Keywords

Summary



Keywords

1 . PRELIMINARY QUESTIONS - COURT OF JUSTICE - NATIONAL COURTS - JURISDICTION OF EACH

( EEC TREATY , ART . 177 )

2 . AGRICULTURE - MONETARY COMPENSATORY AMOUNTS - OBJECTIVE - MAINTENANCE OF THE SYSTEM OF SINGLE PRICES WITHIN THE COMMON ORGANIZATION OF AGRICULTURAL MARKETS - ADDITIONAL PROTECTION FOR NATIONAL MARKETS - EXCLUSION

( REGULATION NO 974/71 OF THE COUNCIL )

3 . AGRICULTURE - MONETARY COMPENSATORY AMOUNTS - OBJECTIVE - SPECIFIC RELATIONSHIP TO LEVIES AND REFUNDS

4 . AGRICULTURE - MONETARY COMPENSATORY AMOUNTS - FIXING - DERIVED PRODUCTS - CALCULATION OF INCIDENCE OF MONETARY COMPENSATORY AMOUNT APPLICABLE TO BASIC PRODUCT - DISCRETION OF COMMISSION - LIMITS

( REGULATION NO 974/71 OF THE COUNCIL , ART . 2 ( 2 ))

5 . AGRICULTURE - MONETARY COMPENSATORY AMOUNTS - FIXING - DERIVED PRODUCTS - CALCULATION OF INCIDENCE OF MONETARY COMPENSATORY AMOUNT APPLICABLE TO BASIC PRODUCT - RULE AS TO CEILING - SUM OF MONETARY COMPENSATORY AMOUNTS ON DERIVED PRODUCTS IN EXCESS OF COMPENSATORY AMOUNT ON BASIC PRODUCT - NOT PERMISSIBLE

( REGULATION NO 974/71 OF THE COUNCIL , ART . 2 ( 2 ); COMMISSION REGULATION NO 938/77 )

6 . PRELIMINARY QUESTIONS - APPRAISAL OF VALIDITY - DECLARATION THAT A REGULATION IS VOID - EFFECTS - APPLICATION BY ANALOGY OF SECOND PARAGRAPH OF ARTICLE 174 OF THE TREATY

( EEC TREATY , SECOND PARAGRAPH OF ART . 174 AND ART . 177 )

Summary

1 . ALTHOUGH , WITHIN THE FRAMEWORK OF THE DISTRIBUTION OF TASKS BETWEEN THE NATIONAL COURTS AND THE COURT OF JUSTICE FOR THE IMPLEMENTATION OF ARTICLE 177 OF THE TREATY , IT IS FOR THE NATIONAL COURTS TO DECIDE THE RELEVANCE OF THE QUESTIONS WHICH ARE REFERRED TO THE COURT OF JUSTICE , IT IS HOWEVER RESERVED TO THE COURT OF JUSTICE TO EXTRACT FROM ALL THE INFORMATION PROVIDED BY THE NATIONAL COURT THOSE POINTS OF COMMUNITY LAW WHICH , HAVING REGARD TO THE SUBJECT-MATTER OF THE DISPUTE , REQUIRE INTERPRETATION , OR WHOSE VALIDITY REQUIRES APPRAISAL .

2 . THE INTRODUCTION OF MONETARY COMPENSATORY AMOUNTS IS ESSENTIALLY INTENDED TO MAINTAIN THE SYSTEM OF SINGLE PRICES WITHIN THE COMMON ORGANIZATION OF AGRICULTURAL MARKETS , SINCE THAT SYSTEM OF SINGLE PRICES , HAVING REGARD TO THE OBJECTIVES OF SUCH ORGANIZATIONS , THAT IS , TO MAINTAIN THE STANDARD OF LIVING OF AGRICULTURAL PRODUCERS AND TO STABILIZE THE MARKETS , CONSTITUTES THE FOUNDATION OF THE FREE MOVEMENT OF AGRICULTURAL PRODUCTS WITHIN THE COMMUNITY . ITS OBJECTIVE IS NOT AND CANNOT BE TO PROVIDE ADDITIONAL PROTECTION FOR THE MARKETS IN RESPECT OF THE LEVEL OF AGRICULTURAL PRICES OF ONE PARTICULAR STATE IN RELATION TO THE OTHERS , WHICH WOULD BE INCOMPATIBLE WITH THE UNIFORMITY SOUGHT .

