02002A0430(01) — EN — 01.01.2017 — 003.001

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Amended by:









▼B

AGREEMENT

between the European Community and its Member States, of the one part, and the Swiss Confederation, of the other, on the free movement of persons







▼M5 THE EUROPEAN COMMUNITY, THE KINGDOM OF BELGIUM, THE REPUBLIC OF BULGARIA, THE CZECH REPUBLIC, THE KINGDOM OF DENMARK, THE FEDERAL REPUBLIC OF GERMANY, THE REPUBLIC OF ESTONIA, IRELAND, THE HELLENIC REPUBLIC, THE KINGDOM OF SPAIN, THE FRENCH REPUBLIC, ▼M10 THE REPUBLIC OF CROATIA, ▼M5 THE ITALIAN REPUBLIC, THE REPUBLIC OF CYPRUS, THE REPUBLIC OF LATVIA, THE REPUBLIC OF LITHUANIA, THE GRAND DUCHY OF LUXEMBOURG, THE REPUBLIC OF HUNGARY, MALTA, THE KINGDOM OF THE NETHERLANDS, THE REPUBLIC OF AUSTRIA, THE REPUBLIC OF POLAND, THE PORTUGUESE REPUBLIC, ROMANIA, THE REPUBLIC OF SLOVENIA, THE SLOVAK REPUBLIC, THE REPUBLIC OF FINLAND, THE KINGDOM OF SWEDEN, THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND, of the one part, and THE SWISS CONFEDERATION, of the other part, ▼B Convinced that the free movement of persons between the territories of the Contracting Parties is a key factor in the harmonious development of their relations, Resolved to bring about the free movement of persons between them on the basis of the rules applying in the European Community, Have decided to conclude this Agreement:







I.

BASIC PROVISIONS

Article 1

Objective

The objective of this Agreement, for the benefit of nationals of the Member States of the European Community and Switzerland, is:

(a) to accord a right of entry, residence, access to work as employed persons, establishment on a self-employed basis and the right to stay in the territory of the Contracting Parties;

(b) to facilitate the provision of services in the territory of the Contracting Parties, and in particular to liberalise the provision of services of brief duration;

(c) to accord a right of entry into, and residence in, the territory of the Contracting Parties to persons without an economic activity in the host country;

(d) to accord the same living, employment and working conditions as those accorded to nationals.

Article 2

Non-discrimination

Nationals of one Contracting Party who are lawfully resident in the territory of another Contracting Party shall not, in application of and in accordance with the provisions of Annexes I, II and III to this Agreement, be the subject of any discrimination on grounds of nationality.

Article 3

Right of entry

The right of entry of nationals of one Contracting Party into the territory of another Contracting Party shall be guaranteed in accordance with the provisions laid down in Annex I.

Article 4

Right of residence and access to an economic activity

The right of residence and access to an economic activity shall be guaranteed unless otherwise provided in Article 10 and in accordance with the provisions of Annex I.

Article 5

Persons providing services

1. Without prejudice to other specific agreements between the Contracting Parties specifically concerning the provision of services (including the Government Procurement Agreement in so far as it covers the provision of services), persons providing services, including companies in accordance with the provisions of Annex I, shall have the right to provide a service in the territory of the other Contracting Party for a period not exceeding 90 days' of actual work in a calendar year.

2. Providers of services shall have the right of entry into, and residence in, the territory of the other Contracting Party:

(a) where they have the right to provide a service under paragraph 1 or by virtue of the provisions of an agreement mentioned in paragraph 1;

(b) or, if the conditions specified in (a) are not fulfilled, where they have received authorisation to provide a service from the competent authorities of the Contracting Party concerned.

3. Nationals of a Member State of the European Community or Switzerland entering the territory of a Contracting Party solely to receive services shall have the right of entry and residence.

4. The rights referred to in this Article shall be guaranteed in accordance with the provisions laid down in Annexes I, II and III. The quantitative limits of Article 10 may not be relied upon as against persons referred to in this Article.

Article 6

Right of residence for persons not pursuing an economic activity

The right of residence in the territory of a Contracting Party shall be guaranteed to persons not pursuing an economic activity in accordance with the provisions of Annex I relating to non-active people.

Article 7

Other rights

The Contracting Parties shall make provision, in accordance with Annex I, for the following rights in relation to the free movement of persons:

(a) the right to equal treatment with nationals in respect of access to, and the pursuit of, an economic activity, and living, employment and working conditions;

(b) the right to occupational and geographical mobility which enables nationals of the Contracting Parties to move freely within the territory of the host state and to pursue the occupation of their choice;

(c) the right to stay in the territory of a Contracting Party after the end of an economic activity;

(d) the right of residence for members of the family, irrespective of their nationality;

(e) the right of family members to pursue an economic activity, irrespective of their nationality;

(f) the right to acquire immovable property in so far as this is linked to the exercise of rights conferred by this Agreement;

(g) during the transitional period, the right, after the end of an economic activity or period of residence in the territory of a Contracting Party, to return there for the purposes of pursuing an economic activity and the right to have a temporary residence permit converted into a permanent one.

Article 8

Coordination of social security systems

The Contracting Parties shall make provision, in accordance with Annex II, for the coordination of social security systems with the aim in particular of:

(a) securing equality of treatment;

(b) determining the legislation applicable;

(c) aggregation, for the purpose of acquiring and retaining the right to benefits, and of calculating such benefits, all periods taken into consideration by the national legislation of the countries concerned;

(d) paying benefits to persons residing in the territory of the Contracting Parties;

(e) fostering mutual administrative assistance and cooperation between authorities and institutions.

Article 9

Diplomas, certificates and other qualifications

In order to make it easier for nationals of the Member States of the European Community and Switzerland to gain access to and pursue activities as employed and self-employed persons and to provide services, the Contracting Parties shall take the necessary measures, in accordance with Annex III, concerning the mutual recognition of diplomas, certificates and other qualifications, and coordination of the laws, regulations and administrative provisions of the Contracting Parties on access to and pursuit of activities as employed and self-employed persons and the provision of services.







II.

GENERAL AND FINAL PROVISIONS

Article 10

Transitional provisions and development of the Agreement

1. For five years after the entry into force of the Agreement, Switzerland may maintain quantitative limits in respect of access to an economic activity for the following two categories of residence: residence for a period of more than four months and less than one year and residence for a period equal to, or exceeding, one year. There shall be no restriction on residence for less than four months.

From the beginning of the sixth year, all quantitative limits applicable to nationals of the Member States of the European Community shall be abolished.

▼M3

1a. Switzerland may maintain until 31 May 2007 quantitative limits in respect of access by workers employed in Switzerland and for self-employed persons who are nationals of the Czech Republic, the Republic of Estonia, the Republic of Latvia, the Republic of Lithuania, the Republic of Hungary, the Republic of Poland, the Republic of Slovenia and the Slovak Republic for the following two categories of residence: residence for a period of more than four months and less than one year and residence for a period equal to, or exceeding, one year. There shall be no quantitative restriction on residence for less than four months.

Before the end of the transitional period mentioned above, the Joint Committee shall review the functioning of the transitional period applied to nationals of the new Member States on the basis of a report from Switzerland. Upon completion of the review, and no later than at the end of the period mentioned above, Switzerland shall notify the Joint Committee whether it will continue applying quantitative limits to workers employed in Switzerland. Switzerland may continue to apply such measures until 31 May 2009. In the absence of such notification, the transitional period shall expire on 31 May 2007.

At the end of the transitional period defined in this paragraph, all quantitative limits applicable to nationals of the Czech Republic, the Republic of Estonia, the Republic of Latvia, the Republic of Lithuania, the Republic of Hungary, the Republic of Poland, the Republic of Slovenia and the Slovak Republic shall be abolished. These Member States are entitled to introduce the same quantitative limitations for Swiss nationals for the same periods.

▼M5

1b. Switzerland may maintain until two years after the entry into force of the Protocol to this Agreement regarding the participation, as Contracting Parties, of the Republic of Bulgaria and Romania quantitative limits in respect of access by workers employed in Switzerland and for self-employed persons who are nationals of the Republic of Bulgaria and Romania for the following two categories of residence: residence for a period of more than four months and less than one year and residence for a period equal to, or exceeding, one year. There shall be no quantitative restriction on residence for less than four months.

Before the end of the transitional period mentioned above, the Joint Committee shall review the functioning of the transitional period applied to nationals of the new Member States on the basis of a report from Switzerland. Upon completion of the review, and no later than at the end of the period mentioned above, Switzerland shall notify the Joint Committee whether it will continue applying quantitative limits to workers employed in Switzerland. Switzerland may continue to apply such measures until five years after the entry into force of the aforementioned Protocol. In the absence of such notification, the transitional period shall expire at the end of the two-year period specified in the first subparagraph.

At the end of the transitional period defined in this paragraph, all quantitative limits applicable to nationals of the Republic of Bulgaria and Romania shall be abolished. These Member States are entitled to introduce the same quantitative limitations for Swiss nationals for the same periods.

▼M10

1c. Switzerland may maintain, until the end of the second year after the entry into force of the Protocol to this Agreement regarding the participation of the Republic of Croatia as a Contracting Party, quantitative limits in respect of access by workers employed in Switzerland and for self-employed persons who are nationals of Croatia for the following two categories of residence: residence for a period of more than four months and less than one year and residence for a period equal to, or exceeding, one year. There shall be no quantitative restrictions on residence of less than four months.

