State aid judicial review

Foreword State aid & Judicial review: An overview of EU and national case law

This Special Issue of e-Competitions contains a compilation of annotations of case law in relation to judicial review of State aid decisions. The cases concern a wide range of measures, including land transactions, guarantees, renewable energy levies, settlement agreements and tax rulings and cover many different sectors, including energy, public infrastructure, car manufacturing, chemicals and pharmaceuticals, aviation and professional football.

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Slaughter and May (London)
United Kingdom 2 contributions 763 visits

State Aid

 The EU Court of Justice dismisses an airline’s challenge to the 2020 loan guarantees offered to a Nordic flag carrier by Sweden and Denmark (Ryanair)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
State aid to SAS during the COVID-19 pandemic: the Court of Justice definitively dismisses Ryanair’s actions concerning the loan guarantees put in place by Sweden and Denmark in April 2020* In April 2020, Denmark and Sweden gave notice to the Commission of two separate aid measures in favour (...)

The EU General Court annuls the Commission’s decision declaring unlawful the Spanish tax scheme on the deduction for indirect acquisitions of shareholdings in foreign companies
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court annuls the Commission’s decision declaring the Spanish tax scheme on the deduction for indirect acquisitions of shareholdings in foreign companies unlawful* In 2002, Spain introduced a new corporate tax scheme. That scheme allowed companies that had acquired shareholdings (...)

The EU General Court dismisses the legal action brought by Belgium with respect to the recovery of the incompatible State aid based on the fact that Belgium deviated from the normal system of taxation and the advance tax rulings constituted State aid
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Advance Tax Rulings* Introduction In 2016, the Commission found, in decision 2016/1699, that advance tax rulings [ATRs] that had been provided by Belgium to multi-national companies [MNCs] with establishments in Belgium constituted State aid because the ATRs set the taxable income of those (...)

The EU General Court rules that the Belgian excess profit tax exemption to companies forming part of multinational groups constitutes an unlawful aid scheme (Magnetrol International)
Van Bael & Bellis (Brussels)
Belgium 11 contributions 2091 visits
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Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 20 September 2023, the General Court rendered its judgments in the well-known State aid cases concerning the Belgian excess profit tax exemption. In particular, the General Court ruled in cases Belgium v Commission (Case T-131/16 RENV) and Magnetrol International v Commission (T-263/16 (...)

The EU General Court rules that the tax exemptions granted by Belgium to companies forming part of multinational groups constitute an unlawful aid scheme (Magnetrol International)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
Tax rulings: the tax exemptions granted by Belgium to companies forming part of multinational groups constitute an unlawful aid scheme* The General Court thus confirms the decision of the European Commission which found, in 2016, that that tax scheme infringed the EU rules on State aid (...)

The EU Court of Justice holds that a competitor of a State aid recipient must either show that the aid directly and individually harms it or that its right to challenge and submit comments on the compatibility of the aid was violated by the EU Commission (Land Rheinland-Pfalz / Deutsche Lufthansa)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
The Harm Caused by State aid and the Delineation of the Relevant Market* Introduction A competitor of an aid recipient who wants to challenge a Commission decision authorising State aid must either show that the aid harms it directly and individually – i.e. its interests are seriously (...)

The UK Competition Appeal Tribunal dismisses the first claim under the Subsidy Control Act ruling that cross subsidisation by a local authority does not fall within the Act because there was no subsidy granted by the State to an enterprise (Durham Company)
Herbert Smith Freehills (London)
United Kingdom 3 contributions 151 visits
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Herbert Smith Freehills (London)
United Kingdom 4 contributions 247 visits
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Herbert Smith Freehills (London)
United Kingdom 11 contributions 1665 visits
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Over the summer the Competition Appeal Tribunal (the “CAT“) handed down what we expect to be the first of many decisions under the Subsidy Control Act 2022 (the “SCA“): The Durham Company Limited v Durham County Council [2023] CAT 50. While the claimant was unsuccessful in this case, the (...)

