Parties
Subject of the case
Grounds
Operative part
Keywords
APPLICATION FOR THE ADOPTION OF INTERIM MEASURES - SUSPENSION OF OPERATION - CONDITIONS FOR GRANT THEREOF - URGENCY - NONE , BECAUSE OF UNDERTAKINGS GIVEN TO THE COURT
( ECSC TREATY , ART . 39 ; RULES OF PROCEDURE , ART . 82 ( 2 ))
Parties
IN CASE 45/84 R
EUROPEAN INDEPENDENT STEELWORKS ASSOCIATION , AN ASSOCIATION OF UNDERTAKINGS FORMED UNDER THE LAW OF BELGIUM , WHOSE REGISTERED OFFICE IS AT 21 RUE DUCALE , BRUSSELS , REPRESENTED BY MICHEL WAELBROECK OF THE BRUSSELS BAR , WITH AN ADDRESS FOR SERVICE IN LUXEMBOURG AT THE CHAMBERS OF ERNEST ARENDT , 34 RUE PHILIPPE-II ,
APPLICANT ,
V
COMMISSION OF THE EUROPEAN COMMUNITIES , 200 RUE DE LA LOI , 1049 BRUSSELS , REPRESENTED BY R . WAGENBAUR OF ITS LEGAL DEPARTMENT , ACTING AS AGENT , WITH AN ADDRESS FOR SERVICE IN LUXEMBOURG AT THE OFFICE OF MANFRED BESCHEL , JEAN MONNET BUILDING , KIRCHBERG ,
DEFENDANT ,
Subject of the case
APPLICATION PURSUANT TO ARTICLE 39 OF THE ECSC TREATY FOR THE SUSPENSION OF THE OPERATION OF ARTICLE 15 B OF COMMISSION DECISION NO 234/84/ECSC OF 31 JANUARY 1984 ON THE EXTENSION OF THE SYSTEM OF MONITORING AND PRODUCTION QUOTAS FOR CERTAIN PRODUCTS OF UNDERTAKINGS IN THE STEEL INDUSTRY ,
Grounds
1 ON 20 FEBRUARY 1984 THE APPLICANT BROUGHT AN ACTION IN WHICH IT REQUESTED THE COURT TO DECLARE VOID ARTICLE 15 B OF COMMISSION DECISION NO 234/84/ECSC OF 31 JANUARY 1984 ( OFFICIAL JOURNAL , 1984 , L 29 ) ON THE EXTENSION OF THE SYSTEM OF MONITORING AND PRODUCTION QUOTAS FOR CERTAIN PRODUCTS OF UNDERTAKINGS IN THE STEEL INDUSTRY .
2 AT THE SAME TIME THE APPLICANT MADE AN APPLICATION FOR THE SUSPENSION OF THE OPERATION OF THAT ARTICLE OF THE DECISION PURSUANT TO ARTICLE 39 OF THE ECSC TREATY .
3 IN SUPPORT OF ITS APPLICATION THE APPLICANT ARGUES THAT ARTICLE 15 B OF THE DECISION COMPLETES THE IMPLEMENTATION BY THE COMMISSION OF THE POLICY OF FREEZING TRADITIONAL PATTERNS OF TRADE BETWEEN MEMBER STATES , ADOPTED BY THE COUNCIL ON 22 DECEMBER 1983 .
