1. Natural
andlegal
persons other thanMember States
arenotentitled tomake an applicationfor
annulment ofRegulations
adoptedby
theCouncil
orthe
Commission.
2. The
term 'decision' usedin Article 173 has
the technicalmeaning
employed
in Article 189,
whichin
particular makes a clear
distinction between the
concept ofa'decision'
andthatofa
'regulation'.
3. The
criterionfor
thedistinction between
the terms'decision'
and 'regulation'
should
be
soughtin
the general'application'
orotherwise of themeasure
in
question.A decision is
ofindividual
concern to specificindividuals; its
essentialcharacteristicsarise
from
the restrictionoftheclass of personstowhom
it is
addressed.A regulation, being essentially
ofalegislative nature, is
notaddressed to a restrictednumberofpersons, defined
or
indentifiable, but
appliestoobject-ively determined
situations.It
involves
immediate legal
consequencesin
allMember States for
categories of persons viewedin
a general and abstract manner.4. The determination
ofthelegal
nature of a measureemanating from
theCouncil
or theCommission does
notdepend only
onits
officialdesignation, but
shouldfirst
takeinto
accountits
object and content.
5. When
ameasure,
which as a whole constitutes aregulation, includes
provisions which are capable of
being
of
direct
andindividual
concern to certain natural orlegal persons,
suchprovisions
do
nothave
thecharacter of a regulation andmay
thereforebe impugned by
thoseconcerned.6. An
association which represents acategory
of natural orlegal
personsis
not concerned
individually by
ameasure
affecting
thegeneralinterests
of
the
personsin
thatcategory.In Joined Cases 19 to 22/62
19/62 — FÉDÉRATION
NATIONALE de laboucherie en gros et du commerce en gros des viandes,
having its head
officeat59
rueSaint-Lazare, Paris,
representedby Jacques Lassier,
advocateofthe Paris Cour d'Appel,
20/62
—Stichting
voorNederlandse
zelfstandigeHandel
enIndustrie, having its head
office at4 Wassenaarseweg, The Hague,
representedby Jacques Lassier,
advocate ofthe Paris Cour d'Appel,
andby Harald Ditges
ofCologne,
21/62
—Syndicat
de la boucherie en gros deParis
,
having its head
office at
the La Villette slaughterhouses, 28
avenueCorentin-
Cariou, Paris,
representedby Jacques Lassier,
advocate ofthe Paris Cour d'Appel,
all with anaddress
for
servicein Luxembourg
atthe Chambers
ofE. Arendt,
advocate of
the Court
ofLuxembourg, 4 Boulevard Joseph
-II,492
FEDERATION NATIONALE DE LA BOUCHERIEvCOUNCIL
22/62 — ZENTRALVERBAND
desDeutschen Getreide-,
FUTTER— UNDDüngemittelhandels
e.V., having its head
office at2-4 Olberg
strasse, Bonn,
representedby its President, Rudolf Schwarze,
assisted
by Harald Ditges
ofCologne,
withanaddressfor
servicein Luxembourg
atthe Chambers
ofMr Audry, Federation des
commerçants, 8 Avenue de
l'Arsenal,
applicants,
vCouncil
of theEuropean Economic Community
,
provisionally
established atBrussels,
representedin Cases 19, 20
and21/62 by its Legal Adviser,
Jacques Mégret, acting
asAgent,
andin Case 22/62 by its Legal Adviser, Ernst Wohlfarth, acting
asAgent,
with an addressfor
servicein Luxembourg
at
the
offices ofthe Secretariat General
ofthe Councils
ofMinisters, 3-5
rueAuguste-Lumière,
defendant,
Application for
annulment ofthe
second sentence ofArticle 2(1)
ofRegulation No 26
ofthe Council
ofthe European Economic Community,
THE COURT
composedof:
A. M. Donner, President, L. Delvaux
andR. Rossi (Presidents
of
Chambers), O. Riese, Ch. L. Hammes, A. Trabucchi (Rapporteur)
andR. Lecourt, Judges,
Advocate-General: M. Lagrange Registrar: A. Van Houtte
gives
the following
JUDGMENT
Issues
offact
and oflaw
I
—Facts
The facts may be
summarized as follows:On 4 April 1962
theCouncil
of theEuropean Economic Community
adopted
Regulation No 26 'applying
certainrulesofcompetition toproduction
of and trade
in
agriculturalproducts'
(Official Journal
of theCommunities
of
20 April 1962). Article 2 (1)
ofthisRegulation
provides that:Article 85 (1)
of theTreaty
shall notapply
to such oftheagreements,
decisions and practices referred to
in
the493
12. 1962 CASES 19 TO 22/62
preceding Article
asform
anintegral
part of a national market organization
or are
necessary for
attainment oftheobjectives set out
in Article 39
oftheTreaty. In particular, it
shall notapply
toagreements, decisions
and practices offarmers,
farmers' associations or associations of such associationsbelonging to
a singleMember State
whichconcern
the
production or sale ofagricultural products or the use of
joint facilities for
thestorage,
treatment orprocessing
of agriculturalproducts,
and underwhich thereis
no obligationto
chargeidentical prices,
unless theCommission finds
that competitionis thereby
excluded orthat the objectivesof
Article 39
of theTreaty
arejeopardized.'