The EU Court of Justice dismisses an appeal against the judgment of the General Court and confirms the incompatibility with the internal market of aid granted by Austria to an airline (TUIfly)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Profitability as a Criterion of the Compatibility of State Aid with the Internal Market* Introduction When the state has a realistic prospect of making profit, its financial transactions with third parties do not constitute State aid. The absence of profit is a strong indicator of the (...)

The EU General Court holds that transactions at market rates can still confer an advantage that constitutes State aid (Ryanair)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Transactions at Market Rates Can still Confer an Advantage that Constitutes State aid (PART II)* Introduction When public authorities buy goods and services for themselves, they have to pay a market price, otherwise they confer an abnormal advantage to the sellers. On 14 June 2023, the (...)

The EU Court of Justice confirms that purely regulatory measures do not necessarily constitute State aid, even where they confer advantages on certain undertakings, providing there is no transferring of State resources (Prestige / Limousine)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Regulatory Measures Are not State aid & Trade Unions Are not “Interested Party”* State resources On 8 June 2023, the Court of Justice clarified, by its judgment in case C-50/21, Prestige and Limousine SL, that purely regulatory measures may confer and advantage without, however, (...)

The EU General Court clarifies a third party may be designated as an ’interested party’ provided it can evidence that its interests are affected by the grant of aid on which the case revolves (Unsa Énergie)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Regulatory Measures Are not State aid & Trade Unions Are not “Interested Party”* Interested party On 7 June 2023, the General Court delivered its judgment in case T-322/22, Unsa Énergie v European Commission. Unsa Énergie, a trade union representing employees of Électricité de France (...)

The EU General Court rules that the infringement of non-State aid rules may impact the compatibility of State aid (Ryanair)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
How the Infringement of Non-State aid Rules Can Affect the Compatibility of State aid* Introduction It is now well-established that if a State aid measure is inherently or indissolubly linked to a an infringement of EU law outside the field of State aid it cannot be found to be compatible (...)

The General Court annuls the Commission’s decision to approve an aid measure consisting in subsidies paid by Italy to Italian airlines in the context of the COVID-19 pandemic (Ryanair)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court annuls the Commission’s decision to approve an aid measure consisting in subsidies paid by Italy to Italian airlines in the context of the COVID-19 pandemic* The Commission failed to provide a statement of reasons for its finding that the measure at issue was not contrary (...)

The EU General Court annuls a decision by the Commission to permit State aid to a Nordic airline on the grounds that the aid failed to include a step-up mechanism (Ryanair)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction Ryanair has challenged many Commission decisions authorising State aid for its rivals. In 2021 and 2022, the General Court delivered 12 judgments concerning covid-19-related aid granted to other airlines. Of those 12 judgments, Ryanair temporarily won only three. Its wins were (...)

The EU General Court upholds actions for annulment against decisions of the Commission authorising State aid to airlines during the Covid-19 pandemic (Ryanair / Condor)
Van Bael & Bellis (Brussels)
Belgium 11 contributions 2091 visits
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Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
,
Van Bael & Bellis (Brussels)
Belgium 3 contributions 325 visits
On 10 May 2023, the General Court (“Court”) delivered two judgments upholding Ryanair and Condor’s actions to annul the decisions of the European Commission (“Commission”) approving State aid granted by Germany to Lufthansa (Joined Cases T-34/21 and T-87/21) and by Sweden and Denmark to SAS (...)

The EU General Court annuls the approval decision of the Commission on the recapitalisation of a German airline company in the context of the COVID-19 pandemic (Ryanair / Condor)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The General Court annuls the decision of the Commission to approve the recapitalisation of Lufthansa by Germany, amounting to €6 billion euros, in the context of the COVID-19 pandemic* The Commission committed several errors, in particular, by considering that Lufthansa was unable to obtain (...)

The England & Wales High Court affirms proportionality as the standard of review for examining substantive subsidy decisions under the new subsidy control regime (Bulb)
Blackstone Chambers (London)
United Kingdom 5 contributions 752 visits
As erstwhile State aid lawyers will know, under the UK’s new subsidy control regime, interested parties can challenge subsidy decisions in the CAT, which will apply the same principles applied by the High Court in a judicial review. But what standard of review will the CAT adopt when examining (...)

