Free Movement of Goods & Trade Barriers
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Free Movement of Goods & Trade Barriers

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Questions and Answers

What does MEQR stand for in the context of trade?

  • Measures Equivalent to Quantitative Restrictions (correct)
  • Mandatory Exports and Quantitative Restrictions
  • Market Efficiency Quality Regulation
  • Multiple Entry Quantitative Regulations

    • Quantitative restrictions on both imports and exports are prohibited between Member States.

    True

    What are two examples of quantitative restrictions?

    Quotas and numerical restrictions

    The principle of __________ requires that restrictions on trade must be necessary and appropriate for achieving their intended goal.

    <p>proportionality</p> Signup and view all the answers

    Match the following justifications to their respective categories:

    <p>Public Morality = Justification for limiting trade based on ethical values Public Health Protection = Justification for trade restrictions to safeguard community health Public Policy = Justification involving national interests and societal issues Security Justifications = Considerations for protecting national security interests</p> Signup and view all the answers

    In the Cassis de Dijon case, which principle was emphasized concerning trade?

    <p>Mutual recognition of products across Member States</p> Signup and view all the answers

    Public health protection is not considered a valid justification for trade restrictions.

    <p>False</p> Signup and view all the answers

    What is a 'selling arrangement' in the context of trade law?

    <p>A selling arrangement refers to the ways in which a product is marketed and sold.</p> Signup and view all the answers

    Which of the following is NOT a condition for the 'rule of reason' as developed by the Cassis de Dijon case?

    <p>Guaranteed protection of consumer interests</p> Signup and view all the answers

    The proportionality requirement states that measures must be more restrictive than necessary to protect public health.

    <p>False</p> Signup and view all the answers

    Explain what IAMs and DAMs refer to in the context of trade justifications.

    <p>IAMs refer to Indistinctly Applicable Measures, while DAMs refer to Distinctly Applicable Measures.</p> Signup and view all the answers

    The protection of __________ rights is justified in the context of trade according to case C-112/00.

    <p>fundamental</p> Signup and view all the answers

    Match the following cases with their corresponding focus:

    <p>Case 302-86 = Protection of the environment Case C-112/00 = Protection of fundamental rights C-319-05, Garlic = Proportionality requirement Cassis de Dijon = Rule of reason</p> Signup and view all the answers

    What is a mandatory requirement that can justify a rule concerning public interest?

    <p>Protection of the environment</p> Signup and view all the answers

    Distinctly Applicable Measures (DAMs) can be justified under Article 36 TFEU.

    <p>True</p> Signup and view all the answers

    What is the Keck test used to determine?

    <p>Whether a selling arrangement qualifies for exclusion from Article 34.</p> Signup and view all the answers

    What does MEQR stand for in the context of intra-EU trade?

    <p>Measures Equivalent to Quantitative Restrictions</p> Signup and view all the answers

    Distinctly applicable measures (DAMs) can apply equally to both foreign and domestic goods.

    <p>False</p> Signup and view all the answers

    What is an example of an indistinctly applicable measure (IAM)?

    <p>Rule requiring liqueurs to have at least 25% alcohol.</p> Signup and view all the answers

    The ______ de Dijon case emphasizes the need for proportionality in trade regulations.

    <p>Cassis</p> Signup and view all the answers

    Match the following terms with their descriptions:

    <p>Distinctly Applicable Measures (DAMs) = Measures that discriminate against foreign goods Indistinctly Applicable Measures (IAMs) = Uniform measures that apply to all goods Cassis de Dijon = A landmark case addressing trade barriers Proportionality Requirement = A legal principle ensuring appropriateness in trade restrictions</p> Signup and view all the answers

    Which of the following best describes Public Morality Objections in terms of trade?

    <p>Regulations justified by cultural values and ethics</p> Signup and view all the answers

    Public health protections can justify trade restrictions under EU law.

    <p>True</p> Signup and view all the answers

    What is a key principle established by the proportionality requirement in EU trade law?

    <p>Trade restrictions must be appropriate and necessary.</p> Signup and view all the answers

    Study Notes

    Free Movement of Goods

    • There are two types of trade barriers: fiscal and non-fiscal.
    • Fiscal barriers (taxes) were discussed last week.
    • Non-fiscal barriers are discussed this week.

