CELEX: C1999/352/13
Language: en
Date: 1999-12-04 00:00:00
Title: Judgment of the Court (Fifth Chamber) of 14 September 1999 in Case C-275/97 (reference for a preliminary ruling from the Finanzgericht Köln): DE + ES Bauunternehmung GmbH v Finanzamt Bergheim (Directive 78/660/EEC - Annual accounts - Principle of a true and fair view - Principle that valuations must be made on a prudent basis - Principle that valuations must be made separately - Global provisions for a number of potential liabilities - Conditions governing the making of provisions)

4.12.1999                 EN                        Official Journal of the European Communities                                             C 352/7
                   JUDGMENT OF THE COURT                                                         JUDGMENT OF THE COURT
                            (Fifth Chamber)
                                                                                                      of 14 September 1999
                       of 14 September 1999
                                                                               in Case C-375/97 (reference for a preliminary ruling from
in Case C-275/97 (reference for a preliminary ruling from                      the Tribunal de Commerce de Tournai): General Motors
the Finanzgericht Köln): DE + ES Bauunternehmung                                                   Corporation v Yplon SA (1)
                 GmbH v Finanzamt Bergheim (1)
(Directive 78/660/EEC — Annual accounts — Principle of                         (Directive 89/104/EEC — Trade marks — Protection —
a true and fair view — Principle that valuations must be                       Non-similar products or services — Trade mark having a
made on a prudent basis — Principle that valuations must                                                     reputation)
be made separately — Global provisions for a number of
potential liabilities — Conditions governing the making of
                               provisions)                                                                (1999/C 352/14)
                            (1999/C 352/13)
                                                                                                    (Language of the case: French)
                    (Language of the case: German)
(Provisional translation; the definitive translation will be published         (Provisional translation; the definitive translation will be published
                     in the European Court Reports)                                                in the European Court Reports)
In Case C-275/97: reference to the Court under Article 177 of                  In Case C-375/97: reference to the Court under Article 177 of
the EC Treaty (now Article 234 EC) from the Finanzgericht                      the EC Treaty (now Article 234 EC) from the Tribunal de
Köln, Germany, for a preliminary ruling in the proceedings                     Commerce (Commercial Court) de Tournai (Belgium) for a
pending before that court between DE + ES Bauunternehmung                      preliminary ruling in the proceedings pending before that
GmbH and Finanzamt Bergheim — on the interpretation of                         court between General Motors Corporation and Yplon SA —
the Fourth Council Directive (78/660/EEC) of 25 July 1978                      on the interpretation of Article 5(2) of the First Council
based on Article 54(3)(g) of the Treaty on the annual accounts                 Directive (89/104/EEC) of 21 December 1988 to approximate
of certain types of companies (OJ 1978 L 222, p. 11) — the                     the laws of the Member States relating to trade marks (OJ
Court (Fifth Chamber), composed of: J.-P. Puissochet, President                1989 L 40, p. 1) — the Court, composed of: J.-P. Puissochet
of the Fifth Chamber, P. Jann, D.A.O. Edward (Rapporteur),                     (President of the Third and Fifth Chambers), acting for the
L. Sevón and M. Wathelet, Judges; P. Léger, Advocate General;                 President, P. Jann (President of Chamber), J.C. Moitinho de
R. Grass, Registrar, has given a judgment on 14 September                      Almeida, C. Gulmann (Rapporteur), J.L. Murray, D.A.O. Ed-
1999, in which it has ruled:                                                   ward, H. Ragnemalm, M. Wathelet and R. Schintgen, Judges;
                                                                               F.G. Jacobs, Advocate General; R. Grass, Registrar, has given a
The Fourth Council Directive (78/660/EEC) of 25 July 1978 based                judgment on 14 September 1999, in which it has ruled:
on Article 54(3)(g) of the Treaty on the annual accounts of certain
types of companies requires provision to be made for potential
liabilities under warranties, such as those in question in the main            Article 5(2) of the First Council Directive (89/104/EEC) of
proceedings, as obligations arising in law before the date of the              21 December 1988 to approximate the laws of the Member States
balance sheet but whose effects will not become apparent until after           relating to trade marks is to be interpreted as meaning that, in order
that date. A single provision for all such potential liabilities must be       to enjoy protection extending to non-similar products or services, a
made where, as in the present case, a global valuation is the most             registered trade mark must be known by a significant part of the
appropriate way of ensuring that the expenditure to be shown under             public concerned by the products or services which it covers. In the
Liabilities represents a true and fair view of its amount. In the absence      Benelux territory, it is sufficient for the registered trade mark to be
of Community rules specifically applying to the method and criteria            known by a significant part of the public concerned in a substantial
for evaluating provisions for charges and liabilities, those provisions        part of that territory, which part may consist of a part of one of the
should be determined under the conditions laid down by the national            countries composing that territory.
legislation of the various Member States, on condition, however, that
the annual accounts give a true and fair view of the assets, financial
position and the profit or loss of the company and that the provisions
do not exceed in amount the sums which are necessary.
                                                                               (1) OJ C 387 of 20.12.1997.
(1) OJ C 295 of 27.9.1997.