JUDGMENT OF 14. 12. 1971 — CASE 43/71 POLITI v ITALY
In Case 43/71 Reference to the Court under Article 177 of the EEC Treaty by the President of the Tribunale di Torino for a preliminary ruling in the action pending before that court between
THE COURT composed of: R. Lecourt, President, J. Mertens de Wilmars and H. Kutscher (Rapporteur), Presidents of Chambers, A. M. Donner, A. Trabucchi, R. Monaco and P. Pescatore, Judges Advocate-General: A. Dutheillet de Lamothe Registrar: A. Van Houtte
gives the following
JUDGMENT
Issues of fact and of law
I — Provisions applicable during the periods in question
II — Facts and procedure
III — Summary of the observations submitted under Article 20 of the Protocol on the Statute of the Court of Justice of the EEC
1. The admissibility of the reference
2. The substance
The first question
Questions 2 (a) and (b), 3 (a) and (b), 4 (a) and (b), 5 (a) and (b)
Questions 2 (c) and 3 (c)
Questions 4 (c), 5 (c) and 6
Conclusions
Grounds of judgment
I — The jurisdiction of the Court
II — The substance
The first question
Questions 2 (a) and (b), 3 (a) and (b), 4 (a) and (b), 5 (a) and (6)
Questions 2 (c), 3 (c), 4 (c), 5 (c) and 6
III — Costs
I —. Provisions applicable during the periods in question
1. Regulation No 20 which, according to Article 1 (1) was applicable to the following products:
2. Regulation No 121/67/EEC of the Council has replaced Regulation No 20. It lays down a prohibition in Article 19 (1) (as regards the internal trade of the Community) and in Article 17 (2) (as regards trade with third countries), on the levying of any customs duty or charge having equivalent effect. Under Article 32, The system established by this regulation shall apply from 1 July 1967 …; by virtue of the same article, Regulation No 20 and the provisions adopted in implementation thereof shall be repealed with effect from 1 July 1967.
II —. Facts and procedure
1. The Politi undertaking imported:
2. By order of 17 July 1971, the President of the Tribunale di Torino decided to refer the following questions to the Court:
3. The order making the reference was received at the Court Registry on 23 July 1971. In accordance with Article 20 of the Protocol on the Statute of the Court of Justice of the EEC, Politi and the Commission of the European Communities submitted written observations.
III —. Summary of the observations submitted under Article 20 of the Protocol on the Statute of the Court of Justice of the EEC
1. The admissibility of the reference
2. The substance
1. Any pecuniary charge, however small and whatever its designation and mode of application, which is imposed unilaterally on domestic or foreign goods by reason of the fact that they cross a frontier, and which is not a customs duty in the strict sense, constitutes a charge having equivalent effect within the meaning of Regulation No 20, even if it is not imposed for the benefit of the State, is not discriminatory or protective in effect or if the product on which the charge is imposed is not in competition with any domestic product.
2. The first indent of Article 14 (1) and Article 18 (1) of Regulation No 20 and the first indent of Article 19 (1) and the first indent of Article 17 (2) of Regulation No 121/67 are directly applicable within the Italian legal system and create individual rights which national courts must protect.
3. As regards imports effected before 1 July 1967, the abovementioned rights came into existence on the entry into force of the system of levies on the products in question provided for in Regulation No 20, that is:
4. As regards imports effected after 1 July 1967, those rights came into existence on the entry into force of the system of levies on the products in question provided for in Regulation No 121/67, that is, on 1 July 1967.
1. By order of 17 July 1971, received at the Court Registry on 23 July 1971, the President of the Tribunale di Torino submitted several questions to the Court of Justice concerning, in particular, the interpretation of Regulations Nos 20 of 4 April 1962 and 121/67/EEC of 13 June 1967 of the Council on the common organization of the market in pigmeat.
I —. The jurisdiction of the Court
2. (1) The Italian Government considers that, since Italian Law No 447, which was published on the same date as the order making the reference, has abolished the charges in dispute, the file should be returned to the national court without any reply being given to the questions referred, so that it may have the opportunity to consider whether it is still necessary to maintain the reference to the Court.
3. However, Article 177 of the Treaty does not entitle the Court to assess the immediacy of the relevance of questions referred with regard to the proceedings pending before the national court, even where the domestic law with which the case is concerned has been modified.
4. (2) The Italian Government further maintains that the conditions required for the application of the second paragraph of Article 177 are not fulfilled, as the decision (decreto) which the President of the Tribunale di Torino is called upon to give is to be made at the conclusion of a special procedure on the basis of the plaintiff's allegations alone, without any prior discussion between the parties.
5. It is sufficient to note that the President of the Tribunale di Torino is performing a judicial function within the meaning of Article 177 and that he considered an interpretation of Community law to be necessary to enable him to reach a decision, there being therefore no need for the Court to consider the stage of the proceedings at which the questions were referred.
II —. The substance
6. The first question requests the Court to rule whether the duty for administrative services and the statistical levy introduced by Italian legislation constitute charges having an effect equivalent to customs duties within the meaning of Regulation No 20.