    Articles 34 and 35 TFEU

    • Article 34 TFEU prohibits quantitative restrictions on imports and measures having equivalent effect (MEQRs).
    • Article 35 TFEU prohibits quantitative restrictions on exports and measures having equivalent effect (MEQRs).

    Two Prohibitions: Restrictions to Trade

    • This week will focus on Article 34, as it is more frequently used in legal cases.
    • This Article deals with:
      • Quantitative restrictions on imports or exports
      • MEQRs on imports or exports

    Quantitative Restrictions

    • Quantitative restrictions cover measures that totally or partially restrain imports, exports, or goods in transit. (Case C-2-73, Geddo)
    • Example restrictions include: quotas and numerical restrictions

    MEQRs

    • MEQR stands for Measures Equivalent to Quantitative Restrictions.
    • MEQRs are any measures that have the effect of hindering trade, even if not explicitly quantitative.
    • Examples of MEQRs:
      • Protection of the environment: (Commission v. Denmark, Case 302-86)
      • Protection of fundamental rights: (Schmidberger, Case C-112/00)

    Mandatory Requirements (Rule of Reason)

    • The rule of reason (Cassis de Dijon) allows for some non-fiscal barriers to trade under specific conditions.
    • Conditions include:
      • No harmonization: The EU has not yet harmonized the specific area of the restriction.
      • Indistinctly applicable rule: The rule applies equally to foreign and domestic goods.
      • Mandatory requirement: The restriction is based on a public interest, such as consumer protection or public health.
      • Proportionality: The restriction must be necessary and proportionate, with less restrictive alternatives considered.

    Proportionality Requirement

    • The chosen means of the restriction must be necessary to achieve the public interest objective.
    • The measures must be proportional to the objective, meaning the restriction cannot be overly restrictive of intra-EU trade. (Garlic, C-319-05)

    Indistinctly Applicable Measures (IAMs) and Distinctly Applicable Measures (DAMs)

    • IAMs apply equally to foreign and domestic goods.
    • DAMs do not apply equally to foreign and domestic goods.
    • DAMs are typically justifiable under Article 36 TFEU.
    • IAMs are potentially justifiable under both Article 36 and the mandatory requirements.
    • The distinction between IAMs & DAMs is becoming less clear, as some recent case law permits environmental protection justifications for DAMs.

    Summary: Flowchart

    • The analysis of whether a restriction is prohibited under Article 34 follows a flow chart:
      1. Is it a QR (Geddo) or MEQR (Dassonville)?
      2. Is it a selling arrangement (Keck)?
      3. If it is a selling arrangement, does it pass the Keck test and is thus excluded from the scope of Article 34?

    MEQR: Broader Definition

    • The definition of MEQR from Dassonville is extremely broad.
    • The definition could apply to almost anything with creative legal argumentation.

    Distinctly Applicable Measures (DAMs)

    • DAMs create a direct, overt, and non-equal application to foreign goods.
    • Examples:
      • “Buy national” campaigns, even if ineffective (Commission v. Ireland)*
      • Certificates of origin (if unrelated to quality) (Commission v. Ireland)

    Indistinctly Applicable Measures (IAMs)

    • IAMs apply equally to all goods, but can still hinder trade indirectly.
    • Examples:
      • Requiring liqueurs to have at least 25% alcohol (Cassis de Dijon)
      • Banning horse meat for all meat manufacturers (Groenveld, concerning Article 35 & exports)
      • Requiring a certificate of origin for importing goods with a designation of origin (Dassonville)

    Importance of the IAMS/DAMs Distinction

    • The IAMs/DAMs distinction was crucial in the development of EU law.
    • IAMs are subject to more stringent scrutiny, as they have the potential to create a disadvantage for foreign goods despite appearing neutral.
    • The distinction remains relevant for understanding the various justifications for restrictions on trade within the EU.

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    Related Documents

    Week 3 Lecture | Free Movement of Goods | Lecture Notes PDF

    Description

    This quiz focuses on the Free Movement of Goods, particularly Articles 34 and 35 of the TFEU. Learn about fiscal and non-fiscal barriers, quantitative restrictions, and MEQRs in trade law. Understand how these regulations impact the import and export of goods within the EU.

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