Before the end of the transitional period mentioned above, the Joint Committee shall review the functioning of the transitional period applied to nationals of Croatia on the basis of a report from Switzerland. Upon completion of the review, and no later than at the end of the period mentioned above, Switzerland shall notify the Joint Committee whether it will continue applying quantitative limits to workers employed in Switzerland. Switzerland may continue to apply such measures for five years after the entry into force of the aforementioned Protocol. In the absence of such notification, the transitional period shall expire at the end of the two-year period specified in the first subparagraph.

At the end of the transitional period laid down in this paragraph all quantitative limits applicable to nationals of Croatia shall be abolished. Croatia is entitled to introduce the same quantitative limits for Swiss nationals for the same periods.

▼B

2. For a maximum period of two years, the Contracting Parties may maintain the controls on the priority of workers integrated into the regular labour market and wage and working conditions applicable to nationals of the other Contracting Party, including the persons providing services referred to in Article 5. Before the end of the first year, the Joint Committee shall consider whether these restrictions need to be maintained. It may curtail the maximum period of two years. The controls on the priority of workers integrated into the regular labour market shall not apply to providers of services liberalised by a specific agreement between the Contracting Parties concerning the provision of services (including the Agreement on certain aspects of government procurement in so far as it covers the provision of services).

▼M3

2a. Switzerland and the Czech Republic, the Republic of Estonia, the Republic of Latvia, the Republic of Lithuania, the Republic of Hungary, the Republic of Poland, the Republic of Slovenia and the Slovak Republic, may maintain, until 31 May 2007, for workers of one of these Contracting Parties employed in their own territory the controls on the priority of workers integrated into the regular labour market and wage and working conditions applicable to nationals of the Contracting Party concerned. The same controls may be maintained for persons providing services in the following four sectors: Horticultural service activities; Construction, including related branches; Security activities; Industrial cleaning (NACE ( 1 ) codes 01.41; 45.1 to 4; 74.60; 74.70 respectively), referred to in Article 5(1) of the Agreement. Switzerland, shall, during the transitional periods mentioned in paragraphs 1a, 2a, 3a and 4a, give preference to workers who are nationals of the new Member States over workers who are nationals of non-EU and non-EFTA countries as regards access to its labour market. The controls on the priority of workers integrated into the regular labour market shall not apply to providers of services liberalised by a specific agreement between the Contracting Parties concerning the provision of services (including the Agreement on certain aspects of government procurement insofar as it covers the provision of services). For the same period, qualification requirements may be maintained for residence permits of less than four months ( 2 ) and to persons providing services in the four sectors mentioned above, referred to in Article 5(1) of the Agreement.

Before 31 May 2007, the Joint Committee shall review the functioning of the transitional measures contained in this paragraph on the basis of a report prepared by each of the Contracting Parties implementing them. Upon completion of the review, and no later than 31 May 2007, the Contracting Party which has implemented the transitional measures contained in this paragraph, and has notified the Joint Committee of its intention to continue applying such transitional measures, may continue to do so until 31 May 2009. In the absence of such notification, the transitional period will expire 31 May 2007.

At the end of the transitional period defined in this paragraph, all restrictions referred to above in this paragraph shall be abolished.

▼M5

2b. Switzerland and the Republic of Bulgaria and Romania may maintain, until two years after the entry into force of the Protocol to this Agreement regarding the participation, as Contracting Parties, of the Republic of Bulgaria and Romania, for workers of one of these Contracting Parties employed in their own territory the controls on the priority of workers integrated into the regular labour market and wage and working conditions applicable to nationals of the other Contracting Party concerned. The same controls may be maintained for persons providing services, as referred to in Article 5(1) of this Agreement, in the following four sectors: Horticultural service activities; Construction, including related branches; Security activities; Industrial cleaning (NACE ( 3 ) codes 01.41; 45.1 to 4; 74.60; 74.70 respectively). Switzerland shall, during the transitional periods mentioned in paragraphs 1b, 2b, 3b and 4c, give preference to workers who are nationals of the new Member States over workers who are nationals of non-EU and non-EFTA countries as regards access to its labour market. The controls on the priority of workers integrated into the regular labour market shall not apply to providers of services liberalised by a specific agreement between the Contracting Parties concerning the provision of services (including the Agreement on certain aspects of government procurement in so far as it covers the provision of services). For the same period, qualification requirements may be maintained for residence permits of less than four months ( 4 ) and to persons providing services, as referred to in Article 5(1) of this Agreement, in the four sectors mentioned above.

Within two years of the entry into force of the Protocol to this Agreement regarding the participation, as Contracting Parties, of the Republic of Bulgaria and Romania, the Joint Committee shall review the functioning of the transitional measures contained in this paragraph on the basis of a report prepared by each of the Contracting Parties implementing them. Upon completion of the review, and no later than two years after the entry into force of the aforementioned Protocol, the Contracting Party which has implemented the transitional measures contained in this paragraph, and has notified the Joint Committee of its intention to continue applying such transitional measures, may continue to do so until five years after the entry into force of the aforementioned Protocol. In the absence of such notification, the transitional period will expire at the end of the two-year period specified in the first subparagraph.

At the end of the transitional period defined in this paragraph, all restrictions referred to above in this paragraph shall be abolished.

▼M10

2c. Switzerland and Croatia may maintain, until the end of the second year after the entry into force of the Protocol to this Agreement regarding the participation of the Republic of Croatia as a Contracting Party, for workers of one of these Contracting Parties employed in their own territory the controls on the priority of workers integrated into the regular labour market and the wage and working conditions applicable to nationals of the other Contracting Party concerned. The same controls may be maintained for persons providing services referred to in Article 5(1) of this Agreement in the following four sectors: horticulture; construction, including related branches; security activities; industrial cleaning (NACE codes ( 5 ) 01.41, 45.1 to 4, 74.60 and 74.70 respectively). Switzerland shall, during the transitional periods mentioned in paragraphs 1c, 2c, 3c and 4d, give preference to workers who are nationals of Croatia over workers who are nationals of non-EU and non-EFTA countries as regards access to its labour market. The controls on the priority of workers integrated into the regular labour market shall not apply to providers of services liberalised by a specific agreement between the Contracting Parties concerning the provision of services (including the Agreement on certain aspects of government procurement in so far as it covers the provision of services). Over this period qualification requirements may be maintained for residence permits of less than four months ( 6 ) and for persons providing services referred to in Article 5(1) of this Agreement in the four sectors mentioned above.

Within two years of the entry into force of the Protocol to this Agreement regarding the participation of the Republic of Croatia as a Contracting Party, the Joint Committee shall review the functioning of the transitional measures contained in this paragraph on the basis of a report prepared by each of the Contracting Parties implementing them. Upon completion of the review, and no later than two years after the entry into force of the aforementioned Protocol, a Contracting Party which has implemented the transitional measures contained in this paragraph, and has notified the Joint Committee of its intention to continue applying them, may continue to do so until the end of the fifth year after the entry into force of the aforementioned Protocol. In the absence of such notification, the transitional period shall expire at the end of the two-year period specified in the first subparagraph.

At the end of the transitional period laid down in this paragraph all restrictions referred to in this paragraph shall be abolished.

▼B

3. On entry into force of this Agreement and until the end of the fifth year, each year Switzerland shall reserve, within its overall quotas, for employed and self-employed persons of the European Community at least 15 000 new residence permits valid for a period equal to, or exceeding, one year and 115 500 valid for more than four months and less than one year.

▼M3

3a. Upon entry into force of the Protocol to this Agreement regarding the participation, as contracting parties, of the new Member States mentioned below and until the end of the period described in paragraph 1a, Switzerland shall reserve on an yearly basis (pro rata temporis), within its overall quota for third countries, for workers employed in Switzerland and for self-employed persons who are nationals of the Czech Republic, the Republic of Estonia, the Republic of Latvia, the Republic of Lithuania, the Republic of Hungary, the Republic of Poland, the Republic of Slovenia and the Slovak Republic a minimum number of new residence permits ( 7 ) according to the following schedule:







Until Number of permits for a period equal to or exceeding one year Number of permits for a period of more than four months and less than one year 31 May 2005 900 9 000 31 May 2006 1 300 12 400 31 May 2007 1 700 15 800 31 May 2008 2 200 19 200 31 May 2009 2 600 22 600

▼M5

3b. Upon entry into force of the Protocol to this Agreement regarding the participation, as Contracting Parties, of the Republic of Bulgaria and Romania and until the end of the period described in paragraph 1b, Switzerland shall reserve on a yearly basis (pro rata temporis), within its overall quota for third countries, for workers employed in Switzerland and for self-employed persons who are nationals of these new Member States a minimum number of new residence permits ( 8 ) according to the following schedule:







Period of time Number of permits for a period equal to or exceeding one year Number of permits for a period of more than four months and less than one year Until the end of the first year 362 3 620 Until the end of the second year 523 4 987 Until the end of the third year 684 6 355 Until the end of the fourth year 885 7 722 Until the end of the fifth year 1 046 9 090

▼M10

3c. Upon entry into force of the Protocol to this Agreement regarding the participation of the Republic of Croatia as a Contracting Party, and until the end of the period described in paragraph 1c, Switzerland shall reserve on a yearly basis (pro rata temporis), within its overall quota for third countries for workers employed in Switzerland and for self-employed persons who are nationals of Croatia a minimum number of new residence permits ( 9 ) according to the following schedule:







Until the end of Number of permits for a period of one year or more Number of permits for a period of more than four months and less than one year First year 54 543 Second year 78 748 Third year 103 953 Fourth year 133 1 158 Fifth year 250 2 000

3d. If Switzerland and/or Croatia applies to workers employed on their own territory the measures described in paragraphs 1c, 2c and 3c and in case of serious disturbances on their labour markets or threat thereof, they shall notify the circumstances to the Joint Committee before the end of the period provided for in paragraph 1c.