The EU General Court dismisses an appeal filed against the Commission’s decision approving the aid granted by Romania to an airline in the context of the COVID-19 pandemic (Blue Air)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
Judgment of the General Court in Case T-142/21 | Wizz Air Hungary v Commission (Blue Air; COVID-19 and rescue aid)* The action against the Commission’s decision approving the aid granted by Romania to the airline Blue Air in the context of the Covid-19 pandemic is dismissed in its entirety (...)

The EU General Court dismisses an appeal filed against the Commission’s decision approving the aid granted to an airline in the context of the COVID-19 pandemic (Blue Air)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction Member States are allowed to grant state to compensate undertakings for damage they suffer as a result of a natural disaster or exceptional occurrence. But, it is not always easy or possible to disentangle the damage caused by such an unforeseen event from losses caused by (...)

The EU General Court partly overturns the Commission’s decision with its ruling on the selectivity and profitability of agreements between airports and airlines (Carpatair)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction Selectivity is a tricky issue. Even a measure that appears not to favour or exclude any undertaking may in practice prove to be selective if its effects favour certain undertakings over others that are in a comparable situation. In order to determine whether they are comparable (...)

The EU General Court annuls the approval of Romanian State aid to an airport in favour of an airline because the Commission committed several errors in law when examining whether the aid measures were selective and conferred an advantage (Carpartair)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court annuls the decision of the European Commission approving Romanian aid to Timișoara International Airport in favour of Wizz Air* The Commission committed several errors of law when examining whether those measures were selective and whether they conferred an advantage (...)

The EU Court of Justice partially annuls the EU Commission’s decision on the Spanish Tax Lease System (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión / Caixabank)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
State aid: the Court annuls in part the Commission’s decision on the ‘Spanish Tax Lease System’ * The recovery of the full amount of the aid referred to was ordered on the basis of an erroneous identification of the recipients In 2006, several complaints were made to the European (...)

The EU Court of Justice partially annuls the Commission’s decision on the Spanish Tax Lease System and clarifies the extent to which public authorities can implement general measures without favouring any undertaking (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión / Caixabank)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction On 2 February 2023, the Court of justice, in case C649/20 P, Spain and Others v European Commission, clarified the extent to which public authorities can implement general measures without in practice favouring any undertaking. The exercise of administrative discretion can turn (...)

The EU Court of Justice annuls the General Court decision on the precautionary recapitalisation of a major bank in Italy (Anthony Braesch)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction Investors in banks that failed or were restructured as a result of the financial crisis that broke out in 2008 have tried many times and have used many arguments to support their claims for compensation. None of them has so far succeeded before EU courts to prove that the (...)

The EU General Court rules that tax exemptions through a privatisation transaction amount to State aid (Società Navigazione Siciliana)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Tax Advantages and Competitive Bidding* Introduction Award of contracts or sale of state assets through competitive bidding procedures or tenders are presumed to result in a market prices and to confer no advantage to the winner in the meaning of Article 107(1) TFEU. However, on 25 (...)

The EU Court of Justice rules that State aid includes all resources that can be directed by the State for its own purposes (DOBELES HES / Sabiedrisko pakalpojumu regulēšanas komisija)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction On 12 January 2023, the Court of Justice delivered its judgment in joined cases C-702/20, DOBELES HES and C-17/21, Sabiedrisko pakalpojumu regulēšanas komisija. A Latvian court requested the Court of Justice to provide a preliminary ruling on the interpretation of Article (...)

The EU Court of Justice clarifies that State aid cannot be established as a result of a judicial decision (DOBELES HES / GM)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The establishment as such of State aid cannot result from a judicial decision* On 5 May 2004, Latvia adopted a Law (in force from 8 June 2004 to 31 December 2014) seeking to amend the procedure applicable to the sale by electricity producers of surplus production at an increased tariff. That (...)

The EU General Court annuls two decisions of the Commission on State aid, due to the failure to take into account the accumulation of aid from other Member States (Landwärme)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction The EU Green Deal and the Climate, Environmental Protection and Energy Aid Guidelines [CEEAG] allow Member States to grant more aid, in diversity and amounts, to incentivise companies to invest in greener technologies and energy. However, when multiple Member States grant aid (...)