According
to theapplicants,
which are associations ofFrench, Dutch
and German traders
dealing in
agriculturalproducts,
the second part ofthis provision
damages
theirinterests because it
establishes
discrimination between
producers
of and tradersin
agriculturalproducts,
to theadvantage oftheformer.
The
applicants see thisdiscrimination in
thefact
that thedisputed
provision givestofarmers,
tofarmers'associations or to associations of such associationsof a
Member State,
the right to makeagreements
relating
to the sale ofagricultural products or the use of
joint facilities for
thestorage,
treatment orprocessing
of agriculturalproducts,
without
its being necessary for
such agreements to
be
capable ofpromoting
theobjectives of
Article 39
oftheEEC Treaty,
whilsttraderscan make agreements
only
with the sole aim of
realizing
the objectivesofthat
Article. This differentiation
oftreatmentputsthose
in
commerce at adisadvantageincompetitionwith farmers
and their associations.
The
applicantshave
askedfor
the annulment of the second part of thisprovision on the
basis
of the second paragraph ofArticle 173, puting forward
submissions of misuse of powers and of
infringement
oftheTreaty.
The defendant has
raisedpreliminary
objections of
inadmissibility in
thefour
cases under
Article 91
of theRules
ofProcedure. In
thesummary
of thesubmissions which
follows, only
thesubmissions and arguments
relating
toadmissibility
aredealt
with.II
—Conclusions
of theParties
The
applicants claimin
theirapplications that theCourt
should:'annul
the second sentence ofArticle
2(1)
ofRegulation No 26
oftheCouncil
ofthe
European Economic Community'.
The defendant
contendsin its
statementraising
thepreliminary
objection ofinadmissibility
that theCourt
should:'without considering
the substance of theapplicationin question, declare it
tobe inadmissible,
with all thelegal
consequences
arising
therefromin
particular
in
respect ofthe
payment offees,
expensesand
any
othercosts'.The
applicants opposethese
conclusionsin
their replies.III
—Submissions
andarguments ofthe partiesThe
submissions and arguments ofthe partiesmay be
summarized as follows:1. Preliminary
objectionof inadmissibility
based
onthenatureandtheapplicationof
themeasurein dispute
According
to thedefendant, the wording
ofthe second paragraph of
Article 173
allows private persons to
institute
proceedings against a regulation
only in
cases where such
measure, because
ofits content, does
nothave
generalbut only individual
application.In
thisconnexion thedefendant
points out that the condition
that a regulation shouldbe
ofindividual
concerntoa private personif
thatpersonis
tobe
entitled tocontestit
means that
he
mustbe
affectednot as a memberof acategory abstractly defined, but
as a particular and specificindividual That
meansthat themeasurein
question494
FEDERATION NATIONALE DE LA BOUCHERIEvCOUNCIL
must
in reality
constitute adecision
and not a regulation.Moreover
a comparisonbetween Article 173
oftheEEC Treaty
andArticle 33
ofthe
ECSC Treaty clearly
shows theintention
of the authors of theEEC
Treaty
tolimit
thepossibility
ofinstituting
proceedings against measures of a general nature to theMember States,
the
Council
andtheCommission.