The Joint Committee will decide whether the notifying country may continue to apply transitional measures on the basis of this notification. If it issues a favourable opinion, the notifying country may continue to apply to workers employed on its own territory the measures described in paragraphs 1c, 2c and 3c until the end of the seventh year after the entry into force of the aforementioned Protocol. In this case, the annual number of residence permits referred to in paragraph 1c shall be:







Until the end of Number of permits for a period of one year or more Number of permits for a period of more than four months and less than one year Sixth year 260 2 100 Seventh year 300 2 300 .

▼B

4. Notwithstanding the provisions of paragraph 3, the Contracting Parties have agreed on the following arrangements: if, after five years and up to 12 years after the entry into force of the Agreement, the number of new residence permits of either of the categories referred to in paragraph 1 issued to employed and self-employed persons of the European Community in a given year exceeds the average for the three preceding years by more than 10 %, Switzerland may, for the following year, unilaterally limit the number of new residence permits of that category for employed and self-employed persons of the European Community to the average of the three preceding years plus 5 %. The following year, the number may be limited to the same level.

Notwithstanding the provisions of the previous subparagraph, the number of new residence permits issued to employed and self-employed persons of the European Community may not be limited to fewer than 15 000 per year valid for a period equal to, or exceeding, one year and 115 500 per year valid for more than four months and less than one year.

▼M3

4a. At the end of the period described in paragraph 1a and in this paragraph and up to 12 years after entry into force of the Agreement, the provisions of Article 10(4) of the Agreement shall apply.

In case of serious disturbances of its labour market or threat thereof, Switzerland and any of the new Member States which has implemented transitional measures, shall notify such circumstances to the Joint Committee by 31 May 2009. In this case, the notifying country may continue to apply to workers employed on its own territory, the measures described in paragraphs 1a, 2a and 3a until 30 April 2011. In such a case, the annual number of residence permits referred to in paragraph 1a shall be:







Until Number of permits for a period equal to or exceeding one year Number of permits for a period of more than four months and less than one year 31 May 2010 2 800 26 000 30 April 2011 3 000 29 000

4b. When Malta undergoes or foresees disturbances on its labour market which could seriously threaten the standard of living or level of employment in a given region or occupation, and decides to invoke the provisions contained in Section 2 ‘Freedom of Movement for Persons’ of Annex XI to the Act of Accession, the restrictive measures taken by Malta towards the rest of EU Member States could also be applied to Switzerland. In such a case, Switzerland shall be entitled to take equivalent reciprocal measures towards Malta.

Malta and Switzerland may resort to this procedure until 30 April 2011.

▼M5

4c. At the end of the period described in paragraph 1b and in this paragraph and up to 10 years after entry into force of the Protocol to this Agreement regarding the participation, as Contracting Parties, of the Republic of Bulgaria and Romania, the provisions of Article 10(4) of this Agreement shall apply to nationals of these new Member States.

In case of serious disturbances of its labour market or threat thereof, Switzerland and any of the new Member States which has implemented transitional measures shall notify such circumstances to the Joint Committee before the end of the five-year transitional period specified in paragraph 2b(2). In this case, the notifying country may continue to apply to workers employed on its own territory the measures described in paragraphs 1b, 2b and 3b until seven years after the entry into force of the aforementioned Protocol. In such a case, the annual number of residence permits referred to in paragraph 1b shall be:







Period of time Number of permits for a period equal to or exceeding one year Number of permits for a period of more than four months and less than one year Until the end of the sixth year 1 126 10 457 Until the end of the seventh year 1 207 11 664

▼M10

4d. At the end of the period described in paragraphs 1c and 3d, and up to the end of the tenth year after the entry into force of the Protocol to this Agreement regarding the participation of the Republic of Croatia as a Contracting Party the following provisions shall be applicable: If the number of new residence permits of one of the categories referred to in paragraph 1c issued to employed and self-employed persons of Croatia in a given year exceeds the average for the three years preceding the reference year by more than 10 %, Switzerland may, for the application year, unilaterally limit the number of new residence permits for periods of one year or more for employed and self-employed persons of Croatia to the average of the three years preceding the application year, plus 5 %, and the number of new residence permits for a period of more than four months and less than one year to the average of the three years preceding the application year, plus 10 %. Permits may be limited to the same number for the year following the application year.

By way of derogation from the preceding subparagraph, the following provisions shall apply at the end of the sixth and seventh reference years: If the number of new residence permits of one of the categories referred to in paragraph 1c issued to employed and self-employed persons of Croatia in a given year exceeds the average for the year that precedes the reference year by more than 10 %, Switzerland may, for the application year, unilaterally limit the number of new residence permits for periods of one year or more for employed and self-employed persons of Croatia to the average of the three years preceding the application year, plus 5 %, and the number of new residence permits for a period of more than four months and less than one year to the average of the three years preceding the application year, plus 10 %. Permits may be limited to the same number for the year following the application year.

4e. For the purposes of the application of paragraph 4d:

(1) the term ‘reference year’ is a given year that is calculated from the first day of the month in which the Protocol enters into force;

(2) the term ‘application year’ refers to the year following the reference year.

▼B

5. The transitional provisions of paragraphs 1 to 4, and in particular those of paragraph 2 concerning the priority of workers integrated into the regular labour market and controls on wage and working conditions, shall not apply to employed and self-employed persons who, at the time of this Agreement's entry into force, are authorised to pursue an economic activity in the territory of the Contracting Parties. Such persons shall in particular enjoy occupational and geographical mobility. The holders of residence permits valid for less than one year shall be entitled to have their permits renewed; the exhaustion of quantitative limits may not be invoked against them. The holders of residence permits valid for a period equal to, or exceeding, one year shall automatically be entitled to have their permits extended. Such employed and self-employed persons shall therefore enjoy the rights to free movement accorded to established persons in the basic provisions of this Agreement, and in particular Article 7 thereof, from its entry into force.

▼M3

5a. The transitional provisions of paragraphs 1a, 2a, 3a, 4a and 4b, and in particular those of paragraph 2a concerning the priority of workers integrated into the regular labour market and controls on wage and working conditions, shall not apply to employed and self-employed persons who, at the time of the entry into force of the Protocol to this Agreement regarding the participation, as contracting parties, of the new Member States mentioned in the said paragraphs, are authorised to pursue an economic activity on the territory of the Contracting Parties. Such persons shall in particular enjoy occupational and geographical mobility.

The holders of residence permits valid for less than one year shall be entitled to have their permits renewed; the exhaustion of quantitative limits may not be invoked against them. The holders of residence permits valid for a period equal to, or exceeding, one year shall automatically be entitled to have their permits extended. Such employed and self-employed persons shall therefore enjoy the rights to free movement accorded to established persons in the basic provisions of this Agreement, and in particular Article 7 thereof, from its entry into force.

▼M5

5b. The transitional provisions of paragraphs 1b, 2b, 3b and 4c, and in particular those of paragraph 2b concerning the priority of workers integrated into the regular labour market and controls on wage and working conditions, shall not apply to employed and self-employed persons who, at the time of the entry into force of the Protocol to this Agreement regarding the participation, as Contracting Parties, of the Republic of Bulgaria and Romania, are authorised to pursue an economic activity on the territory of the Contracting Parties. Such persons shall in particular enjoy occupational and geographical mobility.

The holders of residence permits valid for less than one year shall be entitled to have their permits renewed; the exhaustion of quantitative limits may not be invoked against them. The holders of residence permits valid for a period equal to, or exceeding, one year shall automatically be entitled to have their permits extended. Such employed and self-employed persons shall therefore enjoy the rights to free movement accorded to established persons in the basic provisions of this Agreement, and in particular Article 7 thereof, from the entry into force of the aforementioned Protocol.

▼M10

5c. The transitional provisions of paragraphs 1c, 2c, 3c and 4d, and in particular those of paragraph 2c concerning the priority of workers integrated into the regular labour market and controls on wage and working conditions, shall not apply to employed and self-employed persons who, at the time of the entry into force of the Protocol to this Agreement regarding the participation of the Republic of Croatia as a Contracting Party, are authorised to pursue an economic activity on the territories of the Contracting Parties. In particular, such persons shall enjoy occupational and geographical mobility.

The holders of residence permits valid for less than one year shall be entitled to have their permits renewed; the exhaustion of quantitative limits may not be invoked against them. The holders of residence permits valid for a period of one year or more shall automatically be entitled to have their permits extended. Such employed and self-employed persons shall therefore enjoy the rights to free movement accorded to established persons by the basic provisions of this Agreement, and in particular Article 7 thereof, from the entry into force of the aforementioned Protocol.

▼B

6. Switzerland shall regularly and promptly forward to the Joint Committee any useful statistics and information, including measures implementing paragraph 2. A Contracting Party may request a review of the situation within the Joint Committee.

7. No quantitative limits may be applied to frontier workers.

8. The transitional provisions on social security and the retrocession of unemployment insurance contributions are laid down in the Protocol to Annex II.

Article 11

Processing of appeals

1. The persons covered by this Agreement shall have a right of appeal to the competent authorities in respect of the application of the provisions of this Agreement.

2. Appeals must be processed within a reasonable period of time.

3. Persons covered by this Agreement shall have the opportunity to appeal to the competent national judicial body in respect of decisions on appeals, or the absence of a decision within a reasonable period of time.

Article 12

More favourable provisions

This Agreement shall not preclude any more favourable national provisions which may exist for both nationals of the Contracting Parties and their family members.

