Council Regulation (EC) No 2679/98 of 7 December 1998 on the functioning of the internal market in relation to the free movement of goods among the Member States
Date: 1998-12-07
Institutions: Council of the European Union
Subjects: export policy, free movement of goods, import policy, single market, strike, trade restriction

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Official Journal of the European Communities

12. 12. 98

COUNCIL REGULATION (EC) No 2679/98

of 7 December 1998

on the functioning of the internal market in relation to the free movement of
goods among the Member States

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European
Community, and in particular Article 235 thereof,

Having regard to the proposal from the Commission (1),

Having regard to the opinion of the European Parlia-
ment (2),

Having regard to the opinion of the Economic and Social
Committee (3),

(1) Whereas, as provided for in Article 7a of the Treaty,
the internal market comprises an area without
internal frontiers in which, in particular, the free
movement of goods is ensured in accordance with
Articles 30 to 36 of the Treaty;

(2) Whereas breaches of this principle, such as occur
when in a given Member State the free movement
of goods is obstructed by actions of private indi-
viduals, may cause grave disruption to the proper
the internal market and inflict
functioning of
serious losses on the individuals affected;

(3) Whereas, in order to ensure fulfilment of the ob-
ligations arising from the Treaty, and, in particular,
to ensure the proper functioning of the internal
market, Member States should, on the one hand,
abstain from adopting measures or engaging in
conduct liable to constitute an obstacle to trade
and, on the other hand, take all necessary and
proportionate measures with a view to facilitating
the free movement of goods in their territory;

(4) Whereas such measures must not affect the exer-
cise of fundamental rights, including the right or
freedom to strike;

(5) Whereas this Regulation does not prevent any
actions which may be necessary in certain cases at
Community level to respond to problems in the
functioning of
taking into
account, where appropriate, the application of this
Regulation;

the internal market,

(6) Whereas Member States have exclusive competence
as regards the maintenance of public order and the
safeguarding of internal security as well as in deter-
mining whether, when and which measures are

(1) OJ C 10, 15. 1. 1998, p. 14.
(2) OJ C 359, 23. 11. 1998.
(3) OJ C 214, 10. 7. 1998, p. 90.

necessary and proportionate in order to facilitate
the free movement of goods in their territory in a
given situation;

(7) Whereas

there should be adequate and rapid
information between the Member
exchange of
States and the Commission on obstacles to the free
movement of goods;

(8) Whereas a Member State on the territory of which
obstacles to the free movement of goods occur
should take all necessary and proportionate meas-
ures to restore as soon as possible the free move-
ment of goods in their territory in order to avoid
the risk that the disruption or loss in question will
continue, increase or intensify and that there may
be a breakdown in trade and in the contractual
relations which underlie it; whereas such Member
State should inform the Commission and,
if
requested, other Member States of the measures it
has taken or intends to take in order fo fulfil this
objective;

(9) Whereas the Commission, in fulfilment of its duty
under the Treaty, should notify the Member State
concerned of its view that a breach has occurred
and the Member State should respond to that noti-
fication;

(10) Whereas the Treaty provides for no powers, other
than those in Article 235 thereof, for the adoption
of this Regulation,

HAS ADOPTED THIS REGULATION:

Article 1

For the purpose of this Regulation:

1. the term ‘obstacle' shall mean an obstacle to the free
movement of goods among Member States which is
attributable to a Member State, whether it involves
action or inaction on its part, which may constitute a
breach of Articles 30 to 36 of the Treaty and which:

(a)

leads to serious disruption of the free movement of
goods by physically or otherwise preventing,
delaying or diverting their import into, export from
or transport across a Member State,

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Official Journal of the European Communities

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(b) causes serious loss to the individuals affected, and

(a)

(c) requires immediate action in order to prevent any
the

intensification of

continuation,
disruption or loss in question;

increase or

take all necessary and proportionate measures so that
the free movement of goods is assured in the territory
of the Member State in accordance with the Treaty,
and

2. the term ‘inaction' shall cover the case when the
competent authorities of a Member State, in the pres-
ence of an obstacle caused by actions taken by private
individuals, fail to take all necessary and proportionate
measures within their powers with a view to removing
the obstacle and ensuring the free movement of goods
in their territory.

(b) inform the Commission of

the actions which its

authorities have taken or intend to take.

The Commission shall

2.
the
information received under paragraph 1(b) to the other
Member States.

immediately transmit

Article 2

Article 5

This Regulation may not be interpreted as affecting in
any way the exercise of fundamental rights as recognised
in Member States,
including the right or freedom to
strike. These rights may also include the right or freedom
to take other actions covered by the specific industrial
relations systems in Member States.

Article 3

1. When an obstacle occurs or when there is a threat
thereof

(a) any Member State (whether or not it is the Member
State concerned) which has relevant information shall
immediately transmit it to the Commission, and

(b) the Commission shall immediately transmit to the
Member States that information and any information
from any other source which it may consider relevant.

The Member State concerned shall respond as soon
2.
as possible to requests for information from the Commis-
sion and from other Member States concerning the nature
of the obstacle or threat and the action which it has taken
or proposes
Information exchange between
Member States shall also be transmitted to the Commis-
sion.

to take.

Article 4

1. When an obstacle occurs, and subject to Article 2,
the Member State concerned shall

1. Where the Commission considers that an obstacle is
occurring in a Member State, it shall notify the Member
State concerned of the reasons that have led the Commis-
sion to such a conclusion and shall request the Member
State to take all necessary and proportionate measures to
remove the said obstacle within a period which it shall
determine with reference to the urgency of the case.

In reaching its conclusion, the Commission shall

2.
have regard to Article 2.

3.
The Commission may publish in the Official
Journal of the European Communities the text of the
to the Member State
notification which it has sent
concerned and shall immediately transmit the text to any
party which requests it.

The Member State shall, within five working days of

4.
receipt of the text, either:

— inform the Commission of the steps which it has
taken or intends to take to implement paragraph 1, or
— communicate a reasoned submission as to why there
is no obstacle constituting a breach of Articles 30 to
36 of the Treaty.

5.
In exceptional cases, the Commission may allow an
extension of the deadline mentioned in paragraph 4 if the
Member State submits a duly substantiated request and
the grounds cited are deemed acceptable.

This Regulation shall be binding in its entirety and directly applicable in all Member
States.

Done at Brussels, 7 December 1998.

For the Council

The President

J. FARNLEITNER