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International Business Law Part I

International Business Law Part I. European Union Law. A HISTORICAL OVERVIEW. The European Union. Two main Ideas, two main Missions: Europe Union. Europe. A common set of values which can distinguish Europe from non-Europe = EUROPEAN IDENTITY. European Union.

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International Business Law Part I

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  1. International Business LawPart I European Union Law

  2. A HISTORICAL OVERVIEW

  3. The European Union Two main Ideas, two main Missions: • Europe • Union

  4. Europe A common set of values which can distinguish Europe from non-Europe = EUROPEAN IDENTITY

  5. European Union The unification of all the States which take part in the European Identity

  6. HOW?

  7. FUNCTIONALISM • Step by step process (SPILL-OVER) • Creation of supranational authorities representative of, but independent from, the Member States

  8. INTERGOVERNMENTALISM • Closer cooperation between sovereign States

  9. FEDERALISM • Establishment of a European Federation amongindependent, but no longer sovereign, States

  10. MULTI-LEVEL GOVERNANCE • Relationship between the actors and institutions involved at all the different levels of governance • Network structure

  11. Schuman-Monet Declaration9 May 1950 Unification of Europe • as the only means for longstanding peace (a political project) • as a step by step project (first step: the unification of a limited field, the coal and steel production) • by means of a supranational organizazion open to all countries willing to take part

  12. The Treaty of Paris1951 The European Coal and Steel Community (ECSC) Six States: • France • Germany • Italy • Belgium • Netherlands • Luxembourg

  13. The Treaties of Rome1957 • [The European Defence Community (1953): failed] • The European Economic Community (EEC) • The European Atomic Energy Community (EURATOM) • Objectives: establishment of a common market (customs union, four fundamental freedoms, competition policy, regulation of State intervention in the economy, harmonization of fiscal regimes of goods, general cooperation in economic fields) • Original institutional arrangement (Commission, Assembly, Council, European Court of Justice)

  14. During the 60s,70s, 80s • 1973: First enlargement: UK, Ireland and Denmark (resignation of De Gaulle) • 1981: accession of Greece • 1986: accession of Spain and Portugal • 1986: Single European Act

  15. Single European Act1986 • Completion of the common market by 31 December 1992 • Institutional reform (cooperation procedure; formal recognition of the European Council) • Laying down of foundations for greater economic and monetary integration • Intergovernmental cooperation in foreign policy

  16. During the 90s • 1992: The Maastricht Treaty • Application for membership by 12 Eastern Europe States • 1993: Copenhagen criteria: • Stability of institutions guaranteeing democracy, the rule of law, human rights, protection of minorities • Existence of a functioning market economy • Ability to assume the obligation of membership • Adjustment of the national administratve structures • 1997: The Treaty of Amsterdam

  17. The Maastricht Treaty1992 • From the European Economic Community to the European Union, from policies to polity • Three pillars: • First pillar: The European Community (EC) • Second pillar: Common Foreign and Security Policy (CFSP) • Third pillar: Justice and Home Affairs (JHA) • (EC: supranational; CFSP and JHA: intergovernmental) • A single institutional framework

  18. Main features • Serious consideration of democracy and legitimacy • Institution of EU citizenship • Introduction of the subsidiarity principle

  19. The drama of ratification • First referendum in Denmark: no (second referendum in 1993: yes) • British Parliament: motion of confidence • Challenges to the Treaty before national courts (UK, Spain, France, Denmark and Germany)

  20. The Treaty of Amsterdam1997 • Area of Freedom, Security and Justice(integration of Schengen Agreements into the legal framework of the EU; immigration, asylum and the rights of non-EU nationals brought within EC legislative competences) • Third pillar renamed as Policing and Judicial Cooperation in Criminal Matters (PJCC) • Stronger commitment for fundamental rights and enforcement of the principle of non-discrimination • Provisions for “Enhanced Cooperation” • Increasing number of opt-outs (a multi-speed European Union)

  21. After Amsterdam Negotiations for membership opened with: • Czech Republic • Poland • Hungary • Slovenia • Estonia • Latvia • Lithuania • Malta • Cyprus • Slovakia • Bulgaria • Romania

  22. The Treaty of Nice2000 • Institutional reform directed at preparing Union for enlargement and at managing internal dissatisfaction • Different allocation of seats in the European Parliament • Recalculation of the distribution of the votes between national government within the Council • [a poor and unsatisfactory compromise] • Proclamation of the Charter of Fundamental Rights of the European Union (not legally binding)

  23. The way forward • 2000: Nice: Declaration on the Future of the Union • 2001: Laeken: Declaration on the Future of the European Union • 2001: Laeken: Establishment of the Convention on the Future of Europe (its task: to draft the Constitutional Treaty)