4 ARTICLE 15 B OF DECISION NO 234/84 PROVIDES THAT A MEMBER STATE MAY SUBMIT A COMPLAINT TO THE COMMISSION IF IT ESTABLISHES , WITH REGARD TO CERTAIN CATEGORIES OF STEEL PRODUCTS , THAT DELIVERIES OF PRODUCTS IN ONE OF THOSE CATEGORIES HAVE BEEN ALTERED DURING A QUARTER TO A SIGNIFICANT EXTENT COMPARED WITH TRADITIONAL DELIVERIES . AFTER EXAMINING WHETHER THE COMPLAINT IS JUSTIFIED , IN ACCORDANCE WITH THE PROCEDURES LAID DOWN IN THE DECISION , THE COMMISSION MAY REQUEST THE UNDERTAKINGS IN QUESTION TO GIVE A COMMITMENT IN WRITING THAT , DURING THE FOLLOWING QUARTER , THEY WILL CORRECT THE IMBALANCE IN THEIR TRADITIONAL DELIVERIES . IF AN UNDERTAKINGS DOES NOT GIVE SUCH A COMMITMENT , OR IF THE COMMITMENT IS NOT HONOURED , THE COMMISSION MAY , PURSUANT TO THAT PROVISION , REDUCE THE PART OF THE UNDERTAKING ' S QUOTA WHICH MAY BE DELIVERED IN THE COMMON MARKET FOR THE FOLLOWING QUARTER BY A QUANTITY NOT EXCEEDING THAT WHICH CAUSED THE IMBALANCE IN TRADITIONAL DELIVERIES .
5 ACCORDING TO ARTICLE 39 OF THE TREATY ESTABLISHING THE EUROPEAN COAL AND STEEL COMMUNITY , ACTIONS BROUGHT BEFORE THE COURT DO NOT HAVE SUSPENSORY EFFECT . THE COURT MAY , HOWEVER , IF IT CONSIDERS THAT CIRCUMSTANCES SO REQUIRE , ORDER THAT THE APPLICATION OF THE CONTESTED DECISION BE SUSPENDED . IT MAY ALSO PRESCRIBE ANY OTHER NECESSARY INTERIM MEASURES .
6 ACCORDING TO ARTICLE 83 ( 2 ) OF THE COURT ' S RULES OF PROCEDURE , THE COURT MAY SUSPEND THE OPERATION OF A MEASURE OR GRANT OTHER INTERIM MEASURES ONLY WHERE THERE ARE CIRCUMSTANCES GIVING RISE TO URGENCY AND FACTUAL AND LEGAL GROUNDS ESTABLISHING A PRIMA FACIE CASE FOR SUCH MEASURES .
7 ARTICLE 15 B WAS ADOPTED ON THE BASIS , IN PARTICULAR , OF ARTICLE 58 OF THE TREATY . THAT ARTICLE PERMITS THE COMMISSION , IN THE EVENT OF A REDUCTION IN DEMAND AMOUNTING TO A MANIFEST CRISIS , TO ESTABLISH PRODUCTION QUOTAS . THOSE QUOTAS MUST BE DETERMINED ON AN EQUITABLE BASIS , TAKING INTO ACCOUNT THE PRINCIPLES SET OUT IN ARTICLES 2 , 3 AND 4 OF THE ECSC TREATY , WHICH IN THE LAST-MENTIONED ARTICLE DECLARES QUANTITATIVE RESTRICTIONS ON THE MOVEMENT OF STEEL PRODUCTS TO BE INCOMPATIBLE WITH THE COMMON MARKET FOR COAL AND STEEL .
8 SINCE THE PROCEDURE PROVIDED FOR IN ARTICLE 15 B WILL BE USED AGAINST UNDERTAKINGS WHICH HAVE ALTERED THEIR DELIVERIES TO A SIGNIFICANT EXTENT COMPARED WITH TRADITIONAL DELIVERIES , IT CANNOT AT FIRST SIGHT BE EXCLUDED THAT ARTICLE 15 B MAY BE DIRECTED TOWARDS OBJECTIVES OTHER THAN THOSE PERMITTED BY ARTICLE 58 OF THE TREATY , INASMUCH AS IT CONDUCES TO THE ESTABLISHMENT OF QUANTITATIVE RESTRICTIONS ON TRADE BETWEEN MEMBER STATES IN SOME STEEL PRODUCTS .