The EU General Court confirms that assessments of State aid compatibility are carried out independently of other legal assessments (MVM Paks II Nuclear Power Plant Development)
University of Amsterdam
Netherlands 2 contributions 2544 visits
On 22 May 2015, the Commission opened an investigation under Article 108 TFEU into a Hungarian financial contribution for the development of nuclear reactors at the Paks nuclear power plant site, the beneficiary of which would be the company Paks II, wholly owned by the Hungarian State. On 6 (...)

The EU General Court clarifies the nature of the link that must exist between State aid and other provisions of EU law in order for an aid measure to be found incompatible with the internal market (MVM Paks II Nuclear Power Plant Development)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Introduction It is an established principle in the case law that the Commission may not authorise State aid that infringes other provisions of EU law, both primary and secondary. Now consider the following case. A Member State notifies to the Commission regional investment aid to support the (...)

The EU General Court dismisses an Austrian action contesting a Hungarian investment aid approved by the Commission to build new nuclear reactors (MVM Paks II Nuclear Power Plant Development)
European Commission - DG COMP (Brussels)
Belgium 1362 contributions 2930177 visits
Construction of new nuclear reactors: the General Court dismisses the action brought by Austria to contest Hungarian investment aid approved by the Commission* By decision of 6 March 2017 (‘the contested decision’), the European Commission approved investment aid, notified by Hungary, for (...)

The EU Court of Justice annuls the Commission’s expansive interpretation of State aid in a Luxembourg tax rulings case (Fiat Chrysler)
Skadden, Arps, Slate, Meagher & Flom (London)
United Kingdom 5 contributions 1421 visits
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Skadden, Arps, Slate, Meagher & Flom (Brussels)
Belgium 62 contributions 27982 visits
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Skadden, Arps, Slate, Meagher & Flom (Chicago)
United States 2 contributions 487 visits
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On November 8, 2022, the Court of Justice of the European Union (CJEU), overturning the first instance EU General Court (General Court), annulled the European Commission’s (EC’s) decision that a Luxembourg tax ruling on Fiat’s intragroup financing transactions “did not reflect economic (...)

The EU Court of Justice annuls a Commission decision which ordered Luxembourg to recover €20-30M in aid after a series of favourable transfer-pricing tax rulings (Fiat Chrysler)
Van Bael & Bellis (Brussels)
Belgium 11 contributions 2091 visits
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Van Bael & Bellis (Brussels)
Belgium 61 contributions 15278 visits
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Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 8 November 2022, the Grand Chamber of the European Court of Justice (“ECJ”) delivered its judgment in Joined Cases C-885/19 P, Fiat Chrysler Finance Europe v Commission, and C-898/19 P, Ireland v Commission, annulling a 2015 Commission decision that had found that a transfer price tax (...)

The EU Court of Justice AG Pikamäe proposes that the judgment of the General Court and the Commission’s decision on the ‘Spanish tax leasing scheme’ should be partially annulled (Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión / Caixabank)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
Advocate General Pikamäe proposes that the judgment of the General Court and the Commission’s decision on the ‘Spanish tax leasing scheme’ should be partially annulled* In 2006, the European Commission received a number of complaints concerning the application of ‘the Spanish Tax Lease (...)

The EU Court of Justice declares that national authorities responsible for the recovery of aid classified as unlawful may apply a domestic provision in order to prevent double taxation (Fossil Group)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
Corporate income tax in Gibraltar: the national authorities responsible for the recovery of aid classified as unlawful may apply a domestic provision in order to prevent double taxation* Following a formal investigation procedure into the corporate income tax regime in Gibraltar, the (...)

The EU General Court dismisses in its entirety an action seeking annulment of the decision by the Commission to approve aid granted by Finland to a major airline (Finnair)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The action seeking annulment of the decision by the Commission to approve aid granted by Finland to the airline Finnair is dismissed in its entirety* The Commission was entitled to approve the recapitalisation of Finnair, carried out by its public and private owners on a pro rata basis in (...)