Article 13

Standstill

The Contracting Parties undertake not to adopt any further restrictive measures vis-à-vis each other's nationals in fields covered by this Agreement.

Article 14

Joint Committee

1. A Joint Committee composed of representatives of the Contracting Parties is hereby established. It shall be responsible for the management and proper application of the Agreement. To that end it shall issue recommendations. It shall take decisions in the circumstances provided for in the Agreement. The Joint Committee shall reach its decisions by mutual agreement.

2. In the event of serious economic or social difficulties, the Joint Committee shall meet, at the request of either Contracting Party, to examine appropriate measures to remedy the situation. The Joint Committee may decide what measures to take within 60 days of the date of the request. This period may be extended by the Joint Committee. The scope and duration of such measures shall not exceed that which is strictly necessary to remedy the situation. Preference shall be given to measures that least disrupt the working of this Agreement.

3. For the purposes of proper implementation of the Agreement, the Contracting Parties shall regularly exchange information and, at the request of either of them, shall consult each other within the Joint Committee.

4. The Joint Committee shall meet as and when necessary and at least once a year. Either Party may request the convening of a meeting. The Joint Committee shall meet within 15 days of a request under paragraph 2.

5. The Joint Committee shall establish its rules of procedure which shall contain, inter alia, provisions on the convening of meetings, the appointment of the chairman and the chairman's term of office.

6. The Joint Committee may decide to set up any working party or group of experts to assist it in the performance of its duties.

Article 15

Annexes and Protocols

The Annexes and Protocols to this Agreement shall form an integral part thereof. The Final Act shall contain the declarations.

Article 16

Reference to Community law

1. In order to attain the objectives pursued by this Agreement, the Contracting Parties shall take all measures necessary to ensure that rights and obligations equivalent to those contained in the legal acts of the European Community to which reference is made are applied in relations between them.

2. Insofar as the application of this Agreement involves concepts of Community law, account shall be taken of the relevant case-law of the Court of Justice of the European Communities prior to the date of its signature. Case-law after that date shall be brought to Switzerland's attention. To ensure that the Agreement works properly, the Joint Committee shall, at the request of either Contracting Party, determine the implications of such case-law.

Article 17

Development of law

1. As soon as one Contracting Party initiates the process of adopting a draft amendment to its domestic legislation, or as soon as there is a change in the case-law of authorities against whose decisions there is no judicial remedy under domestic law in a field governed by this Agreement, it shall inform the other Contracting Party through the Joint Committee.

2. The Joint Committee shall hold an exchange of views on the implications of such an amendment for the proper functioning of the Agreement.

Article 18

Revision

If a Contracting Party wishes to have this Agreement revised, it shall submit a proposal to that effect to the Joint Committee. Amendments to this Agreement shall enter into force after the respective internal procedures have been completed, with the exception of amendments to Annexes II and III, which shall be adopted by decision of the Joint Committee and may enter into force immediately after that decision.

Article 19

Settlement of disputes

1. The Contracting Parties may bring a matter under dispute which concerns the interpretation or application of this Agreement to the Joint Committee.

2. The Joint Committee may settle the dispute. Any information which might be of use in making possible an in-depth examination of the situation with a view to finding an acceptable solution shall be supplied to the Joint Committee. To this end, the Joint Committee shall consider every possible means to maintain the good functioning of this Agreement.

Article 20

Relationship to bilateral social security agreements

Unless otherwise provided for under Annex II, bilateral social security agreements between Switzerland and the Member States of the European Community shall be suspended on the entry into force of this Agreement, in so far as the latter covers the same subject-matter.

Article 21

Relationship to bilateral agreements on double taxation

1. The provisions of bilateral agreements between Switzerland and the Member States of the European Community on double taxation shall be unaffected by the provisions of this Agreement. In particular, the provisions of this Agreement shall not affect the double taxation agreements' definition of ‘frontier workers’.

2. No provision of this Agreement may be interpreted in such a way as to prevent the Contracting Parties from distinguishing, when applying the relevant provisions of their fiscal legislation, between taxpayers whose situations are not comparable, especially as regards their place of residence.

3. No provision of this Agreement shall prevent the Contracting Parties from adopting or applying measures to ensure the imposition, payment and effective recovery of taxes or to forestall tax evasion under their national tax legislation or agreements aimed at preventing double taxation between Switzerland, of the one part, and one or more Member States of the European Community, of the other part, or any other tax arrangements.

Article 22

Relationship to bilateral agreements on matters other than social security and double taxation

1. Notwithstanding the provisions of Articles 20 and 21, this Agreement shall not affect agreements linking Switzerland, of the one part, and one or more Member States of the European Community, of the other part, such as those concerning private individuals, economic operators, cross-border cooperation or local frontier traffic, in so far as they are compatible with this Agreement.

2. In the event of incompatibilities between such agreements and this Agreement, the latter shall prevail.

Article 23

Acquired rights

In the event of termination or non-renewal, rights acquired by private individuals shall not be affected. The Contracting Parties shall settle by mutual agreement what action is to be taken in respect of rights in the process of being acquired.

Article 24

Territorial scope

This Agreement shall apply, on the one hand, to the territory of Switzerland and, on the other hand, to the territories in which the Treaty establishing the European Community is applicable and under the conditions laid down by that Treaty.

Article 25

Entry into force and duration

1. This Agreement shall be ratified or approved by the Contracting Parties in accordance with their own procedures. It shall enter into force on the first day of the second month following the last notification of deposit of the instruments of ratification or approval of all seven of the following agreements:

Agreement on the free movement of persons

Agreement on air transport

Agreement on the carriage of passengers and goods by road and rail

Agreement on trade in agricultural products

Agreement on the mutual recognition of conformity assessment

Agreement on certain aspects of government procurement

Agreement on scientific and technological cooperation.

2. This Agreement shall be concluded for an initial period of seven years. It shall be renewed indefinitely unless the European Community or Switzerland notifies the other Contracting Party to the contrary before the initial period expires. In the event of such notification, paragraph 4 shall apply.

3. The European Community or Switzerland may terminate this Agreement by notifying its decision to the other Party. In the event of such notification, the provisions of paragraph 4 shall apply.

4. The seven Agreements referred to in paragraph 1 shall cease to apply six months after receipt of notification of non-renewal referred to in paragraph 2 or termination referred to in paragraph 3.

Hecho en Luxemburgo, el veintiuno de junio de mil novecientos noventa y nueve, en doble ejemplar en lenguas alemana, danesa, española, finesa, francesa, griega, inglesa, italiana, neerlandesa, portuguesa y sueca, siendo cada uno de estos textos igualmente auténtico.

Udfærdiget i Luxembourg, den enogtyvende juni nitten hundrede og nioghalvfems, i to eksemplarer på dansk, engelsk, finsk, fransk, græsk, italiensk, nederlandsk, portugisisk, spansk, svensk og tysk, idet hver af disse tekster har samme gyldighed.

Geschehen zu Luxemburg am einundzwanzigsten Juni neunzehnhundertneunundneunzig in zweifacher Ausfertigung in dänischer, deutscher, englischer, finnischer, französischer, griechischer, italienischer, niederländischer, portugiesischer, spanischer und schwedischer Sprache, wobei jeder dieser Wortlaute gleichermaßen verbindlich ist.

Έγινε στο Λουξεμβούργο, στις είκοσι μία Ιουνίου χίλια εννιακόσια ενενήντα εννέα, σε δύο αντίτυπα στην αγγλική, γαλλική, γερμανική, δανική, ελληνική, ισπανική, ιταλική, ολλανδική, πορτογαλική, σουηδική και φινλανδική γλώσσα· καθένα από τα κείμενα είναι εξίσου αυθεντικό.

Done at Luxembourg on the twenty-first day of June in the year one thousand nine hundred and ninety-nine, in duplicate in the Danish, Dutch, English, Finnish, French, German, Greek, Italian, Portuguese, Spanish and Swedish languages, each of those texts being equally authentic.

Fait à Luxembourg, le vingt-et-un juin mil neuf cent quatre-vingt dix-neuf, en double exemplaire en langues allemande, anglaise, danoise, espagnole, finnoise, française, grecque, italienne, néerlandaise, portugaise et suédoise, chacun de ces textes faisant également foi.

Fatto a Lussemburgo, addì ventuno giugno millenovecentonovantanove, in duplice esemplare, nelle lingue danese, finlandese, francese, greca, inglese, italiana, olandese, portoghese, spagnola, svedese e tedesca, ciascun testo facente ugualmente fede.

Gedaan te Luxemburg, de eenentwintigste juni negentienhonderd negenennegentig, in twee exemplaren in de Deense, de Duitse, de Engelse, de Finse, de Franse, de Griekse, de Italiaanse, de Nederlandse, de Portugese, de Spaanse en de Zweedse taal, zijnde alle teksten gelijkelijk authentiek.

Feito em Luxemburgo, em vinte e um de Junho de mil novecentos e noventa e nove, em duplo exemplar nas línguas alemã, dinamarquesa, espanhola, finlandesa, francesa, grega, inglesa, italiana, neerlandesa, portuguesa e sueca, fazendo igualmente fé qualquer dos textos.

Tehty Luxemburgissa kahdentenakymmenentenäensimmäisenä päivänä kesäkuuta vuonna tuhatyhdeksänsataayhdeksänkymmentäyhdeksän kahtena kappaleena englannin, espanjan, hollannin, italian, kreikan, portugalin, ranskan, ruotsin, saksan, suomen ja tanskan kielellä, ja jokainen teksti on yhtä todistusvoimainen.