As
to thedistinction between
a general and anindividual measure,
the defendant invokes
the caselaw
oftheCourt relating
to theECSC Treaty
and statesthaton thispoint the
Treaties
ofRome have introduced
noinnovation. In
the present case the provisionin dispute
being
applicable toevery legal
personwho at present or
in
thefuture fulfils
the conditions whichit has itself
envisaged and
defined in
an abstract mannerfor its
applicationclearly
establishes
alegislative
principle.It
cannot thereforeusefully be
replacedby
abundle
ofindividual decisions
which could nothave any
effect with regard toany
persons concerned who mightappear
later.
The
applicantsin Cases 19, 20
and21/62 reply
thatwithinthe framework
oftheEEC Treaty
thedistinction between
adecision
and a regulationdoes
not correspondexactly
to thedifference between
anindividual decision
and a generaldecision
within themeaning
of theECSC Treaty. In
the absence of an expressedintention
to thecontrary by
the authors of
the EEC Treaty,
theconcept of a
decision
cannotbe
restrictedonly
tomeasuresdirected
toone or moreindividuals indicated by
name.A
decision could also
be
addressed to one or more categories ofindividuals,
whilst aregulation
is
a measure whichlays down
a general rule applicable
in
abstracto to allindividuals,
present andfuture.
In
the present action the applicantsin
thefour
cases maintainthat theprovisionin dispute has
the character of anindividual decision, for
the measureapplies toa
category
ofindividuals
whoare
determined specifically,
thatis, farmers. In addition,
as the applicant remarksin Case 22/62, it
was madein
relation to a well-defined particular matter and
for
well-defined cases,
anddirectly
affectsboth
thelegal
andcompetitive position oftheapplicants.
The
applicantsin Cases 19, 20
and21 /62 furthermore
criticize the construction placedby the defendant
uponthe
expression
'of individual concern'
and remark that such aninterpretation
would shift the
meaning
ofthis expressiontowards theconcept of an
addressee, contrary
tothe
cleardistinction
madeby
the
second paragraph ofArticle 173 in
this respect.They
claim that theinclusion
ofthe words'and
individual'has
no purpose otherthan toclarify
themeaning
of the words'of direct
.. .concern'.
In
support of their contentions the applicants point out thatit
wouldbe contrary
to thelaw
ofnations and todemocratic
principles to acceptthe.
restrictive construction ofthe
Council,
which would enable that
institution, comprising
members who arepolitically
notresponsible to the courts of
Europe
tofrustrate
unchecked theobjectives of theTreaty
andthe
rights ofthecitizensof
Member States. In
the present case the applicants wouldin
practicehave
no chance of
availing
themselves oftheobjection of
illegality (Article 184)
against the
disputed
provision or of areferencefora preliminary ruling (Article 177), because
the personsharmed by
this provision
do
not appearamong
those to whomit is
addressed.The
restrictive argument of the
Council
would
consequently lead
to a realdenial
ofjustice.
The
applicantin Case 22/62
asserts that should theCourt
consider thedisputed
provisiontobe
aregulation, it
would still
have
a right toinstitute
proceedings against
this provision, for the wording
ofthesecond paragraph ofArticle 173
oftheEEC Treaty
allowsthe inference
that privateindividuals
495
have
a right toinstitute
proceedings against regulations which occasiondamageto them
'in
a special manner'.They
furthermore
referto
the principle ofGerman
constitutionallaw according to
which private personshave
always the option ofattempting by
means oflegal
proceedingsto
contestlegislation detrimental
tothem. This
option shouldbe
openparticularly
whentheapplicantrelies,
ashere,
not on a mereinfringement ofthe
Treaty, but
onthe infringement of the
fundamental
principle of non-discrimination.2. Preliminary
objectionsof inadmissibility
based
on the ground that thedisputed
measure
is
notof direct
concern to the applicants(a) The defendant
maintainsthatArticle 173
oftheEEC Treaty,
whichrequiresthat the act
in
question shouldbe
ofdirect
concern to privatepersons, is
more restrictive thanArticle 33
oftheECSC
Treaty
whichprovides, in
a more generalway, for
the right of private persons to attackindividual decisions
'concerning
them'.This
conditionimposed by Article 173 is fulfilled by 'the
personfor
whosebenefit,
or against whoseinterests,
thedisputed
measurecreates,
modifies or abolishes rights or obligations
when, in
aword,
the effectofthe measure on the personin
questionis direct
and notmediate';
so that unlike theposition withintheframework
oftheECSC Treaty, 'this
conditionis
notfulfilled
whenthat measure takes effectonly
after theintervention
of alegal
act of a third
party
taken on thebasis
of the measure
in
question'.In
the presentcase,
the applicantsdo
not complain thatthey do
notbenefit from
thedisputed provision, but
go nofurther
than to maintain that theircompetitors arefavoured by
provisionstheregularity
of which
is disputed by
the applicants.This damage
could occuronly
whentheircompetitors
have
made useby
agreements, decisions
or practices of theprovision at
issue.
