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You are here: BAILII >> Databases >> Court of Justice of the European Communities (including Court of First Instance Decisions) >> Corsten (Freedom to provide services) [2000] EUECJ C-58/98 (03 October 2000) URL: http://www.bailii.org/eu/cases/EUECJ/2000/C5898.html Cite as: [2000] ECR I-7919, [2000] EUECJ C-58/98, [2000] ECR I-07919 |
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JUDGMENT OF THE COURT
3 October 2000 (1)
(Freedom to provide services - Directive 64/427/EEC - Skilled services in the building trade - National rules requiring foreign skilled trade undertakings to be entered on the trades register - Proportionality)
In Case C-58/98,
REFERENCE to the Court under Article 177 of the EC Treaty (now Article 234 EC) by the Amtsgericht Heinsberg, Germany, for a preliminary ruling in the proceedings before that court against
Josef Corsten
on the interpretation of Article 59 of the EC Treaty (now, after amendment, Article 49 EC), Articles 60, 65 and 66 of the EC Treaty (now Articles 50 EC, 54 EC and 55 EC) and Council Directive 64/427/EEC of 7 July 1964 laying down detailed provisions concerning transitional measures in respect of activities of self-employed persons in manufacturing and processing industries falling within ISIC Major Groups 23-40 (Industry and small craft industries) (OJ, English Special Edition 1963-1964, p. 148),
THE COURT,
composed of: G.C. Rodríguez Iglesias, President, J.C. Moitinho de Almeida, D.A.O. Edward (Rapporteur), L. Sevón and R. Schintgen (Presidents of Chambers), P.J.G. Kapteyn, C. Gulmann, H. Ragnemalm and M. Wathelet, Judges,
Advocate General: G. Cosmas,
Registrar: H.A. Rühl, Principal Administrator,
after considering the written observations submitted on behalf of:
- Kreis Heinsberg (the commune of Heinsberg), by J. Nießen, Kreisrechtsrat, acting as Agent,
- the German Government, by E. Röder, Ministerialrat at the Federal Ministry of the Economy, and C.-D. Quassowski, Regierungsdirektor at the same Ministry, acting as Agents,
- the Austrian Government, by C. Stix-Hackl, Gesandte in the Federal Ministry of Foreign Affairs, acting as Agent,
- the Commission of the European Communities, by B. Mongin and M. Niejahr, of its Legal Service, acting as Agents,
having regard to the Report for the Hearing,
after hearing the oral observations of Kreis Heinsberg and the Commission at the hearing on 5 October 1999,
after hearing the Opinion of the Advocate General at the sitting on 30 November 1999,
gives the following
Community law
'Within the framework of the provisions set out below, restrictions on freedom to provide services within the Community shall be progressively abolished during the transitional period in respect of nationals of Member States who are established in a State of the Community other than that of the person for whom the services are intended.
'The provisions of this Chapter and measures taken in pursuance thereof shall not prejudice the applicability of provisions laid down by law, regulation or administrative action providing for special treatment for foreign nationals on grounds of public policy, public security or public health.
'Where, in a Member State, the taking up or pursuit of any activity referred to in Article 1(2) [activities of self-employed persons in manufacturing and processing industries falling within ISIC Major Groups 23-40 (Industry and small craft industries)] is dependent on the possession of general, commercial or professional knowledge and ability, that Member State shall accept as sufficient evidence of such knowledge and ability the fact that the activity in question has been pursued in another Member State for any of the following periods:
(a) six consecutive years either in an independent capacity or as a person responsible for managing an undertaking; or
(b) three consecutive years either in an independent capacity or as a person responsible for managing an undertaking, where the beneficiary can prove that for the occupation in question he has received at least three years' previous training, attested by a certificate recognised by the State, or regarded by the competent professional body as fully satisfying its requirements; or
(c) three consecutive years in an independent capacity, where the beneficiary can prove that he has pursued the occupation in question for at least five years in a non-independent capacity; or
(d) five consecutive years in a managerial capacity, not less than three years of which were in technical posts with responsibility for one or more departments of the undertaking, where the beneficiary can prove that for the occupation in question he has received at least three years' previous training, attested by a certificate recognised by the State or regarded by the competent professional body as fully satisfying its requirements.