  24. The Constitutional TreatyRome 2004 TREATY or CONSTITUTION?

  25. STRUCTURE OF THE CT Four parts: • Part I: general provisions on objectives, symbols, fundamental rights, citizenship, democracy, institutional framework, law-making • Part II: Charter of Fundamental Rights (legally binding) • Part III: EU policies • Part IV: closing provisions • (Abolition of the three-pillar structure)

  26. From Rome to Lisbon • May-June 2005: French and Dutch referendum against the Treaty • Period of reflection • A two-fold process: • A political agreement (June 2007) • An Intergovernmental Conference with task limited by the mandate of the political agreement (December 2007)

  27. The Treaty of Lisbon2007 • Two Treaties (same legal value): • The Treaty on European Union • The Treaty of the functioning of the European Union • Abolition of all the “constitutional” provisions • The Charter of Fundamental Rights as an annex to the Treaty

  28. The Ratification Procedure Very complex ratification for: • Ireland (second referendum on 2 October 2009) • Germany (sentence of the Federal Constitutional Court, 30 June 2009) • Poland • Czeck Republic • 1 December 2009: Entry into force

  29. EU INSTITUTIONAL FRAMEWORK

  30. MAIN INSTITUTIONS • European Council • Council • Commission • European Parliament • European Court of Justice • [European Central Bank] • [Court of Auditors]

  31. EUROPEAN COUNCIL

  32. COMPOSITION • Heads of States or government of the Member States • President of the European Council • President of the Commission

  33. TASKS • makes decisions about the future institutional shape of the EU • defines the development of the EU policies • establishes the EU priorities (Agenda-setting role)

  34. PRESIDENT OF THE EUROPEAN COUNCIL(Lisbon Treaty) • is elected by the European Council for a once renewabile two-and-a-half year term • doesn’t hold national office • is an additional member of the European Council TASKS: • Chairs and drives forward the work of the European Council • Ensures cooperation between the EU institutions • Presents reports to the European Parliament • Represents the European Union externally

  35. COUNCIL

  36. COMPOSITION • One Minister from each Member State (the Minister who is equipped to represent the government on the topic in question) • Different formations depending on the issue in question

  37. POWERS • Legislative functions jointly with the European Parliament • Decision to delegate normative powers to the Commission

  38. MANAGEMENT OF THE COUNCIL • PRESIDENCY - rotation between the Member States for a six-month period - chairs Council meetings - represents the Council outside • GENERAL AFFAIRS COUNCIL - ensures consistency in the work of the different Council formations

  39. DECISION-MAKING • Now WEIGHTED system of voting: each MS is allocated a number of votes depending on its size • From 2014 (or at most 2017): QUALIFIED MAJORITY system (at least 55% of the members of the Council comprising at least 15 of them, and representing MS comprising at least 65% of the EU population)

  40. COMMISSION

  41. INTERNAL ORGANIZATION Three tiers: • College of Commissioners (political branch) • [Directorates-General (administrative branch; similar to national Ministries)] • [Cabinets (offices of the individual Commissioners)]

  42. COMPOSITION • One Commissioner from each Member State including the President and the High Representative for Foreign Affairs (from 2014?) • Persons whose independence is beyond doubt (no conflict of interest)

  43. APPOINTMENT OF THE PRESIDENT • Nomination by the European Council, after appropriate consultation and taking into account the result of the European Parliament election • Election by the European Parliament for a five-year term

  44. APPOINTMENT OF THE COMMISSIONERS • Nomination of individual Commissioners by the President • Collective approval of the President, the list of Commissioners and the High Representative for FA by the European Parliament, after appropriate hearings • Appointment by the Council for a five-year term

  45. POWERS OF THE PRESIDENT OF THE COMMISSION • Involvement in the appointment of individual Commissioners • Allocation of the individual portfolios • Dismissal of individual Commissioners (Lisbon Treaty) • Political guidance to the Commission • Representative role

  46. POWERS OF THECOMMISSION • Delegated legislation • Legislative proposals and agenda-setting • Executive powers • Supervisory powers

  47. HIGH REPRESENTATIVE for FOREIGN AFFAIRS and SECURITY POLICY

  48. APPOINTMENT • Appointed by the European Council with the agreement of the President of the Commission • Collective approval (together with the Commission President and the individual Commissioners) by the European Parliament

  49. ROLE The HR • Is a member of the Commission • Takes part in the work of the European Council • Chairs the Foreign Affairs Council

  50. TASKS Conduction of the EU foreign and security policy with the aim of creating a more integrated and coordinated external policy

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