Judgment — ECLI:EU:C:2007:596
Date: 2007-10-11
Language of the case: German
Court formation: Second Chamber
Based on: Treaty establishing the European Economic Community (1957)
Subject matter: External relations;Common foreign and security policy
Concepts: Scope;General
Procedure: Reference for a preliminary ruling
Origin: Germany

Summary of the Judgment 1. Community law – Principles – Fundamental rights – Compliance by Member States when implementing Community rules 2. European Union – Common foreign and security policy – Specific restrictive measures directed against certain persons and entities associated with Usama bin Laden, the Al-Qaida network and the Taliban (Council Regulation No 881/2002, Arts 2(3) and 9) 1. The requirements flowing from the protection of fundamental rights within the Community legal order are also binding on Member States when they implement Community rules, and consequently they are bound, as far as possible, to apply the rules in accordance with those requirements. (see para. 78) 2. On a proper interpretation of Article 2(3) of Regulation No 881/2002 imposing certain specific restrictive measures directed against certain persons and entities associated with Usama bin Laden, the Al-Qaida network and the Taliban, and repealing Regulation No 467/2001 prohibiting the export of certain goods and services to Afghanistan, strengthening the flight ban and extending the freeze of funds and other financial resources in respect of the Taliban of Afghanistan, as amended by Regulation No 561/2003, in a situation where both a contract for the sale of immovable property and the agreement on transfer of ownership of that property have been concluded before the date on which the buyer is included in the list in Annex I to Regulation No 881/2002, and where the sale price has also been paid before that date, the said Article 2(3) prohibits the final registration, in performance of that contract, of the transfer of ownership in the Land Register subsequent to that date. In the first place, the said Article 2(3) applies to any mode of making available an economic resource and therefore also to any act which flows from the execution of a contract imposing mutual obligations and which has been agreed in exchange for payment of pecuniary consideration. In addition, Article 9 of Regulation No 881/2002 must be understood as meaning that the measures laid down in that regulation, including the freezing of economic resources, preclude also the completion of acts which implement contracts concluded before the entry into force of that regulation. (see paras 56, 62, 80, operative part)