The EU General Court rejects a shipping company’s appeal against a State aid recovery decision on the grounds that the company’s participation in a cartel renders the aid incompatible with the internal market (Tirrenia Group)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
State Aid and Anti-Competitive Practices* State aid to undertakings that engage in anti-competitive practices is incompatible with the internal market. Introduction For State aid to be compatible with the internal market, it may not infringe any other provision of the Treaty or secondary (...)

The EU General Court dismisses the claims of an airline seeking a State aid recovery decision against a rival on procedural grounds (Ryanair)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Another Case of Rescue Aid to an Airline* An undertaking does not have to be nationally “important” in order to qualify for rescue aid. Introduction The pandemic has been hard on airlines. For some of them, however, the pandemic simply exacerbated their already existing problems. On 18 (...)

The EU General Court rejects an appeal by an airline alleging that the German aid to an insolvent rival to maintain orderly air travel was illegal (Ryanair)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court of the European Union confirms that the German aid for the rescue of Condor is compatible with EU law* The fact that Condor’s financial difficulties were caused by the Thomas Cook group being placed into liquidation did not preclude the approval of that aid by the (...)

The EU Court of Justice rules that State resources transferred from one public authority to another for the management of public services are not State aid within the meaning of Article 107(1) TFEU (Hermann Albers)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Intra-State Transfers and the Discretion of Public Authorities* Resources transferred from one public authority to another for the purpose of being used to subsidise undertakings do not fall within the scope of Article 107(1) TFEU if the recipient authority has discretion in their (...)

The EU Court of Justice overturns the ruling of the EU General Court paving the pay for infringement proceedings against the UK for breaching the principle of sincere cooperation (Micula)
Van Bael & Bellis (Brussels)
Belgium 11 contributions 2091 visits
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Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 25 January 2022, the Court of Justice of the European Union (“ECJ”) delivered its judgment in the long-running Micula case. Despite being issued by the highest EU Court, the ruling did not put an end to this long-standing saga, as the ECJ annulled the previous judgment of the General Court (...)

The EU Court of Justice finds that the General Court erred in law when finding the Commission incompetent to examine, in the light of the law on State aid, the compensation paid to Swedish investors by Romania in the implementation of an arbitral award (Micula)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The General Court erred in law in finding that the Commission lacked competence to examine, in the light of the law on State aid, the compensation paid to Swedish investors by Romania in implementation of an arbitral award* While that award had upheld the argument of those investors that (...)

The EU Court of Justice orders Greece to pay a lump sum of €5.5B and a penalty payment of €4.37B for failure to recover wrongful State aid granted to a mining company (Larco)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
Greece is ordered to make a lump sum payment of €5 500 000 and periodic penalty payments of over €4 000 000 for every six months’ delay for failure to recover State aid granted to Larco* The Court first declared that Greece had failed to fulfil its obligations in a judgment delivered in 2017 (...)

The EU General Court rules that the Commission may not reopen a formal investigation procedure after the annulment of the Commission’s decision when the basis of annulment lies in the error of law or manifest error of assessment (Loutraki Kazino)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
The Commission Need not Always Open the Formal Investigation Procedure before Correcting a Faulty Decision* The formal investigation procedure need not be re-opened when the fault lies in the legal assessment of the measure in question. Introduction This article examines when the (...)

The EU Court of Justice AG Priit Pikamäe suggests the Court annul the Commission’s decision declaring an aid granted as being incompatible with the internal market (Fiat)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
Tax ruling: Advocate General Priit Pikamäe proposes that the Court allow the appeal brought by Ireland and annul the Commission’s decision declaring aid which Luxembourg granted to Fiat as being incompatible with the internal market* He proposes, however, that the appeal brought separately (...)

The EU Court of Justice applies the market economy investor principle when assessing whether commercial transactions between public authorities and undertakings are free of State aid (Autostrada Wielkopolska)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
First Case of a “Private Debtor” Test?* A public authority acting as a “private debtor” tries to minimise the amount that it has to pay. Introduction In assessing whether commercial transactions between public authorities and undertakings are free of State aid, the European Commission (...)

