European Union Law
Sources of Law
Learning Objectives
To state and describe the three main
sources of EU law and their functions.
 To explain the horizontal and vertical
effects of EU law
 To explain the differences between direct
and indirect effects of EU law
 Describe case law to demonstrate the
supervisory function of the ECJ

EU law (created by the EU institutions) is
binding on all EU Member states.
They must ‘take all appropriate measures,
whether general or particular, to ensure
fulfilment of the obligations of this Treaty...’
There are three main sources of EU Law:
PRIMARY LEGISLATION: the Treaties
SECONDARY LEGISLATION:
Regulations, Directives, Decisions,
Recommendations and Opinions.
RULINGS: on cases brought before the ECJ.
TREATIES
Agreements amongst all member states
 Highest sources of law and form the basis of EU
Law

Treaty of Rome
TEU
TFEU
Treaties have both
And
vertical
horizontal direct effect.
REGULATIONS


Directly Applicable: become part of domestic law, no
intervention is necessary.
Similar to an Act of Parliament, but if there is a conflict
with national laws, the regulation prevails.
How could this be
viewed positively
and negatively?
Regulations have both
And
vertical
horizontal direct effect
DIRECTIVES



Formal instructions that require the amendment of
national laws for a certain result.
In the UK, directives can either be implemented via
statute or delegated legislation under the European
Communities Act 1972.
May concern one all or member states.
Directives only have
vertical direct effect.
Decisions



Individual act addressed to a specified person,
persons or firm.
They are only binding to the party concerned
No need for implementation.
Recommendations and Opinions


Non binding, persuasive value only.
Aimed at promoting the implementation of common
practices.
DIRECT EFFECT
Vertical
Direct
Effect
Horizontal Direct Effect
Allows and individual
to invoke a provision
against the state
Allows individuals to
invoke a provision against
another individual or a
private company.
INDIRECT EFFECT


Compels national courts to interpret ‘so far
as possible’ legislation in accordance with
directives.
The member state has freedom to decide on
form so long as it complies with the original
aim of the directive.
Von Colson v Land-Westfahlen
ECJ-Supervisory Role


The ECJ has power under the TFEU for preliminary
ruling procedure which ensures consistency.
Bulmer v Bollinger (1974) set the guidelines for
referrals:
1.There is no need to
refer a case already
decided by the ECJ
2.Acte Clair Doctrine.
3.Courts must refer
when there is no
further appeal
•See Marshall v Southampton area Health Authority (1986) for
this function in action.
•Direct Effect= allows individuals to rely upon
EU law (even if the member state has not
implemented EU law)
•Direct Applicability= automatically binding
and immediately part of domestic law
TERMINOLOG
•Persuasive= can be taken into account but
Y
doesn't have to be followed
•Domestic law=the national law of the
individual member state.
•Vertical direct effect= allows individuals to rely upon
European provisions against the State
•Horizontal direct effect= allows individuals to rely upon
a European provisions against another individual or a
private company.
•Indirect effect= compels national courts to interpret ‘so
far as possible’ national legislation in accordance with the
aims of the Directive.
GRADE BOOST:
Include a range of case law to illustrate how the
position of EU laws had been decided by the courts:

Defrenne v Sabeena (1976) Facts?

Pubblico Ministerio v Ratti (1979) Facts?

Costa v ENEL (1964) landmark ruling-facts?

R v.Secretary State for Transport, ex parte Factortame (no.2) (1990) Facts?

What did Lord Denning say in regards to supremacy in Bulmer v Bollinge
(1974) ?
GRADE BOOST:
Think about what s.2(1) of the ECA 1972 means in regards to supremacy.
Familiarity with Pickstone v Freemans PLC (1988) & Marleasing (1990) will help
you to demonstrate the importance of the Factortame case.