In the cases referred to in subparagraphs (a) and (c) pursuit of the activity shall not have ceased more than 10 years before the date when the application provided for in Article 4(3) is made.
Article 4 of Directive 64/427 provides:
'For the purpose of applying Article 3:
1. Member States in which the taking up and pursuit of any occupation referred to in Article 1(2) is subject to the possession of general, commercial or professional knowledge or ability shall, with the assistance of the Commission, inform the other Member States of the main characteristics of that occupation (description of the activities covered by the occupation).
2. The competent authority designated for this purpose by the country whence the beneficiary comes shall certify what professional activities were actually pursued by the beneficiary and the duration of those activities. Certificates shall be drawn up having regard to the official description of the occupation in question supplied by the Member State in which the beneficiary wishes to pursue such occupation, whether permanently or temporarily.
3. The host Member State shall grant authorisation to pursue the activity in question on application by the person concerned, provided that the activity certified conforms to the main features of the description of the activity communicated pursuant to paragraph 1 and provided that any other requirements laid down by the rules of that State are satisfied.
National law
'Exceptional authorisation to be entered on the Skilled Trades Register in respect of a skilled trade listed in Annex A to the Handwerksordnung, apart from the skilled trades referred to in points 17, 89 to 91 and 93 to 95, except in the cases provided for in Paragraph 8(1) of the Handwerksordnung, shall be granted to a national of the Member States of the European Economic Community or of another State which is party to the Agreement on the European Economic Area, where
1. the applicant has pursued the activity in question in another Member State under the following conditions:
(a) either for at least six consecutive years in an independent capacity or as a person responsible for managing an undertaking;
(b) or for at least three consecutive years in an independent capacity or as a person responsible for managing an undertaking, having received training for the occupation in question of at least three years;
(c) or for at least three consecutive years in an independent capacity and for at least five years in a non-independent capacity:
(d) or for at least five consecutive years in a managerial capacity, not less than three years of which were in technical posts with responsibility for one or more departments of the undertaking, having received training for the occupation in question of at least three years, and where
2. The activity pursued corresponds to the official description of the occupation in question in respect of which derogation is applied for.
The main proceedings and the question referred to the Court
'[Is it] compatible with Community law on the freedom to provide services for a Netherlands undertaking, which in the Netherlands satisfies all the conditions for carrying on a commercial activity, to have to satisfy further - albeit purely formal - conditions in order to carry on that activity in Germany[?]
The question referred to the Court
Costs
50. The costs incurred by the German and Austrian Governments and by the Commission, which have submitted observations to the Court, are not recoverable. Since these proceedings are, for the parties to the main proceedings, a step in the proceedings pending before the national court, the decision on costs is a matter for that court.
On those grounds,
THE COURT,
in answer to the question referred to it by the Amtsgericht Heinsberg by order of 13 February 1998, supplemented on 22 June 1998, hereby rules:
Article 59 of the EC Treaty (now, after amendment, Article 49 EC) and Article 4 of Council Directive 64/427/EEC of 7 July 1964 laying down detailed provisions concerning transitional measures in respect of activities of self-employed persons in manufacturing and processing industries falling within ISIC Major Groups 23-40 (Industry and small craft industries) preclude rules of a Member State which make the carrying out on its territory of skilled trade work by providers of services established in other Member States subject to an authorisation procedure which is likely to delay or complicate exercise of the right to freedom to provide services, where examination of the conditions governing access to the activities concerned has been carried out and it has been established that those conditions are satisfied. Furthermore, any requirement of entry on the trades register of the host Member State, assuming it was justified, should neither give rise to additional administrative expense nor entail compulsory payment of subscriptions to the chamber of trades.
Rodríguez Iglesias
Sevón
Gulmann
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Delivered in open court in Luxembourg on 3 October 2000.
R. Grass G.C. Rodríguez Iglesias
Registrar President
1: Language of the case: German.