The EU Court of Justice upholds the General Court’s classification of the Spanish tax rules on the amortization of financial goodwill as State aid incompatible with the internal market (Deutsche Telekom / Banco Santander / Sigma Alimentos Exterior / Prosegur Compañia de Seguridad / Duty Free Group / Banco Santander / Santusa)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The Court of Justice dismisses the appeals brought against the judgments of the General Court upholding the classification of the Spanish tax rules on the amortisation of financial goodwill as State aid incompatible with the internal market* In 2007, after a number of written questions had (...)

The EU General Court confirms the Commission’s decision on State aid granted by Austria to an airline company due to an expired ten year limitation period (Ryanair)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Market Economy Operator* Comparing prices charged by different airports is not a suitable method for detecting the existence of selective advantages. Introduction Airports enter into complex agreements with airlines. When airports are in public ownership or operate under a mandate by the (...)

The EU General Court annuls the Commission’s decisions that an arbitration award setting an allegedly preferential tariff for electricity does not involve the granting of an advantage to an aluminum producer (Mytilinaios)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court annuls the decisions by which the Commission found that an arbitration award setting an allegedly preferential tariff for electricity did not involve the granting of an advantage to the aluminium producer Mytilinaios* The Commission was required to examine diligently, (...)

The EU Court of Justice upholds the judgment of the General Court that Czech measures for the support of renewable sources of energy constitute State aid (FVE Holýšov)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Legitimate Expectations and the “Right” to State Aid* Introduction As the process of transition to green economy accelerates, Member States have been reducing the subsidies they promised to grant to the early investors in the production of electricity from renewable sources of energy (...)

The EU Court of Justice upholds the Commission’s decision finding that the Belgian tax rulings regarding excess profits qualify as a State aid scheme (Magnetrol International)
Ashurst (Brussels)
Belgium 37 contributions 9285 visits
On 16 September 2021, the ECJ handed down its much awaited judgment on whether the Belgian tax rulings concerning excess profits could be classified as an aid scheme (as opposed to individual aid measures). The ECJ set aside the General Court’s judgment and backed the European Commission’s (...)

The EU Court of Justice rules that the Commission must re-examine whether the sale of a motorsports association entails a grant of State Aid (Ja zum Nürburgring / NeXovation)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The Commission must re-examine whether the sale of the Nürburgring in 2014 entailed a grant of State aid* In the same year, it wrongly ruled out the presence of doubts as to the possible existence of an advantage conferred on the buyer and decided not to open a formal investigation procedure (...)

The EU Court of Justice rejects an appeal filed by an airline company and provides further guidance on standing to challenge State aid decisions related to competing undertakings (Lufthansa)
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 15 July 2021, the Court of Justice of the European Union (“ECJ” or “Court”) rejected the appeal filed by the German airline company Deutsche Lufthansa AG against the judgment of the General Court of 12 April 2019, Deutsche Lufthansa v Commission (Case T-492/15). The substance of the (...)

The EU General Court confirms that the aid granted by Austria to its national airline in order to compensate it for the damage resulting from the cancellation or rescheduling of its flights due to the COVID-19 pandemic is compatible with the internal market (Austrian Airlines / Laudamotion)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court confirms that the aid granted by Austria to Austrian Airlines in order to compensate it for the damage resulting from the cancellation or rescheduling of its flights due to the COVID-19 pandemic is compatible with the internal market* That aid, having been deducted from (...)

The UK Government publishes its long-awaited Subsidy Control Bill
Herbert Smith Freehills (London)
United Kingdom 11 contributions 1665 visits
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Herbert Smith Freehills (London)
United Kingdom 17 contributions 5726 visits
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Herbert Smith Freehills (Brussels)
Belgium 3 contributions 810 visits
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On 30 June 2021, the UK Government published its much-awaited Subsidy Control Bill. In this update, we explore the key aspects of the proposed UK subsidy control regime. We conclude with five key takeaways. Overview of the UK regime The Subsidy Control Bill establishes a UK subsidy (...)