The
applicantsin Cases 19, 20
and21/62 reply
that the arguments ofthe defendant
appearto disregard
the cleardistinction
whichit is necessary
tomakebetween
theperson whois
concernedby
ameasure and the person
to
whomit is
addressed.
They
considerthat theuse ofthe
phrase'is
of.. . concernto'
made
by
the second paragraph ofArticle 173,
whichis
much widerthan, for
example
'affects', implies
that theTreaty
'allows
the widest possible right of actionto
all partiesinterested'. The
requirement of
direct
concern referred toin
the second paragraph ofArticle 173 indicates
that this provision allows'an
applicationfor
annulmentonly by
persons who are
immediately concerned,
that
is
tosay,
withouttheintervention
of persons whomay
alsobenefit
orsufferfrom
the measures'.The important
position
held by
the applicant associations and theirmembers
in
the agricultural sphere puts them
directly in
competition with
farmers
as regards the activitiesexpressly
mentionedin
thedisputed
measure.Thus it is
ofdirect
concern to them.
The
applicantin Case 22/62
asserts thatin
order that a personmay be
affected
by
a measure within themeaning
ofthe second paragraph ofArticle 173, it is
notnecessary
thatsuch measure should alterhis
rightsandduties, but it is
sufficient thatit damages him in
respect of
his
economicinterests. In
order to
decide
whether the measure causesdirect damage,
whether withinthe
legal
sphere or withinthe sphere of a person's economicinterests, the decisive
element
is
the quantum ofdamage. In
the context ofadmissibility, it
must sufficethat, 'according
to thestatementof the
applicant, it is
not out of the question that thedisputed
measureadversely
affectshis
rights andinterests'.
The discrimination
containedin
thedisputed decision,
whichinvolves
aunilateral advantage
for
the applicant'scompetitors, has directly
altered the496
FEDERATION NATIONALE DE LA BOUCHERIEvCOUNCIL
legal
position and the competitive position to the
disadvantage
oftheapplicantin its capacity
as general representative of theinterests
ofits
members.The
applicants
in
thefour
cases state thatthey
areattacking
thediscriminatory
principle contained
in
the provisionin
question as such and not asdiscrimination consequent upon the
making
ofagreements
between
producers.The
applicantsin Cases 19, 20
and21 /62
point out
that, in addition,
the agreements, decisions
or practices referred toin
thedisputed
provision are not subject toany
priorauthorization,
andthat, in consequence,
theCouncil is
not able to prove that no agreementhas been
made.
(b) As
asubsidiary point,
thedefendant, bearing in
mind that theEEC Treaty,
unlike the
ECSC Treaty,
contains noprovision
expressly granting
a right ofaction to associations of
undertakings,
expresses
doubts
asto thepossibility
oftheassociations'
being
able toinstitute
proceedings against a measure which—
like
the provisionin
the present case—is
not ofdirect
concern to them as associationsbut only by
theintermediary
of and through theirmembers.
