Judgment of the General Court (Eighth Chamber) of 11 July 2018 –

Europa Terra Nostra v Parliament

(Case T‑13/17)

(Law governing the institutions — European Parliament — Decision awarding a grant to a political foundation — Pre-financing amount fixed at 33% of the maximum amount of the grant awarded — Obligation to provide a pre-financing bank guarantee — Financial Regulation — Rules for the application of the Financial Regulation — Regulation (EC) No 2004/2003 on the regulations governing political parties at European level and the rules regarding their funding — Proportionality — Misuse of powers)

1. EU budget — Financial regulation — Award of pre-financing — Obligation to lodge a bank guarantee — Inapplicability in the event of low value grants — Concept of low value grants (European Parliament and Council Regulation No 966/2012, Art. 134(1) and (2); Commission Regulation No 1268/2012, Arts 185 and 206(1)) (see paras 33-37)

2. European Parliament — Funding of European political parties — Award of pre-financing grants — Verification procedure — Conditions for starting the procedure — Requirement to produce supporting evidence — None — Requirement to show the probability of the effective exclusion of pre-financing from EU funding — None (European Parliament and Council Regulations No 2004/2003, Art. 5(2), and No 966/2012, Art. 134(1); Commission Regulation No 1268/2012, Art. 206(1); European Parliament’s Rules of Procedure, Art. 225(1) and (2); Decision of the Bureau of the European Parliament laying down the procedures for implementing Regulation No 2004/2003, Art. 6(1)) (see paras 44-46, 52)

3. EU law — Principles — Right to effective judicial protection — Scope (Charter of Fundamental Rights of the European Union, Art. 47) (see para. 58)

4. EU law — Principles — Duty to act within a reasonable time — Administrative procedure — Criteria for assessment (Charter of Fundamental Rights of the European Union, Art. 41(1)) (see para. 68)

5. Judicial proceedings — Application initiating proceedings — Formal requirements — Brief summary of the pleas in law on which the application is based (Rules of Procedure of the General Court, Art. 76(d)) (see para. 76)

6. Plea of illegality — Plea raised at the stage of the reply — Inadmissibility (Art. 277 TFEU; Rules of Procedure of the General Court, Art. 84(2)) (see para. 83)

7. EU law — Principles — Protection of legitimate expectations — Conditions — Specific assurances given by the authorities (see para. 88)

8. EU law — Principles — Proportionality — Scope (Art. 5(4) TEU) (see para. 94)

9. Judicial proceedings — Application for measures of inquiry and organisation of procedure — Conditions (Rules of Procedure of the General Court, Art. 88(2)) (see para. 103)

10. European Parliament — Funding of European political parties — Refusal of a grant application — Infringement of the rights of free speech and freedom of association — None (Charter of Fundamental Rights of the European Union, Arts 11 and 12; European Parliament and Council Regulation No 2004/2003) (see para. 115)

11. Actions for annulment — Pleas in law — Misuse of powers — Meaning (Art. 263 TFEU) (see para. 119)

Re:

Action under Article 263 TFEU for the annulment in part of Decision FINS-2017-30 of the European Parliament of 12 December 2016 relating to the award of a grant to the applicant, in so far as that decision limits the pre-financing amount to 33% of the maximum amount of the grant and makes its payment conditional on the provision of a bank guarantee.

Operative part

The Court:

1. Dismisses the action;