The reform of the European Union's judicial system will come into force on September 1st

The reform of the European Union's judicial system will come into force on September 1st

by István Kopácsi

Regulation (EU, Euratom) 2024/2019 amends Protocol No 3 on the Statute of the Court of Justice of the European Union (CJEU) and will come into effect on September 1, 2024. This amendment expands the jurisdiction of the Court, allowing it to give preliminary rulings to the General Court starting from October 1, 2024. Additionally, the amendment extends the mechanism for preliminary admissibility of appeals advance notification of appeals from September 1, 2024.

The Regulation addresses concerns over the increasing number and complexity of preliminary ruling cases pending before the CJEU and the average time taken to resolve these cases. To improve efficiency and the administration of justice, the Regulation transfers jurisdiction for preliminary rulings in specific areas from the CJEU to the General Court.

The CJEU's report from December 2017 suggested that transferring jurisdiction for preliminary rulings to the General Court in certain areas could be considered if necessary to maintain the administration of justice.[1] The growing number of complex and sensitive cases has made it necessary to reallocate jurisdiction for preliminary rulings to the General Court in specific areas to preserve the CJEU's ability to focus on the most complex and sensitive cases.[2] The General Court's increased jurisdiction aims to relieve the CJEU's workload and enhance the quality of its decisions, particularly in constitutional matters or issues related to human rights and the Charter of Fundamental Rights of the European Union.[3] The Regulation stipulates that preliminary ruling requests will initially be submitted to the CJEU, which will determine if they fall within the specific areas assigned to the General Court.[4]

The specific areas for the General Court's jurisdiction include

- the common system of value added tax,

- excise duties,

- the Customs Code,

- tariff classification under the Combined Nomenclature,

- compensation and assistance to passengers for transport delays or cancellations, and

- the system for greenhouse gas emission allowance trading.

The CJEU retains jurisdiction over cases that, while connected to specific areas, also concern other areas, or that raise independent questions of interpretation of primary law, international law, general principles of Union law, or the Charter.[5]

Procedural changes are introduced to ensure transparency and legal certainty, such as publishing written observations on the CJEU website and allowing the European Parliament, the Council, and the European Central Bank to submit observations in cases where they have a particular interest.[6]

The Regulation mandates that the General Court adopt procedural rules equivalent to those of the CJEU, including the designation of Advocates General, and that it may sit in different formations, including a chamber of intermediate size.[7]

The Regulation extends the mechanism for determining whether an appeal is allowed to proceed in order to maintain the efficiency of appeal proceedings and allow the Court of Justice to focus on appeals that raise important legal questions. This extension should include appeals related to decisions of the General Court concerning independent boards of appeal of Union bodies, offices, or agencies, as well as disputes involving contracts with arbitration clauses. An appeal will only proceed if the Court of Justice first decides it should be allowed, ensuring it raises significant issues about the unity, consistency, or development of Union law. The decision regarding whether the appeal should proceed must be reasoned and published to maintain transparency.[8]

The CJEU is required to submit a report to the European Parliament, the Council, and the Commission on the implementation of the reform, assessing its impact on the speed and efficiency of case handling. Overall, the Regulation seeks to optimize the distribution of cases between the CJEU and the General Court, ensuring timely and high-quality judicial decisions, and to improve transparency and stakeholder engagement in the judicial process.[9]

 

[1] Regulation (EU, Euratom) 2024/2019 Recital 1.

[2] Ibid., Recital 2.

[3] Ibid., Recital 5.

[4] Ibid., Recital 11.

[5] Ibid., Article 1(4).

[6] Ibid., Article 1(1).

[7] Ibid., Recital 19.

[8] Ibid., Recital 12-24.

[9] Ibid., Recital 27.