The
applicantsin Cases 19, 20
and21/62 reply that,
since thedisputed
provision establishes twodistinct
systemsfor
two occupationalcategories, it is based
on a criterion ofdifferentiation
oftrades,
andit is therefore for
the tradeorganizations toact,
sinceit is
at theirlevel
that thediscrimination
appears.The
commercialdefence
of the generalinterests
oftheinterests in
thecase oftheapplicants areaccordingly
affected assuch,
and the tradesthus
affected confers onthem thecapacity
andinterest
toact.According
to theapplicants,
theinterest
ofthe
Community in
thegood administration of
justice
andfull
supervision of the measures adoptedby Community
institutions
requires thatbasic
tradeorganizations,
specializedin
thedefence
of a well-defined
trade, be
acknowledged ashaving
a right of action as wide asthatin
theECSC Treaty (the
words 'direct'and
'individual'
in
the second paragraph of
Article 173 having
the effectof
excluding inter-trade organizations), interests in
the case of the applicants areaccordingly
affected assuch,
and thefor only
these associations arein
a positiontodefend
sectionalinterests
and toputthem to theCourt in
theirproper perspective.The
applicantin Case 22/62
emphasizesin
this respect thatindividual
undertakings arerarely in
aposition to
keep
themselvesinformed
ofthe measures adopted
by Community
institutions
ortocontestthemin
appropriate cases.
IV
—Procedure
The
procedurefollowed
the normal course.In
view of thefact
that the present cases are similarin
theirsubjectmatter,
theCourt by
anOrder dated 7
November 1962 joined
thefour
casesfor
purposes of the oral procedure and the
judgment.
Grounds
ofjudgment
I
—As to admissibility
1. Under the terms
ofthe
second paragraph ofArticle 173
ofthe EEC Treaty, any
natural orlegal
personmay institute
proceedings against an act ofthe Commission
orthe Council only if that
act constitutes either adecision
addressedto that
person or adecision which,
althoughin the form
of a regulation or a
decision
addressedto
anotherperson, is
ofdirect
and497
JUDGMENT OF 14. 12. 1962—JOINED 19 22/62
individual
concernto the former. It follows that
sucha personis
notentitledto
make an applicationfor
annulmentof regulationsadoptedby the Council
or
the Commission.
The Court
admitsthat the
systemthus
establishedby the Treaties
ofRome lays down
more restrictive conditionsthan does the ECSC Treaty
for the admissibility
of applicationsfor
annulmentby
privateindividuals.
However, it
would notbe
appropriatefor the Court to
pronounce onthe
meritsofthis
systemwhichappearsclearly from the text
under examination.The Court is
unablein
particularto
adoptthe interpretation
suggestedby
one of
the
applicantsduring the
oralprocedure, according to
whichthe term 'decision',
as usedin the
second paragraph ofArticle 173,
could alsocover regulations.
Such
a wideinterpretation
conflicts withthe fact that Article 189
makesa cleardistinction between the
concept ofa'decision'
and
that
ofa'regulation'. It is inconceivable that the term
'decision'
would
be
used
in Article 173 in
adifferent
sensefrom the technical
sense asdefined in Article 189. It follows from the foregoing
considerationsthat the present
applications shouldbe dismissed
asinadmissible if the
measurein dispute
constitutesaregulation.
In examining this question, the Court
cannot restrictitself to considering the
officialtitle
ofthe measure, but
mustfirst take into
accountits
object and content.2. Under the terms
ofArticle 189
ofthe EEC Treaty,
a regulation shallhave
general application and shallbe directly
applicablein
allMember States,
whereas adecision
shallbe binding only
uponthose to
whomit is
addressed.
The
criterionfor the distinction
mustbe
soughtin the
general 'application'orotherwiseof
the
measurein
question.The
essential characteristics of adecision
arisefrom the limitation
ofthe
personsto
whomit is addressed,
whereasaregulation, being essentially
ofalegislative nature, is
applicable notto
alimited
number ofpersons, defined
or
identifiable, but to
categoriesof persons viewedabstractly
andin their
entirety.Consequently, in
orderto determine in doubtful
cases whether oneis
concerned with adecision
or aregulation, it is necessary to
ascertain whetherthe
measurein
questionis
ofindividual
concernto
specificindividuals.