The EU General Court annuls the Commission’s decision approving the State aid granted by Germany to an airline company on the grounds of an inadequate statement of reasons (Condor Flugdienst)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court annuls the Commission decision approving the State aid granted by Germany to the airline Condor Flugdienst on the grounds of an inadequate statement of reasons* However, because of the economic and social context marked by the Covid-19 pandemic, it suspends the effects of (...)

Concept of State aid: The EU General Court annuls the Commission’s decision which found that the non-charging of a deposit on certain drinks packaging sold by German border shops to customers resident in Denmark does not constitute State aid (Dansk Erhverv)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court annuls the Commission decision finding that the non-charging of a deposit on certain drinks packaging sold by German border shops to customers resident in Denmark does not constitute State aid* The Commission was not in a position to overcome, at the preliminary stage, all (...)

Concept of State aid: The EU General Court rules that an exemption from a fine does not amount to State aid when the relevant legislation defines the circumstances for the exemption according to transparent and pre-determined criteria (Dansk Erhverv)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
When Do Legal Exemptions Constitute State Aid?* Introduction An exemption from legal requirements that confers a selective advantage does not necessarily amount to State aid. In most cases, when beneficiaries are found not to receive State aid it is simply because the exemption does not (...)

The EU General Court annuls for inadequate reasoning two COVID-19 related State aid decisions granted by the Netherlands and Portugal while also confirming in a third decision the legality of a Spanish State aid scheme in the air transport sector (Ryanair)
Steptoe & Johnson (Brussels)
Belgium 9 contributions 2781 visits
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American Chamber of Commerce to the EU
Belgium 24 contributions 24473 visits
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Jones Day (Brussels)
Belgium 11 contributions 3782 visits
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On 19 May 2021, the General Court (“GC”) annulled two decisions of the European Commission, following Ryanair’s challenges of State aid granted to respectively TAP (Portugal’s national airline) and KLM (subsidiary of the Air France-KLM holding company). In June and July 2020, TAP and KLM (...)

The EU General Court annuls the Commission’s decisions authorising State aid schemes granted by Portugal and the Netherlands to two airline companies (Ryanair)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
State Aid to Group of Companies* In assessing the compatibility of State aid with the internal market, the Commission must also consider previous awards to a legally distinct but related company. In assessing the need for rescue/restructuring aid, the Commission must also consider whether (...)

The EU General Court rules that limiting COVID-19 State aid to companies which have a durable link with the local economy can be compatible with the internal market (Ryanair)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
Is State Aid for Locally Established Undertakings Compatible with the Internal Market?* Limitation of State aid to companies which have a durable link with the local economy can be compatible with the internal market. Introduction By prohibiting barriers to free movement and (...)

The EU General Court delivers three judgments on State aid granted to support airlines in the aftermath of the COVID-19 pandemic (Ryanair)
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
On 19 May 2021, the General Court of the European Union (“GC”) delivered three further judgments in cases brought by Ryanair concerning State aid granted to support other airlines in the aftermath of the COVID-19 pandemic. In one of these cases, the GC rejected Ryanair’s action for annulment (...)

The EU General Court overrules the Commission’s decision which found that Luxembourg granted State aid to a Big Tech company (Amazon)
Free University of Brussels (ULB)
Belgium 18 contributions 29625 visits
On 12 May 2021, the General Court ("GC") overruled the Commission’s decision finding that Luxembourg granted State aid to Amazon. It found that the Commission had failed to demonstrate that the intra-group transfer price at issue deviated from an arm’s length outcome and that Amazon’s tax (...)

The EU General Court annuls the Commission’s decision that ordered the recovery of €283M from a Big Tech company back to a country for State aid (Amazon)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
Amazon and the Difficulty of Finding a Comparable Tax Payer* To apply the Arm’s Length Principle to transactions between two related companies, the Commission must identify the less complex company of the two and compare it to a similar independent company. Methodological errors in the (...)

The EU General Court of Justice finds that the aid measures introduced by Sweden and Denmark for an airline company’s damage resulting from the cancellation or rescheduling of flights in the wake of travel restrictions caused by the COVID-19 pandemic comply with EU law (Ryanair)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
Aid measures introduced by Sweden and Denmark for SAS for damage resulting from the cancellation or rescheduling of flights in the wake of travel restrictions caused by the Covid-19 pandemic comply with EU law* Given that SAS’s market share is much higher than that of its closest competitor (...)