Utfärdat i Luxemburg den tjugoförsta juni nittonhundranittionio i två exemplar på det danska, engelska, finska, franska, grekiska, italienska, nederländska, portugisiska, spanska, svenska och tyska språket, vilka samtliga texter är lika giltiga.

Pour le Royaume de Belgique

Voor het Koninkrijk België

Für das Königreich Belgien

Cette signature engage également la Communauté française, la Communauté flamande, la Communauté germanophone, la Région wallonne, la Région flamande et la Région de Bruxelles-Capitale.

Deze handtekening verbindt eveneens de Vlaamse Gemeenschap, de Franse Gemeenschap, de Duitstalige Gemeenschap, het Vlaamse Gewest, het Waalse Gewest en het Brusselse Hoofdstedelijke Gewest.

Diese Unterschrift verbindet zugleich die Deutschsprachige Gemeinschaft, die Flämische Gemeinschaft, die Französische Gemeinschaft, die Wallonische Region, die Flämische Region und die Region Brüssel-Hauptstadt.

På Kongeriget Danmarks vegne

Für die Bundesrepublik Deutschland

Για την Ελληνική Δημοκρατία

Por el Reino de España

Pour la République française

Thar cheann Na hÉireann

For Ireland

Per la Repubblica italiana

Pour le Grand-Duché de Luxembourg

Voor het Koninkrijk der Nederlanden

Für die Republik Österreich

Pela República Portuguesa

Suomen tasavallan puolesta

För Republiken Finland

För Konungariket Sverige

For the United Kingdom of Great Britain and Northern Ireland

Por la Comunidad Europea

For Det Europæiske Fællesskab

Für die Europäische Gemeinschaft

Για την Ευρωπαϊκή Κοινότητα

For the European Community

Pour la Communauté européenne

Per la Comunità europea

Voor de Europese Gemeenschap

Pela Comunidade Europeia

Euroopan yhteisön puolesta

På Europeiska gemenskapens vägnar

Für der schweizerischen Eidgenossenschaft

Pour la Confédération suisse

Per la Confederazione svizzera

ANNEX I

FREE MOVEMENT OF PERSONS

I.

GENERAL PROVISIONS

Article 1

Entry and exit

1. The Contracting Parties shall allow nationals of the other Contracting Parties and members of their family within the meaning of Article 3 of this Annex and posted persons within the meaning of Article 17 of this Annex to enter their territory simply upon production of a valid identity card or passport.

No entry visa or equivalent requirement may be demanded save in respect of members of the family and posted workers within the meaning of Article 17 of this Annex who do not have the nationality of a Contracting Party. The Contracting Party concerned shall grant these persons every facility for obtaining any necessary visas.

2. The Contracting Parties shall grant nationals of the Contracting Parties, and members of their family within the meaning of Article 3 of this Annex and posted workers within the meaning of Article 17 of this Annex, the right to leave their territory simply upon production of a valid identity card or passport. The Contracting Parties may not demand any exit visa or equivalent requirement from nationals of the other Contracting Parties.

The Contracting Parties, acting in accordance with their laws, shall issue to such nationals, or renew, an identity card or passport, which shall state in particular the holder's nationality.

The passport must be valid at least for all the Contracting Parties and for the countries through which the holder must pass when travelling between them. Where the passport is the only document on which the holder may lawfully leave the country, its period of validity may not be less than five years.

Article 2

Residence and economic activity

1. Without prejudice to the provisions for the transitional period, which are laid down in Article 10 of this Agreement and Chapter VII of this Annex, nationals of a Contracting Party shall have the right to reside and pursue an economic activity in the territory of the other Contracting Party under the procedures laid down in Chapters II to IV. That right shall be substantiated through the issue of a residence permit or, for persons from frontier zones, by means of a special permit.

Nationals of a Contracting Party shall also have the right to visit another Contracting Party or to remain there after a period of employment of less than one year in order to seek employment and to reside there for a reasonable amount of time, which may be up to six months, to allow them to find out about the employment opportunities corresponding to their professional qualifications and, if necessary, take the appropriate steps to take up employment. Those seeking employment shall have the right, in the territory of the Contracting Party concerned, to receive the same assistance as employment agencies in that state grant to its own nationals. They may be excluded from social security schemes for the duration of such residence.

2. Nationals of the Contracting Parties not pursuing any economic activity in the host State who do not have a right of residence pursuant to other provisions of this Agreement shall, provided they fulfil the preconditions laid down in Chapter V, have a right of residence. That right shall be substantiated through the issue of a residence permit.

3. The residence or special permit granted to nationals of the Contracting Parties shall be issued and renewed free of charge or on payment of a sum not exceeding the charges or taxes which nationals are required to pay for the issue of identity cards. The Contracting Parties shall take the necessary measures to simplify the formalities and procedures for obtaining those documents as far as possible.

4. The Contracting Parties may require nationals of the other Contracting Parties to report their presence in the territory.

Article 3

Members of the family

1. A person who has the right of residence and is a national of a Contracting Party is entitled to be joined by the members of his family. An employed person must possess housing for his family which is regarded as of normal standard for national employed persons in the region where he is employed, but this provision may not lead to discrimination between national employed persons and employed persons from the other Contracting Party.

2. The following shall be regarded as members of the family, whatever their nationality:

(a) his spouse and their relatives in the descending line who are under the age of 21 or are dependent;

(b) his relatives in the ascending line and those of his spouse who are dependent on him;

(c) in the case of a student, his spouse and their dependent children.

The Contracting Parties shall facilitate the admission of any member of the family not covered by the provisions of this paragraph under (a), (b) and (c), if that person is a dependant or lives in the household of the national of a Contracting Party in the country of provenance.

3. When issuing a residence permit to members of the family of a national of a Contracting Party, the Contracting Parties may require only the documents listed below:

(a) the document by virtue of which they entered the territory;

(b) a document issued by the competent authority of the state of origin or provenance proving their relationship;

(c) for dependants, a document issued by the competent authority of the state of origin or provenance certifying that they are dependants of the person referred to in paragraph 1 or that they live in his household in that state.

4. The period of validity of a residence permit issued to a member of the family shall be the same as that of the permit issued to the person on whom he is dependent.

5. The spouse and the dependent children or children aged under 21 of a person having a right of residence shall have the right to take up an economic activity whatever their nationality.

6. The children of a national of a Contracting Party, whether or not he is pursuing or has pursued an economic activity in the territory of the other Contracting Party, shall be admitted to general education, apprenticeships and vocational training courses on the same basis as nationals of the host state, if those children are living in its territory.

The Contracting Parties shall promote initiatives to enable such children to follow the abovementioned courses under the best conditions.

Article 4

Right to stay

1. Nationals of a Contracting Party and members of their family shall have the right to stay in the territory of another Contracting Party after their economic activity has finished.

2. In accordance with Article 16 of the Agreement, reference is made to Regulation (EEC) No 1251/70 (OJ L 142, 1970, p. 24) ( 10 ) and Directive 75/34/EEC (OJ L 14, 1975, p. 10) (10) .

Article 5

Public order

1. The rights granted under the provisions of this Agreement may be restricted only by means of measures which are justified on grounds of public order, public security or public health.

2. In accordance with Article 16 of the Agreement, reference is made to Directives 64/221/EEC (OJ L 56, 4.4.1964, p. 850/64) (10) , 72/194/EEC (OJ L 121, 26.5.1972, p. 32) (10) and 75/35/EEC (OJ L 14, 20.1.1975, p. 14) (10) .







II.

EMPLOYED PERSONS

Article 6

Rules regarding residence

1. An employed person who is a national of a Contracting Party (hereinafter referred to as ‘employed person’) and is employed for a period of one year or more by an employer in the host state shall receive a residence permit which is valid for at least five years from its date of issue. It shall be extended automatically for a period of at least five years. When renewed for the first time, its period of validity may be limited, but not to less than one year, where its holder has been involuntarily unemployed for more than 12 consecutive months.

2. An employed person who is employed for a period of more than three months but less than one year by an employer in the host state shall receive a residence permit for the same duration as his contract.

An employed person who is employed for a period of up to three months does not require a residence permit.

3. When issuing residence permits, the Contracting Parties may not require an employed person to produce more than the following documents:

(a) the document by virtue of which he entered their territory;

(b) a contractual statement from the employer or a written confirmation of engagement.

4. A residence permit shall be valid throughout the territory of the issuing state.

5. Breaks in residence of less than six consecutive months and absences for the purposes of fulfilling military service obligations shall not affect the validity of the residence permit.

6. A valid residence permit may not be withdrawn from an employed person merely on the grounds that he is no longer working, either because he has become temporarily unable to work owing to an accident or illness, or because he is involuntarily unemployed as certified by the competent employment office.

7. Completion of the formalities for obtaining a residence permit shall not prevent an applicant immediately taking up employment under the contract he has concluded.

Article 7

Employed frontier workers

1. An employed frontier worker is a national of a Contracting Party who has his residence in the territory of a Contracting Party and who pursues an activity as an employed person in the territory of the other Contracting Party, returning to his place of residence as a rule every day, or at least once a week.

2. Frontier workers shall not require a residence permit.

The competent authorities of the state of employment may nevertheless issue the frontier worker with a special permit for a period of at least five years or for the duration of his employment where this is longer than three months and less than one year. It shall be extended for at least five years provided that the frontier worker furnishes proof that he is actually pursuing an economic activity.

3. Special permits shall be valid throughout the territory of the issuing state.

Article 8

Occupational and geographical mobility

1. Employed persons shall have the right to occupational and geographical mobility throughout the territory of the host state.