In these circumstances, if
a measure entitledby its
author a regulationcontains provisionswhichare capableof
being
notonly
ofdirect but
also ofindividual
concernto
certain natural orlegal persons, it
mustbe admitted,
without prejudiceto the
question whetherthat
measure consideredin its
498
FEDERATION NATIONALE DE LA BOUCHERIEvCOUNCIL
entirety
canbe correctly
called aregulation, that in any
casethose
provisionsdo
nothave the
character of a regulation andmay therefore be impugned by
those
personsunderthe terms
ofthe
secondparagraphofArticle 173.
3. In this
casethe
measurein dispute
was entitledby its
author a'regulation'.
However, the
applicants maintainthat the disputed
provisionis in fact 'a decision in the form
of a regulation'.It is
possible withoutdoubt for
adecision
alsoto have
avery
widefield
of application.However,
a measurewhich
is
applicableto objectively determined
situations and whichinvolves immediate legal
consequencesin
allMember States for
categories of personsviewed
in
a general and abstract manner cannotbe
considered asconstituting
a
decision,
unlessit
canbe
provedthat it is
ofindividual
concernto
certainpersons within
the meaning
ofthe
second paragraph ofArticle 173.
In fact this
provision givesto the
categories of personsit affects, namely
agricultural producers and
their associations, operating in
eachMember
State, the ability to
conclude agreements andto
adoptdecisions
and practices underless
restrictive conditionsthan
wouldbe
obtainedfrom
a pureand simple application ofArticle 85
ofthe EEC Treaty.
It
remainsto be
considered whetherthe disputed
provisionis
ofindividual
concern
to the
applicants.Although this
provision affectsthe interests
oftraders in
agriculturalproducts,
andconsequently the
members ofthe
applicantassociations, by placing them in
aless favourable
positionthan that
oftheir direct competitors, the
agriculturalproducers, it
mustbe
stated neverthelessthat the traders
who are members ofthe
applicant associations are concernedby the
said provisionin the
sameway
as all othertraders in
agricultural productsin the Community.
Moreover,
one cannot acceptthe
principlethat
anassociation, in its capacity
asthe
representative of acategory
ofbusinessmen,
couldbe
individually
concernedby
a measureaffecting the
generalinterests
ofthat
category.Such
a principle would resultin the grouping,
underthe heading
of a singlelegal person,
ofthe interests properly
attributedto the
members of acategory,
whohave been
affected asindividuals by
genuineregulations,
and wouldderogate from the
system ofthe Treaty
which allows applicationsfor
annulment
by
privateindividuals only
ofdecisions
whichhave been
addressedto them,
or of actswhichaffectthem in
a similar manner.In these circumstances, it
cannotbe
admittedthat the
provisionin dispute is
ofindividual
concernto the
applicants.It follows that the defendant
was correctin designating the
provisionin
question as a regulation.499
MR CASES 19TO 22/62
The preliminary
objection ofinadmissibility is therefore
wellfounded
andthe
applications mustbe declared inadmissible,
withoutits being necessary to
examinethe
question whetherassociations are entitledto
acteachtime their
members are enabledto do
so.II
—Costs
Under the terms
ofArticle 69 (2)
ofthe Rules
ofProcedure
ofthe Court, the
unsuccessful
party
shallbe
orderedto pay the
costs.In the
present casethe applicants, having failed in their action,
mustbear the
costs ofthe
proceedings.On those grounds,
Upon reading the pleadings;
Upon hearing the
report ofthe Judge-Rapporteur;
Upon hearing the parties;
Upon hearing the
opinion ofthe Advocate-General;
Having
regardto Articles 173
and189
ofthe Treaty establishing the European Economic Community;
Having
regardto the Protocol
onthe Statute
ofthe Court
ofJustice
ofthe
European Economic Community;
Having
regardto the Rules
ofProcedure
ofthe Court
ofJustice
ofthe
European Communites, especially Articles 69 (2)
and91 (4);
THE COURT
hereby
1. Dismisses the
applications asbeing inadmissible;
2. Orders the
applicantsto pay the
costsofthe
proceedings.Donner Delvaux Rossi
Riese Hammes Trabucchi Lecourt
Delivered in
opencourtin Luxembourg
on14 December 1962.
A. Van Houtte
Registrar