CONTRARY IT COULD BE INFERRED THAT IF THEIR APPLICATION WERE TO CONTINUE AFTER 31 DECEMBER 1977 A NEW REGULATION WOULD BE NECESSARY .
57THEREFORE THE STATEMENT OF THE REASONS ON WHICH REGULATION NO 2657/77 IS BASED IS SUFFICIENT , AND THE ANSWER TO QUESTION 3 ( B ) ( II ) MUST BE IN THE NEGATIVE .
QUESTION 4
58QUESTION 4 ASKS WHETHER REGULATION NO 2657/77 CAN BE CONSIDERED APPLICABLE TO THE EXPORTATION OF PRODUCTS LISTED IN REGULATION NO 800/77 FROM ITALY TO OTHER MEMBER STATES OR TO NON-MEMBER COUNTRIES AFTER 1 JANUARY 1978 IN PERFORMANCE OF CONTRACTS CONCLUDED BEFORE 1 DECEMBER 1977 , THE DATE ON WHICH REGULATION NO 2657/77 WAS ADOPTED .
59THE ITALIAN GOVERNMENT AND THE PLAINTIFF SUBMIT THAT THERE IS ALSO A BREACH OF THE PRINCIPLE OF LEGITIMATE EXPECTATIONS INASMUCH AS THE FIXING OF THE PERIOD LAID DOWN IN REGULATION NO 800/77 WAS SO IMPERATIVE THAT IT WAS TO BE EXPECTED THAT THE COMPENSATORY AMOUNTS WOULD NOT APPLY BEYOND 31 DECEMBER 1977 .
60THEY SUBMIT THAT THE FACT THAT REGULATION NO 2657/77 ENTERED INTO FORCE A MONTH BEFORE THAT PERIOD EXPIRED IS NOT SUFFICIENT TO PROTECT LEGITIMATE EXPECTATIONS SINCE IT HAD BEEN DECLARED THAT THE PERIOD COULD NOT BE PROLONGED , THE TERMS OF THE SECOND SUBPARAGRAPH OF ARTICLE 2 ( 2 ) OF REGULATION NO 800/77 PROVIDING THAT ' ' MONETARY COMPENSATORY AMOUNTS SHALL NOT APPLY BEYOND 31 DECEMBER 1977 ' ' .
61THEY SUBMIT THAT CONSEQUENTLY , EVEN IF REGULATION NO 2657/77 WERE NOT TO BE DECLARED INVALID , THE MONETARY COMPENSATORY AMOUNTS SHOULD NOT BE APPLIED TO CONTRACTS CONCLUDED BEFORE THE ENTRY INTO FORCE OF THAT REGULATION , THAT IS TO SAY BEFORE 1 DECEMBER 1977 .
62HOWEVER , IN THE LIGHT OF THE TERMS OF THE SIXTH RECITAL IN THE PREAMBLE TO REGULATION NO 800/77 WHICH IS CITED ABOVE , A PRUDENT TRADER COULD NOT INFER FROM THE WORDING OF THE SECOND SUBPARAGRAPH OF ARTICLE 2 ( 2 ) OF THAT REGULATION THAT THE COMMISSION WOULD ABOLISH COMPENSATORY AMOUNTS ON THE PRODUCTS IN QUESTION IF THE SITUATION AT THE END OF THE YEAR REMAINED UNCHANGED .
63THERE WERE THEREFORE NO GROUNDS FOR EXEMPTING FROM THE APPLICATION OF COMPENSATORY AMOUNTS CONTRACTS CONCLUDED BEFORE THE DATE OF REGULATION NO 2657/77 .
Decision on costs
COSTS
64THE COSTS INCURRED BY THE IRISH GOVERNMENT , THE ITALIAN GOVERNMENT AND THE COMMISSION OF THE EUROPEAN COMMUNITIES , WHICH SUBMITTED OBSERVATIONS TO THE COURT , ARE NOT RECOVERABLE .
65AS THESE PROCEEDINGS ARE , IN SO FAR AS THE PARTIES TO THE MAIN ACTION ARE CONCERNED , IN THE NATURE OF A STEP IN THE ACTION PENDING BEFORE THE PRETURA DI MILANO , THE DECISION ON COSTS IS A MATTER FOR THAT COURT .
Operative part
ON THOSE GROUNDS ,
THE COURT ,
IN ANSWER TO THE QUESTIONS REFERRED TO IT BY THE PRETURA DI MILANO BY AN ORDER OF 11 APRIL 1978 , HEREBY RULES :
1 . CONSIDERATION OF THE PROVISIONS IN QUESTION HAS DISCLOSED NO