Ludwigshafener Walzmühle Erling KG and others v Council and Commission of the European Communities.
Date: 1981-12-17
4 AS TO THIS OBJECTION , IT IS SUFFICIENT TO NOTE THAT , IN A CONSISTENT LINE OF DECISIONS , THE COURT HAS HELD THAT THE ACTION FOR DAMAGES UNDER ARTICLE 178 AND THE SECOND PARAGRAPH OF ARTICLE 215 OF THE TREATY WAS ESTABLISHED AS AN AUTONOMOUS FORM OF ACTION WITH A PARTICULAR PURPOSE TO FULFIL WITHIN THE SYSTEM OF ACTIONS AND THE EXERCISE OF IT IS SUBJECT TO CONDITIONS IMPOSED IN VIEW OF THE SPECIFIC OBJECTIVE THEREOF . THAT FORM OF ACTION IS DIFFERENT FROM AN ACTION FOR ANNULMENT IN THAT IT DOES NOT SEEK THE CANCELLATION OF A SPECIFIED MEASURE BUT COMPENSATION FOR DAMAGE CAUSED BY THE INSTITUTIONS IN THE EXERCISE OF THEIR FUNCTIONS ; THE CONDITIONS FOR ACTIONS FOR DAMAGES ARE LAID DOWN WITH THAT OBJECTIVE IN MIND AND ACCORDINGLY ARE DIFFERENT FORM THOSE FOR AN ACTION FOR ANNULMENT ( SEE JUDGMENT OF 2 JULY 1974 IN CASE 153/73 HOLTZ & WILLEMSEN ( 1974 ) ECR 675 , PARAGRAPHS 2 TO 5 OF THE DECISION ).
17 BEFORE EXAMINING THE APPLICANTS '  ARGUMENTS , IT IS APPROPRIATE TO INDICATE THE PRINCIPLES WHICH , ACCORDING TO THE CASE-LAW OF THE COURT , GOVERN THE NON-CONTRACTUAL LIABILITY OF THE COMMUNITY .
18 IN ITS JUDGMENT OF 28 APRIL 1971 ( CASE 4/69 LUTTICKE ( 1971 ) ECR 325 ), WHICH HAS SINCE BEEN CONFIRMED ON NUMEROUS OCCASIONS ( SEE IN PARTICULAR THE JUDGMENT OF 2 JULY 1974 , HOLTZ & WILLEMSEN , CITED ABOVE , PARAGRAPH 7 OF THE DECISION ), THE COURT MADE CLEAR THAT UNDER THE SECOND PARAGRAPH OF ARTICLE 215 AND THE GENERAL PRINCIPLES TO WHICH THAT PROVISION REFERS , COMMUNITY LIABILITY DEPENDS ON THE COINCIDENCE OF A SET OF CONDITIONS AS REGARDS THE UNLAWFULNESS OF THE ACTS ALLEGED AGAINST THE INSTITUTIONS , THE FACT OF DAMAGE AND THE EXISTENCE OF A DIRECT LINK IN THE CHAIN OF CAUSALITY BETWEEN THE WRONGFUL ACT AND THE DAMAGE COMPLAINED OF .
19 THE MEASURES WHICH , ACCORDING TO THE APPLICANTS , GAVE RISE TO THE ALLEGED DAMAGE ARE LEGISLATIVE MEASURES . WITH REGARD TO SUCH MEASURES , ACCORDING TO A SIMILARLY CONSISTENT SERIES OF DECISIONS OF THE COURT , THE COMMUNITY DOES NOT INCUR LIABILITY UNLESS A SUFFICIENTLY SERIOUS BREACH OF A SUPERIOR RULE OF LAW FOR THE PROTECTION OF THE INDIVIDUAL HAS OCCURRED ( JUDGMENT OF 2 DECEMBER 1971 , CASE 5/71 ZUCKERFABRIK SCHOPPENSTEDT ( 1971 ) ECR 975 ).
37 IT SHOULD BE REMEMBERED THAT , IN DETERMINING THEIR POLICY IN THIS AREA , THE COMPETENT COMMUNITY INSTITUTIONS ENJOY WIDE DISCRETIONARY POWERS REGARDING NOT ONLY ESTABLISHMENT OF THE FACTUAL BASIS OF THEIR ACTION BUT ALSO DEFINITION OF THE OBJECTIVES TO BE PURSUED , WITHIN THE FRAMEWORK OF THE PROVISIONS OF THE TREATY , AND THE CHOICE OF THE APPROPRIATE MEANS OF ACTION .
40 THE FACT THAT BEFORE THE CHANGES IN THE WORLD-MARKET CONDITIONS OCCURRED IN 1974 THE COUNCIL APPLIED A DIFFERENT POLICY FOR A LONG PERIOD DOES NOT CONFER UPON THE PRODUCERS AND PROCESSING UNDERTAKINGS INVOLVED ANY ENTITLEMENT TO PRESERVATION OF SUCH ADVANTAGES AS THE ESTABLISHED POLICY MAY HAVE ALLOWED THEM ; NOR DOES THAT FACT IMPOSE ANY LIMITATION ON THE FREEDOM OF THE     COMMISSION AND THE COUNCIL TO ADJUST THEIR POLICY IN STEP WITH DATA REFLECTING THE EVOLUTION OF THE MARKET AND WITH THE OBJECTIVES PURSUED . IN THIS CONNECTION IT IS SUFFICIENT TO REFER TO THE JUDGMENTS OF 13 NOVEMBER 1973 ( CITED ABOVE , PARAGRAPH 12 OF THE DECISION ) AND 2 JUNE 1976 ( JOINED CASES 56 TO 60/74 KAMPFFMEYER AND OTHERS ( 1976 ) ECR 711 , PARAGRAPH 13 OF THE DECISION ). IN PARTICULAR , THE INTENTION EVINCED IN THE EIGHTH RECITAL IN THE PREAMBLE TO REGULATION NO 2727/75 IS NOT TO BE REGARDED AS THE EXPRESSION OF A RULE OF LAW OF WHICH OBSERVANCE IS THEREFORE MANDATORY FOR THE INSTITUTIONS .
41 WITH REGARD TO THE ARGUMENT BASED ON ARTICLE 39 ( 1 ) ( C ) OF THE TREATY , IT SHOULD BE POINTED OUT IN THE FIRST PLACE THAT ACCORDING TO A CONSISTENT LINE OF DECISIONS OF THE COURT , THE INSTITUTIONS MUST RECONCILE THE VARIOUS OBJECTIVES LAID DOWN BY ARTICLE 39 , A FACT WHICH PRECLUDES THE ISOLATION OF ANY ONE OF THOSE OBJECTIVES , SUCH AS THE STABILIZATION OF CERTAIN SITUATIONS WHICH HAVE BECOME ESTABLISHED , IN SUCH A WAY AS TO RENDER IMPOSSIBLE THE REALIZATION OF OTHER OBJECTIVES SUCH AS , IN THIS CASE , THE RATIONAL DEVELOPMENT OF AGRICULTURAL PRODUCTION AND SECURITY OF SUPPLIES , WHERE , AS IN THE CASE OF DURUM WHEAT , THERE IS A SHORTFALL OF THE PRODUCT CONCERNED .