9 SIMPLY BY READING THE DECISION IT WOULD BE DIFFICULT FOR A PRODUCER OR DEALER TO IDENTIFY THE CIRCUMSTANCES IN WHICH HE COULD CONTINUE TO EXPORT TO OTHER MEMBER STATES . FOR EXAMPLE , THE TERM ' ' TRADITIONAL DELIVERIES ' ' IS NOT DEFINED IN THE DECISION ; NOR DOES IT EXPLAIN WHAT IS MEANT BY ' ' ALTERATION OF DELIVERIES TO A SIGNIFICANT EXTENT ' ' .
10 THE DECISION CONTAINS NO LIMIT OR CONDITION ON THE USE OF THE POWER TO REDUCE QUOTAS IF A SIGNIFICANT ALTERATION IN TRADITIONAL DELIVERIES IS ESTABLISHED . IN PARTICULAR , AN UNDERTAKING WHICH OBSERVES THE RULES ON PRICES , QUOTAS , COMPETITION AND STATE AID MAY FEAR SANCTIONS MERELY BECAUSE IT HAS INCREASED ITS DELIVERIES TO OTHER MEMBER STATES .
11 BECAUSE OF THE INFLUENCE WHICH IT IS LIKELY TO HAVE ON THE IMMEDIATE ACTIONS OF UNDERTAKINGS , THE SYSTEM SO ESTABLISHED IS SUCH THAT THE REQUIREMENT OF URGENCY WOULD NORMALLY BE CONSIDERED TO HAVE BEEN MET .
12 HOWEVER , DURING THE INTERLOCUTORY PROCEEDINGS THE COMMISSION HAS MADE A NUMBER OF STATEMENTS WITH REGARD TO THE WAY IN WHICH IT INTENDS TO APPLY THE PROVISION IN ISSUE . THE COURT HAS TAKEN NOTE OF THOSE STATEMENTS .
13 THE COMMISSION HAS UNDERTAKEN TO APPLY ARTICLE 15 B ACCORDING TO THE FOLLOWING CONDITIONS :
( A ) FIRST , ARTICLE 15 B WILL NOT BE APPLIED SIMPLY BECAUSE AN ALTERATION IN TRADITIONAL DELIVERIES HAS BEEN OBSERVED ; IT WILL ONLY BE APPLIED WHERE THE CHANGE IN TRADITIONAL DELIVERIES MAY BE ASCRIBED TO THE ACTION OF UNDERTAKINGS ENGAGING IN PRACTICES WHICH ARE CONTRARY TO COMMUNITY LAW .
( B)SECONDLY , THE MERE FACT THAT THE UNDERTAKING CONCERNED IS IN RECEIPT OF AID AUTHORIZED BY THE COMMISSION MAY NOT GIVE RISE TO A QUOTA REDUCTION PURSUANT TO ARTICLE 15 B .
( C)THIRDLY , IF THE COMMISSION ' S INQUIRY REVEALS INFRINGEMENTS OF OTHER PROVISIONS OF COMMUNITY LAW SUCH AS THOSE ON PRICES , QUOTAS , COMPETITION OR STATE AID , IT WILL FIRST OF ALL APPLY THE SANCTIONS PROVIDED FOR THOSE INFRINGEMENTS .
14 IN THOSE CIRCUMSTANCES , PENDING A FULL EXAMINATION OF THE COMPATIBILITY OF ARTICLE 15 B WITH THE TREATY , IT MAY BE HELD THAT THOSE ASSURANCES REMOVE THE THREAT WITH WHICH THE UNDERTAKINGS WERE CONFRONTED AND WHICH COULD HAVE JUSTIFIED THE URGENT MEASURES REQUESTED BY THE APPLICANT .
Operative part
ON THOSE GROUNDS ,
THE COURT ,
BY WAY OF INTERIM DECISION ,
HEREBY ORDERS AS FOLLOWS :
1 . NOTE IS TAKEN OF THE UNDERTAKINGS GIVEN BY THE COMMISSION ;
2.THE APPLICATION IS DISMISSED ;
3.THE COSTS ARE RESERVED .
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