2. Occupational mobility shall include changes of employer, employment or occupation and changing from employed to self-employed status. Geographical mobility shall include changes in the place of work and residence.

Article 9

Equal treatment

1. An employed person who is a national of a Contracting Party may not, by reason of his nationality, be treated differently in the territory of the other Contracting Party from national employed persons as regards conditions of employment and working conditions, especially as regards pay, dismissal, or reinstatement or re-employment if he becomes unemployed.

2. An employed person and the members of his family referred to in Article 3 of this Annex shall enjoy the same tax concessions and welfare benefits as national employed persons and members of their family.

3. He shall also be entitled on the same basis and on the same terms as national employed persons to education in vocational training establishments and in vocational retraining and occupational rehabilitation centres.

4. Any clause in a collective or individual agreement or in any other collective arrangements concerning access to employment, employment, pay and other terms of employment and dismissal, shall be automatically void insofar as it provides for or authorises discriminatory conditions with respect to foreign employed persons who are nationals of the Contracting Parties.

5. An employed person who is a national of a Contracting Party and is employed in the territory of the other Contracting Party shall enjoy equal treatment in terms of membership of trade union organisations and exercise of union rights, including the right to vote and right of access to executive or managerial positions within a trade union organisation; he may be precluded from involvement in the management of public law bodies and from holding an office governed by public law. He shall, moreover, have the right to be eligible for election to bodies representing employees in an undertaking.

These provisions shall be without prejudice to laws or regulations in the host state which confer more extensive rights on employed persons from the other Contracting Party.

6. Without prejudice to the provisions of Article 26 of this Annex, an employed person who is a national of a Contracting Party and employed in the territory of the other Contracting Party shall enjoy all the rights and all the advantages accorded to national employed persons in terms of housing, including ownership of the housing he needs.

Such a worker shall have the same right as nationals to register on the housing lists in the region in which he is employed, where such lists exist; he shall enjoy the resultant benefits and priorities.

If his family has remained in his state of provenance, it shall be considered for this purpose as residing in the said region, where national workers benefit from a similar presumption.

Article 10

Public service employment

A national of a Contracting Party pursuing an activity as an employed person may be refused the right to take up employment in the public service which involves the exercise of public power and is intended to protect the general interests of the state or other public bodies.

Article 11

Cooperation in relation to employment services.

The Contracting Parties shall cooperate, within the EURES (European Employment Services) network, in particular in setting up contacts, matching job vacancies and applications and exchanging information on the state of the labour market and living and working conditions.







III.

SELF-EMPLOYED PERSONS

Article 12

Rules regarding residence

1. A national of a Contracting Party wishing to become established in the territory of another Contracting Party in order to pursue a self-employed activity (hereinafter referred to as a ‘self-employed person’) shall receive a residence permit valid for a period of at least five years from its date of issue, provided that he produces evidence to the competent national authorities that he is established or wishes to become so.

2. The residence permit shall be extended automatically for a period of at least five years, provided that the self-employed person produces evidence to the competent national authorities that he is pursuing a self-employed economic activity.

3. When issuing residence permits, the Contracting Parties may not require self-employed persons to produce more than the following:

(a) the document by virtue of which he entered their territory;

(b) the evidence referred to in paragraphs 1 and 2.

4. A residence permit shall be valid throughout the territory of the issuing state.

5. Breaks in residence of less than six consecutive months and absences for the purposes of fulfilling military service obligations shall not affect the validity of the residence permit.

6. Valid residence permits may not be withdrawn from persons referred to in paragraph 1 merely because they are no longer working owing to temporary incapacity as a result of illness or accident.

Article 13

Self-employed frontier workers

1. A self-employed frontier worker is a national of a Contracting Party who is resident in the territory of a Contracting Party and who pursues a self-employed activity in the territory of the other Contracting Party, returning to his place of residence as a rule every day or at least once a week.

2. Self-employed frontier workers shall not require a residence permit.

The relevant authorities of the state concerned may nevertheless issue a self-employed frontier worker with a special permit valid for at least five years provided that he produces evidence to the competent national authorities that he is pursuing or wishes to pursue a self-employed activity. The permit shall be extended for at least five years, provided that the frontier worker produces evidence that he is pursuing a self-employed activity.

3. Special permits shall be valid throughout the territory of the issuing state.

Article 14

Occupational and geographical mobility

1. Self-employed persons shall have the right to occupational and geographical mobility throughout the territory of the host state.

2. Occupational mobility shall include change of occupation and changing from self-employed to employed status. Geographical mobility shall include changes in the place of work and residence.

Article 15

Equal treatment

1. As regards access to a self-employed activity and the pursuit thereof, a self-employed worker shall be afforded no less favourable treatment in the host country than that accorded to its own nationals.

2. The provisions of Article 9 of this Annex shall apply mutatis mutandis to the self-employed persons referred to in this Chapter.

Article 16

Exercise of public authority

A self-employed person may be denied the right to pursue an activity involving, even on an occasional basis, the exercise of public authority.







IV.

PROVISION OF SERVICES

Article 17

Persons providing services

With regard to the provision of services, the following shall be prohibited under Article 5 of this Agreement:

(a) any restriction on the cross-frontier provision of services in the territory of a Contracting Party not exceeding 90 days of actual work per calendar year;

(b) any restriction on the right of entry and residence in the cases covered by Article 5(2) of this Agreement concerning:

(i) persons providing services who are nationals of the Member States of the European Community or Switzerland and are established in the territory of a Contracting Party other than that of the person receiving services;

(ii) employees, irrespective of their nationality, of persons providing services, who are integrated into one Contracting Party's regular labour market and posted for the provision of a service in the territory of another Contracting Party without prejudice to Article 1.

Article 18

The provisions of Article 17 of this Annex shall apply to companies formed in accordance with the law of a Member State of the European Community or Switzerland and having their registered office, central administration or principal place of business in the territory of a Contracting Party.

Article 19

A person providing services who has the right or has been authorised to provide a service may, for the purposes of its provision, temporarily pursue his activity in the state in which the service is provided on the same terms as those imposed by that state on its own nationals, in accordance with the provisions of this Annex and Annexes II and III.

Article 20

1. Persons referred to in Article 17(b) of this Annex who have the right to provide a service shall not require a residence permit for periods of residence of 90 days or less. Such residence shall be covered by the documents referred to in Article 1, by virtue of which they entered the territory.

2. Persons referred to in Article 17(b) of this Annex who have the right or have been authorised to provide a service for a period exceeding 90 days shall receive, to substantiate that right, a residence permit for a period equal to that of the provision of services.

3. The right of residence shall apply throughout the territory of Switzerland or the Member State of the European Community concerned.

4. For the purposes of issuing residence permits, the Contracting Parties may not require of the persons referred to in Article 17(b) of this Annex more than:

(a) the document by virtue of which they entered the territory;

(b) evidence that they are providing or wish to provide a service.

Article 21

1. The total duration of provision of services under Article 17(a) of this Annex, whether continuous or consisting of successive periods of provision, may not exceed 90 days of actual work per calendar year.

2. The provisions of paragraph 1 shall be without prejudice to the discharge by the person providing a service of his legal obligations under the guarantee given to the person receiving the service or to cases of force majeure.

Article 22

1. The provisions of Articles 17 and 19 of this Annex shall not apply to activities involving, even on an occasional basis, the exercise of public authority in the Contracting Party concerned.

2. The provisions of Articles 17 and 19 of this Annex and measures adopted by virtue thereof shall not preclude the applicability of laws, regulations and administrative provisions providing for the application of working and employment conditions to employed persons posted for the purposes of providing a service. In accordance with Article 16 of this Agreement, reference is made to Directive 96/71/EC of 16 December 1996 concerning the posting of workers in the framework of the provision of services (OJ L 18, 21.1.1997, p. 1) ( 11 ).

3. The provisions of Articles 17(a) and 19 of this Annex shall be without prejudice to the applicability of the laws, regulations and administrative provisions prevailing in all Contracting Parties at the time of this Agreement's entry into force in respect of:

(i) the activities of temporary and interim employment agencies;

(ii) financial services where provision is subject to prior authorisation in the territory of a Contracting Party and the provider to prudential supervision by that Contracting Party's authorities.

4. The provisions of Articles 17(a) and 19 of this Annex shall be without prejudice to the applicability of the Contracting Parties' respective laws, regulations and administrative provisions concerning the provision of services of 90 days of actual work or less required by imperative requirements in the public interest.

Article 23

Persons receiving services

1. A person receiving services within the meaning of Article 5(3) of this Agreement shall not require a residence permit for a period of residence of three months or less. For a period exceeding three months, a person receiving services shall be issued with a residence permit equal in duration to the service. He may be excluded from social security schemes during his period of residence.

2. A residence permit shall be valid throughout the territory of the issuing state.







V.

PERSONS NOT PURSUING AN ECONOMIC ACTIVITY

Article 24

Rules regarding residence

1. A person who is a national of a Contracting Party not pursuing an economic activity in the state of residence and having no right of residence pursuant to other provisions of this Agreement shall receive a residence permit valid for at least five years provided he proves to the competent national authorities that he possesses for himself and the members of his family:

(a) sufficient financial means not to have to apply for social assistance benefits during their stay;

(b) all-risks sickness insurance cover ( 12 ).

The Contracting Parties may, if they consider it necessary, require the residence permit to be revalidated at the end of the first two years of residence.

2. Financial means shall be considered sufficient if they exceed the amount below which nationals, having regard to their personal situation and, where appropriate, that of their family, can claim social security benefits. Where that condition cannot be applied, the applicant's financial means shall be regarded as sufficient if they are greater than the level of the minimum social security pension paid by the host state.