7. It is clear from the judgments of the Court of 1 July 1969 in Case 24/68 [1969] ECR 193) and 18 November 1970 in Case 8/70 (Rec. 1970, p. 961) that such duties and levies constitute charges having an effect equivalent to customs duties within the meaning of Articles 9, 12 and 13 of the EEC Treaty and certain regulations concerning the common organization of the agricultural market, in particular Article 19 (1) of Regulation No 121/67/EEC of the Council.
8. The Court is next asked whether the provisions of Articles 14 (1) and 18 (1) of Regulation No 20, as well as the first indent of Article 17 (2) and the first indent of Article 19 (1) of Regulation No 121/67 are immediately applicable within the national legal system and, as such, create individual rights which national courts must protect.
9. Under the terms of the second paragraph of Article 189 regulations shall have general application and shall be … directly applicable in all Member States.
10. Finally, the Court is asked to give the dates on which these individual rights came into existence, pursuant to Articles 14 (1) and 18 (1) of Regulation No 20, and Articles 17 (1) and 19 (1) of Regulation No 121/67.
11. (1) Under the terms of Article 14 of the basic Regulation No 20: In trade between Member States, both import and export, the charges in dispute shall be incompatible with the intra-Community levy system and under the terms of Article 18 of the same regulation, The application of the levy system to imports from third countries shall entail the abolition of the said charges on imports from those countries. This implies that the prohibition on the imposition of those charges by the Member States and, therefore, the right of individuals to require its observance, only came into existence on the date on which the abovementioned levy systems took effect.
12. That date, which was originally fixed at 1 July 1962 by Article 23 of Regulation No 20, was postponed until 30 July 1962 by Article 1 (1) (b) of Regulation No 49.
13. Thus, Regulations Nos 51 to 53 referred to the entry into force of Regulation No 50 which was adopted on the same day and published in the same issue of the Official Journal.
14. As regards the products other than live swine and pig carcasses listed in Article 1 (1) of Regulation No 20, after postponing on several occasions the date of the introduction of the levy system instituted by that regulation, the Council finally fixed that date in Article 1 of Regulation No 54/63/EEC at 2 September 1962 at the latest.
15. The annexes to these regulations show that the levies were to be imposed on imports effected during periods beginning for each group on 2 September 1963.
16. (2) Apart from certain exceptions the third paragraph of Article 32 of the basic Regulation No 121/67/EEC repealed Regulation No 20 with effect from 1 July 1967. The second paragraph of the same article provides that The system established by this regulation shall apply from that date, with the exception of certain measures which are not relevant to this case. It follows that the prohibition on the charges in dispute, which is repeated in Articles 17 and 19 of the new regulation and, therefore, the individual rights arising therefrom, came into existence on 1 July 1967. Therefore, as regards the system established by Regulation No 121/67, the provisions in question came into effect on 1 July 1967.
17. (3) It follows from the above considerations that, under the system established in Regulation No 20, the prohibition on the imposition by the Member State of the charges in question was concomitant with the obligation to impose the levies provided for in that regulation. It follows also that this obligation came into effect on 30 July 1962 or 2 September 1963, according to the products involved. Moreover, as from those dates the levies in question were applied without interruption until 1 July 1967, the date on which Regulation No 121/67 came into force. That regulation is still in force.
18. The reply to the question referred by the national court must therefore be that the effects in question came into existence on 30 July 1962 or 2 September 1963, according to the products involved.
III —. Costs
19. The costs incurred by the Government of the Italian Republic and the Commission of the European Communities, which have submitted observations to the Court, are not recoverable, and as 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 national court, the decision as to costs is a matter for that court,
On those grounds, Upon reading the pleadings; Upon hearing the report of the Judge-Rapporteur; Upon hearing the observations of the Government of the Italian Republic, the Commission of the European Communities and the Politi undertaking; Upon hearing the opinion of the Advocate-General; Having regard to the Treaty establishing the European Economic Community, especially Articles 9,12, 13, 177 and 189; Having regard to Regulation No 20 of the Council on the gradual establishment of a common organization of the market in pigmeat, especially Articles 14 and 18; Having regard to Regulation No 121/67/EEC of the Council on the common organization of the market in the same sector, especially Articles 17 and 19; Having regard to the Protocol on the Statute of the Court of Justice of the European Communities, especially Article 20; Having regard to the Rules of Procedure of the Court of Justice of the European Communities, THE COURT in answer to the questions referred to it by the President of the Tribunale di Torino by order of that court dated 17 July 1971, hereby rules:
I The concept of a charge having equivalent effect as employed in Articles 14 (I) and 18 (I) of Regulation No 20 is equivalent to the same expression employed in Article 9 et seq. of the Treaty and in other regulations on the organization of agricultural markets.
2 Regulations have direct effect and are, as such, capable of creating individual rights which national courts must protect.
3 The provisions of Articles 14 (1) and 18 (1) of Regulation No 20 came into effect on 30 July 1962 as regards live swine and pig carcasses and on 2 September 1963 as regards the other products referred to in that regulation.
4 The provisions of Articles 17 (1) and 19 (1) of Regulation No 121/67/EEC came into effect on 1 July 1967.
5 The effects in question came into existence on 30 July 1962 or 2 September 1963, according to the products involved.