles 52 and 59 of 
the Treaty (now, after amendment, 
Articles 43 EC and 49 EC). Such a 
nationality condition constitutes a 
restriction on freedom of establishment 
and freedom to provide services which 
cannot be justified by the derogation 
provided for in the first paragraph of 
Article 55 of the Treaty (now the first 
paragraph of Article 45 EC) in con­
junction, as the case may be, with 
Article 66 of the Treaty (now Arti­
cle 55 EC). 
(see paras 19, 22, 28 and operative part) 
2. Where a Member State provides that 
only its nationals, holding the appro­
priate licence, may be employed as 
sworn private security guards, thereby 
preventing workers from other Mem­
ber States from holding such employ­
ment in that State, the Member State in 
question fails to fulfil its obligations 
under Article 48 of the Treaty (now, 
after amendment, Article 39 EC). 
(see paras 24, 28 and operative part) 
3. The concept of 'employment in the 
public service', as contained in Arti­
cle 48(4) of the Treaty (now, after 
amendment, Article 39(4) EC), does 
not encompass employment by a pri­
vate natural or legal person, whatever 
the duties of the employee. 
(see para. 25) 
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