3. Persons who have been employed for less than one year in the territory of a Contracting Party may reside there provided they comply with the conditions set out in paragraph 1 of this Article. The unemployment benefits to which they are entitled under national law which is, where appropriate, complemented by the provisions of Annex II, shall be considered to be financial means within the meaning of paragraphs 1(a) and 2 of this Article.

4. A student who does not have a right of residence in the territory of the other Contracting Party on the basis of any other provision of this Agreement shall be issued with a residence permit for a period limited to that of the training or to one year, if the training lasts for more than one year, provided he satisfies the national authority concerned, by means of a statement or, if he chooses, by any other at least equivalent means, that he has sufficient financial means to ensure that neither he, his spouse nor his dependent children will make any claim for social security of the host state during their stay, and provided he is registered in an approved establishment for the purpose of following, as his principal activity, a vocational training course and has all-risks sickness insurance cover. This Agreement does not regulate access to vocational training or maintenance assistance given to the students covered by this Article.

5. A residence permit shall automatically be extended for at least five years provided that the eligibility conditions are still met. Residence permits for students shall be extended annually for a duration equal to the remaining training period.

6. Breaks in residence of less than six consecutive months and absences for the purposes of fulfilling military service obligations shall not affect the validity of the residence permit.

7. A residence permit shall be valid throughout the territory of the issuing state.

8. The right of residence shall obtain for as long as beneficiaries of that right fulfil the conditions laid down in paragraph 1.







VI.

PURCHASE OF IMMOVABLE PROPERTY

Article 25

1. A national of a Contracting Party who has a right of residence and his principal residence in the host state shall enjoy the same rights as a national as regards the purchase of immovable property. He may set up his principal residence in the host state at any time in accordance with the relevant national rules irrespective of the duration of his employment. Leaving the host state shall not entail any obligation to dispose of such property.

2. The national of a Contracting Party who has a right of residence but does not have his principal residence in the host state shall enjoy the same rights as a national as regards the purchase of immovable property needed for his economic activity. Leaving the host state shall not entail any obligation to dispose of such property. He may also be authorised to purchase a second residence or holiday accommodation. This Agreement shall not affect the rules applying to pure capital investment or business of unbuilt land and apartments.

3. A frontier worker shall enjoy the same rights as a national as regards the purchase of immovable property for his economic activity and as a secondary residence. Leaving the host state shall not entail any obligation to dispose of such property. He may also be authorised to purchase holiday accommodation. This Agreement shall not affect the rules applying in the host state to pure capital investment or business of unbuilt land and apartments.







VII.

TRANSITIONAL PROVISIONS AND DEVELOPMENT OF THE AGREEMENT

Article 26

General provisions

1. When the quantitative restrictions laid down in Article 10 of this Agreement are applied, the provisions contained in this Chapter shall supplement or replace the other provisions of this Annex, as the case may be.

2. When the quantitative restrictions laid down in Article 10 of this Agreement are applied, the pursuit of an economic activity shall be subject to the issue of a residence and/or a work permit.

Article 27

Rules relating to the residence of employed persons

1. The residence permit of an employed person who has an employment contract for a period of less than one year shall be extended for up to a total of 12 months provided that the employed person furnishes proof to the competent national authorities that he is able to pursue an economic activity. A new residence permit shall be issued provided that the employed person furnishes proof that he is able to pursue an economic activity and that the quantitative limits laid down in Article 10 of this Agreement have not been reached. There shall be no obligation to leave the country between two employment contracts in accordance with Article 24 of this Annex.

2. During the period referred to in ►M10 Article 10(2b), (2c), (4c) and (4d) ◄ of this Agreement, a Contracting Party may require that a written contract or draft contract be produced before issuing a first residence permit.

3.

(a) Persons who have previously held temporary jobs in the territory of the host state for at least 30 months shall automatically have the right to take up employment for an unlimited duration ( 13 ). They may not be denied this right on the grounds that the number of residence permits guaranteed has been exhausted.

(b) Persons who have previously held seasonal employment in the territory of the host state for a total of not less than 50 months during the last 15 years and do not meet the conditions of entitlement to a residence permit in accordance with the provisions of subparagraph (a) above shall automatically have the right to take up employment for an unlimited duration.

Article 28

Employed frontier workers

1. An employed frontier worker is a national of a Contracting Party who has his normal place of residence in the frontier zones of Switzerland or neighbouring states and who pursues an activity as an employed person in the frontier zones of another Contracting Party returning as a rule to his principal residence every day, or at least once a week. For the purposes of this Agreement, frontier zones shall mean the zones defined in the agreements concluded between Switzerland and its neighbours concerning movement in frontier zones.

2. The special permit shall be valid throughout the frontier zone of the issuing state.

Article 29

Employed persons' right to return

1. An employed person who, on the date this Agreement entered into force, was holding a residence permit valid for at least one year and who has then left the host country shall be entitled to preferential access to the quota for a new residence permit within six years of his departure provided he proves that he is able to pursue an economic activity.

2. A frontier worker shall have the right to a new special permit within six years of the end of his previous employment over an uninterrupted period of three years, subject to verification of his pay and working conditions if he is employed for the two years following the Agreement's entry into force, provided he proves to the competent national authorities that he is able to pursue an economic activity.

3. Young persons who have left the territory of a Contracting Party after residing there for at least five years before the age of 21 shall have the right for a period of four years to return to that country and pursue an economic activity.

Article 30

Employed persons' occupational and geographical mobility

1. An employed person holding a residence permit valid for less than one year shall, for the twelve months following the commencement of his employment, have the right to occupational and geographical mobility. The right to change from employed to self-employed status shall also be allowed subject to compliance with Article 10 of this Agreement.

2. Special permits issued to employed frontier workers shall confer the right to occupational and geographical mobility within all the frontier zones of Switzerland or its neighbouring states.

Article 31

Rules relating to the residence of self-employed persons

A national of a Contracting Party wishing to become established in the territory of another Contracting Party in order to pursue a self-employed activity (hereinafter referred to as a ‘self-employed worker’) shall receive a residence permit valid for a period of six months. He shall receive a residence permit valid for at least five years provided that he proves to the competent national authorities before the end of the six-month period that he is pursuing a self-employed activity. If necessary, the six-month period may be extended by a maximum of two months if there is a genuine likelihood that he will produce such proof.

Article 32

Self-employed frontier workers

1. A self-employed frontier worker is a national of a Contracting Party who is ordinarily resident in the frontier zones of Switzerland or neighbouring states and who pursues a self-employed activity in the frontier zones of the other Contracting Party returning as a rule to his principal residence in principle every day or at least once a week. For the purposes of this Agreement, frontier zones shall mean the zones defined in the agreements concluded between Switzerland and its neighbouring states concerning movement in frontier zones.

2. A national of a Contracting Party who wishes in his capacity as a frontier worker to pursue a self-employed activity in the frontier zones of Switzerland or its neighbouring states shall receive a preliminary six-month special permit in advance. He shall receive a special permit for a period of at least five years provided that he proves to the competent national authorities, before the end of that six-month period, that he is pursuing a self-employed activity. If necessary, the six-month period may be extended by a maximum of two months if there is a genuine likelihood that he will produce such proof.

3. Special permits shall be valid throughout the frontier zone of the issuing state.

Article 33

Self-employed persons' right to return

1. A self-employed person who has held a residence permit valid for a period of at least five years and who has left the host state shall have the right to a new permit within six years of his departure provided he has already worked in the host country for an uninterrupted period of three years and proves to the competent national authorities that he is able to pursue an economic activity.

2. A self-employed frontier worker shall have the right to a new special permit within a period of six years of the termination of previous activity lasting for an uninterrupted period of four years provided he proves to the competent national authorities that he is able to pursue an economic activity.

3. Young persons who have left the territory of a Contracting Party after residing there for at least five years before the age of 21 shall have the right for a period of four years to return to that country and pursue an economic activity.

Article 34

Self-employed persons' occupational and geographical mobility

Special permits issued to self-employed frontier workers shall confer the right to occupational and geographical mobility within the frontier zones of Switzerland or its neighbouring states. Preliminary six-month residence permits issued in advance (in the case of frontier workers, special permits) shall confer the right only to geographical mobility.

▼M3

ANNEX I

TRANSITIONAL MEASURES ON THE PURCHASE OF LAND AND SECONDARY RESIDENCE

1. The Czech Republic

(a) The Czech Republic may maintain in force for five years from the date of its accession to the EU the rules laid down in the Foreign Exchange Act No 219/1995 Sb., as amended, on the acquisition of secondary residences by Swiss nationals non-resident in the Czech Republic and by companies formed in accordance with the laws of Switzerland and being neither established nor having a branch or a representative agency in the territory of the Czech Republic.

(b) The Czech Republic may maintain in force for seven years from the date of accession to the EU the rules laid down in the Foreign Exchange Act No 219/1995 Sb., as amended, Act No 229/1991 Sb., on the arrangement of ownership relations towards land and other agricultural property, and the Act No 95/1999 Sb., on conditions relating to the transfer of agricultural land and forests from the state ownership to ownership of other entities regarding the acquisition of agricultural land and forests by Swiss nationals and by companies formed in accordance with the laws of Switzerland which are neither established nor registered in the Czech Republic. Without prejudice to another provision of this point 1, a Swiss national may in no instance be treated less favourably in respect of the acquisition of agricultural land and forests than at the date of signature of the Protocol or be treated in a more restrictive way than a national of a third country.

(c) Self-employed farmers who are Swiss nationals and who wish to establish themselves and reside in the Czech Republic shall not be subject to the provisions of (b) or to any procedures other than those to which nationals of the Czech Republic are subject.