3 . MONETARY COMPENSATORY AMOUNTS ARE NOT INTENDED TO SUPPLEMENT THE PROCTECTION PROVIDED BY LEVIES AND REFUNDS IN TRADE WITH NON-MEMBER COUNTRIES , BUT TO MAINTAIN , TO THE EXCLUSION OF ANY PROTECTIVE ELEMENT , THE SYSTEM OF SINGLE AGRICULTURAL PRICES WITHIN THE COMMON MARKET BY NEUTRALIZING DISTORTION ARISING BETWEEN ONE MEMBER STATE AND ANOTHER FROM THE FACT THAT THE COMMON PRICES ARE CALCULATED ON THE BASIS OF A RATE OF CONVERSION OF CURRENCIES ( THE GREEN RATE ) WHICH DOES NOT CORRESPOND TO THOSE CURRENCIES ' TRUE RATE OF EXCHANGE .

4 . IT IS FOR THE COMMISSION TO RESOLVE THE TECHNICAL AND ECONOMIC PROBLEMS CAUSED BY THE CALCULATION OF THE INCIDENCE - WITHIN THE MEANING OF ARTICLE 2 ( 2 ) OF REGULATION NO 974/71 - ON THE PRICES OF DEPENDENT PRODUCTS OF THE MONETARY COMPENSATORY AMOUNT FIXED FOR A BASIC PRODUCT . IN DOING SO IT MUST MAINTAIN A DEGREE OF CONSISTENCY AND CLARITY IN THE SYSTEM OF MONETARY COMPENSATORY AMOUNTS WHICH IT IS REQUIRED TO ESTABLISH IN THAT SECTOR . ALTHOUGH FOR THIS PURPOSE IT HAS A WIDE MARGIN OF DISCRETION WHICH MAY EVEN EXTEND TO GENERAL ASSESSMENTS , THAT DISCRETION NEVERTHELESS HAS LIMITS . THUS IF THE RESULT OF THE METHOD OF CALCULATION EMPLOYED IS PERSISTENTLY TO APPLY TO PROCESSED PRODUCTS COMPENSATORY AMOUNTS THE BURDEN OR , AS THE CASE MAY BE , THE BENEFIT OF WHICH CONTINUALLY EXCEEDS THE AMOUNT NECESSARY TO TAKE ACCOUNT OF THE INCIDENCE OF THE COMPENSATORY AMOUNT APPLICABLE TO THE BASIC PRODUCT , THE OBJECTIVE OF THE PROVISIONS ESTABLISHING THESE AMOUNTS MAY NO LONGER BE DEEMED TO BE TO NEUTRALIZE THE EFFECTS OF THE CURRENCY FLUCTUATIONS BETWEEN THE MEMBER STATES . IN THAT CASE THE COMMISSION NO LONGER ACTS WITHIN ITS POWERS UNDER REGULATION NO 974/71 .

5 . THE COMMISSION MAY NOT ADOPT , WITH REGARD TO PRODUCTS PROCESSED FROM THE BASIC PRODUCT THE PRICE OF WHICH DEPENDS ON THAT OF THE LATTER PRODUCT , A SYSTEM FOR CALCULATING MONETARY COMPENSATORY AMOUNTS WHICH RESULTS IN ESTABLISHING FOR THE VARIOUS PRODUCTS OBTAINED BY PROCESSING A GIVEN QUANTITY OF THE BASIC PRODUCT IN A SPECIFIC MANUFACTURING PROCESS MONETARY COMPENSATORY AMOUNTS THE SUM OF WHICH AMOUNTS TO A FIGURE CLEARLY IN EXCESS OF THAT OF THE MONETARY COMPENSATORY AMOUNT FIXED FOR THAT GIVEN QUANTITY OF THE BASIC PRODUCT .

6 . THE SECOND PARAGRAPH OF ARTICLE 174 OF THE EEC TREATY , WHEREBY THE COURT OF JUSTICE MAY STATE WHICH OF THE EFFECTS OF A REGULATION WHICH IT HAS DECLARED VOID SHALL BE CONSIDERED AS DEFINITIVE , IS APPLICABLE BY ANALOGY , FOR THE SAME REASONS OF LEGAL CERTAINTY AS THOSE WHICH FORM THE BASIS OF THAT PROVISION , TO THE JUDGMENTS WHEREBY THE COURT , IN GIVING A RULING UNDER ARTICLE 177 , DECLARES THAT A REGULATION IS VOID .