(d) A general review of these transitional measures shall be held in the third year following the date of accession of the Czech Republic to the EU. The Joint Committee may decide to shorten or terminate the transitional period indicated in (a).

(e) Should the Czech Republic introduce conditions for the acquisition of real estate in the Czech Republic by non-residents during the transitional period, they shall be based on transparent, objective, stable and public criteria. These criteria shall be applied in a non-discriminatory manner and shall not differentiate between nationals of Czech Republic and Swiss nationals.

(f) If there is sufficient evidence that, upon expiry of the transitional period, there will be serious disturbances or a threat of serious disturbances on the agricultural land market of the Czech Republic, the Joint Committee, at the request of the Czech Republic, shall decide upon the extension of the transitional period for up to a maximum of three years.

2. Estonia

(a) Estonia may maintain in force for seven years from the date of its accession to the EU, its legislation existing at the time of signature of this Protocol regarding the acquisition of agricultural land and forests by Swiss nationals and by companies formed in accordance with the laws of Switzerland and being neither established nor registered nor having a local branch or agency in Estonia. In no instance may a Swiss national be treated less favourably in respect of the acquisition of agricultural land and forests than at the date of signature of this Protocol or be treated in a more restrictive way than a national of a third country. According to this legislation, Estonia has adopted the Act on Restrictions on Acquisition of Immovable Property and the Amendments to the Land Reform Act, both from 12 February 2003.

(b) Swiss nationals who wish to establish themselves as self-employed farmers and reside in Estonia, and who have been legally resident and active in farming in Estonia for at least three years continuously, shall not be subject to the provisions of (a) or to any procedures other than those to which nationals of Estonia are subject.

(c) A general review of these transitional measures shall be held in the third year following the date of its accession to the EU. To this effect, the Commission of the European Communities (hereinafter referred to as ‘the Commission’) shall submit a report to the Joint Committee. The Joint Committee may decide to shorten or terminate the transitional period indicated in (a).

(d) If there is sufficient evidence that, upon expiry of the transitional period, there will be serious disturbances or a threat of serious disturbances on the agricultural land market of Estonia, the Joint Committee, at the request of Estonia, shall decide upon the extension of the transitional period for up to a maximum of three years.

3. Cyprus

Cyprus may maintain for five years from the date of its accession to the EU, its legislation as in force on 31 December 2000 regarding the acquisition of residences for secondary use.

According to the Acquisition of Real Estate (Aliens) Cap 109 and the Amending Laws 52/69, 55/72 and 50/90, the acquisition of real estate in Cyprus by non-Cypriots is subject to the approval by the Council of Ministers. The Council of Ministers has authorised the District Officers to grant approval on its behalf. When the real estate concerned exceeds 2 donums (1 donum = 1 338 m2), approval may be granted only for the following purposes:

(a) primary or secondary residence not exceeding an area of 3 donums,

(b) professional or commercial premises,

(c) industry in sectors deemed beneficial for the Cypriot economy.

The above law has been amended by the ‘Acquisition of Real Estate (Aliens) (Amendment) Law of 2003, No 54(I)/2003’. The new Law imposes no restrictions on EU nationals and EU registered companies for the acquisition of real estate linked to primary residence and foreign direct investment or the acquisition of real estate by EU real estate agents and land developers. Regarding the acquisition of residence for secondary use, the Law provides that for a period of five years, following Cyprus's accession to EU, EU nationals not permanently residing in Cyprus and EU registered companies not having their registered office, central administration or principal place of business in Cyprus, may not acquire real estate for the purpose of using it as secondary residence, without prior authorisation by the Council of Ministers, which has delegated its authority to the District Officers, as mentioned above.

4. Latvia

(a) Latvia may maintain in force for seven years from the date of accession the rules laid down in Law on Amendments to the Law on Privatisation of Land in Rural (in force since 14 April 2003) regarding the acquisition of agricultural land and forests by Swiss nationals and companies formed in accordance with the laws of Switzerland and being neither established nor registered nor having a local branch or agency in Latvia. In no instance may a national of Switzerland be treated less favourably in respect of the acquisition of agricultural land and forests than at the date of signature of this Protocol or be treated in a more restrictive way than a national of a third country.

(b) A general review of these transitional measures shall be held before the end of the third year following the date of its accession to the EU. To this effect, the Commission shall submit a report to the Joint Committee. The Joint Committee may decide to shorten or terminate the transitional period indicated in (a).

(c) If there is sufficient evidence that, upon expiry of the transitional period, there will be serious disturbances or a threat of serious disturbances on the agricultural land market of Latvia, the Joint Committee, at the request of Latvia, shall decide upon the extension of the transitional period for up to a maximum of three years.

5. Lithuania

(a) Lithuania may maintain in force for seven years from the date of its accession to the EU, its legislation existing at the time of signature of this Protocol regarding the acquisition of agricultural land and forests by Swiss nationals and by companies formed in accordance with the Swiss laws and being neither established nor registered nor having a local branch or agency in Lithuania. In no instance may a Swiss national be treated less favourably in respect of the acquisition of agricultural land and forests than at the date of signature of this Protocol or be treated in a more restrictive way than a national of a third country. According to this legislation, Swiss nationals and legal persons, as well as organisations set up in Switzerland without the status of a legal person, but with the civil capacity laid down in the Swiss laws, may not acquire agricultural land and forestry land before the end of the 7-year transitional period defined in the Treaty of Accession of the Republic of Lithuania to the European Union.

(b) Swiss nationals who wish to establish themselves as self-employed farmers and reside in Lithuania, and who have been legally resident and active in farming in Lithuania for at least three years continuously, shall not be subject to the provisions of (a) or to any procedures other than those to which nationals of Lithuania are subject.

(c) A general review of these transitional measures shall be held in the third year following the date of its accession to the EU. To this effect, the Commission shall submit a report to the Joint Committee. The Joint Committee may decide to shorten or terminate the transitional period indicated in (a).

(d) If there is sufficient evidence that, upon expiry of the transitional period, there will be serious disturbances or a threat of serious disturbances on the agricultural land market of Lithuania, the Joint Committee, at the request of Lithuania, shall decide upon the extension of the transitional period for up to a maximum of three years.

6. Hungary

(a) Hungary may maintain in force for five years from the date of its accession to the EU, its legislation contained in Act LV of 1994 on Agricultural Land as amended regarding the acquisition of secondary residences.

(b) Swiss nationals who have been legally resident in Hungary at least for four years continuously shall not be subject to the provisions of (a) or to any rules and procedures other than those to which nationals of Hungary are subject. During the transitional period Hungary shall apply authorisation procedures for the acquisition of secondary residences based on objective, stable, transparent and public criteria. These criteria shall be applied in a non-discriminatory manner and shall not differentiate between Swiss nationals residing in Hungary.

(c) Hungary may maintain in force for seven years from the date of its accession to the EU, the prohibitions contained in Act LV of 1994 on Agricultural Land as amended on the acquisition of agricultural land by natural persons who are non-residents or non nationals of Hungary and by legal persons.

(d) Swiss nationals who want to establish themselves as self-employed farmers and who have been legally resident and active in farming in Hungary at least for three years continuously, shall not be subject to the provisions of (c) or to any rules and procedures other than those to which nationals of Hungary are subject.

(e) A general review of these transitional measures shall be held in the third year following the date of its accession to the EU. To this effect, the Commission shall submit a report to the Joint Committee. The Joint Committee may decide to shorten or terminate the transitional period indicated in (c).

(f) Should Hungary apply authorisation procedures for the acquisition of agricultural land during the transitional period, they shall be based on objective, stable, transparent and public criteria. These criteria shall be applied in a non-discriminatory manner.

(g) If there is sufficient evidence that, upon expiry of the transitional period, there will be serious disturbances or a threat of serious disturbances on the agricultural land market of Hungary, the Joint Committee, at the request of Hungary, shall decide upon the extension of the transitional period for up to a maximum of three years.

7. Malta

Purchase of property in the Maltese islands is regulated by the Immovable Property (Acquisition by Non-Residents) Act (Cap. 246 of the Laws of Malta). This Act provides that:

(a) (1) A Swiss national may purchase immovable property in Malta to be used by such person as a residence (not necessarily a primary residence) provided such person does not already own another residence in Malta. Such purchases do not require the person to have a right of residence in Malta although they are subject to a permit which (with a limited number of exceptions specified in the legislation) may not be withheld if the value of the property is higher than an amount determined annually by an index (currently Lm 30 000 for an apartment and Lm 50 000 for a house). (2) Swiss nationals may also set up their primary residence in Malta at any time in accordance with the relevant national legislation. Leaving Malta shall not entail any obligation to dispose of any property acquired as a primary residence.

(b) Swiss nationals who purchase properties in special designated areas established by the Act (usually areas forming part of urban regeneration projects) do not require a permit for such purchases, neither are they limited in the number, use or value of such properties that they may purchase.

8. Poland

(a) Poland may maintain in force for five years from the date of its accession to the EU, its legislation existing at the time of signature of this Protocol regarding the acquisition of secondary residences. According to this legislation, a Swiss national will have to comply with the requirements laid down in the Act of 24 March 1920 on the Acquisition of Real Estate by Foreigners (Dz.U. 1996, Nr 54, poz. 245 with amendments), as amended.

(b) Swiss nationals who have been legally resident in Poland for four years continuously shall not, as regards the acquisition of secondary residences, be subject to the provisions of (c) or to any procedures other than those to which nationals of Poland are subject.

(c) Poland may maintain in force