The EU General Court decides that State aid may be granted to a single company that is important for the national economy and does not need to be granted to all competitors (Ryanair)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
Individual Aid Measures to Combat Covid-19* Aid to remedy a serious economic disturbance may be granted to a single company that is important for the national economy. EU law does not extend to competitors a right to the same aid. Introduction Between March 2020 and April 2021, the (...)

The EU General Court examines a system of levies on electricity consumers and concludes that it is likely to infringe fundamental provisions of the EU Treaty (Achema / Lifosa)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
State Aid Measures May not be Funded through Discriminatory Taxes* Introduction Member States finance the generation of electricity from renewable energy sources [RES] with revenue they raise through levies or charges on consumers of electricity. On 14 April 2021, the General Court in (...)

The EU General Court provides further guidance on the standard of judicial review of Commission decisions not to raise objections at the end of a preliminary examination phase (Achema / Lifosa) (Verband Deutscher Alten)
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
On 14 April 2021, the General Court delivered two judgments (Achema and Lifosa, Case T-300/19, and Verband Deutscher Alten und Behindertenhilfe and CarePool Hannover, Case T-69/18, hereinafter “Achema” and “Verband Deutscher Alten”), which provide further guidance on the standard of judicial (...)

The EU General Court dismisses three challenges against decisions of the Commission approving individual aid measures granted by Finland, Denmark and Sweden in the COVID-19 crisis (Ryanair)
Free University of Brussels (ULB)
Belgium 18 contributions 29625 visits
On 14 April 2021, the General Court ("GC") handed down three judgments dismissing Ryanair’s challenges against decisions by the European Commission, approving individual aid measures granted by Finland to Finnair (Case T-388/20) and by Denmark and Sweden to SAS in the context of the COVID-19 (...)

The EU General Court rejects a company’s actions for annulment against decisions of the Commission on COVID-19 individual aid in the aviation sector (Ryanair)
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
On 14 April 2020, the General Court dismissed the actions for annulment brought by Ryanair against three decisions of the Commission authorising State aid in the airline sector. These judgments were delivered by the same Tenth Chamber (extended composition), which had already dismissed in (...)

The EU Court of Justice confirms shortcomings of the Commission’s State aid investigation into progressive turnover-based taxes adopted by Hungary and Poland
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
On 16 March 2021, the Grand Chamber of the European Court of Justice (“ECJ”) rejected the appeals brought by the Commission against the General Court’s (“GC)” judgments concerning progressive turnover-based taxes adopted by Hungary (Case C-596/19 P) and Poland (Case C-562/19 P). The national (...)

The EU Court of Justice sets aside the judgment of the General Court which annuls the Commission’s decision and classifies as State aid the Spanish tax scheme in the football clubs sector (Fútbol Club Barcelona)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The Court of Justice sets aside the judgment of the General Court by which the Commission’s decision classifying as State aid the tax scheme of four Spanish professional football clubs had been annulled* The action which had been brought by Fútbol Club Barcelona against that decision is (...)

The EU Court of Justice further relaxes the standards of review of “aid schemes” and annuls the General Court’s judgment on Spanish football clubs (Fútbol Club Barcelona)
Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
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Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
On 4 March 2021, the European Court of Justice (“ECJ”) delivered another interesting judgment (Case C-362/19 P) in the “Spanish football club saga”, which set aside the General Court’s (“GC”) judgment of 26 February 2019, Fútbol Club Barcelona v Commission (Case T-865/16, the “judgment under (...)

The EU Court of Justice decides that the various components of a tax system form an indivisible whole and the effect they produce differ (Fútbol Club Barcelona)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
“Global” Assessment of Tax Schemes* It is incumbent on the Commission to carry out a global assessment of tax schemes. But it must take into account only those provisions of schemes that apply ex ante and do not depend on the circumstances of individual tax payers. Only when aid has to be (...)

The EU Court of Justice rules that a football club received illegal State aid and sets aside the judgment of the General Court (Fùtbol Club Barcelona)
Free University of Brussels (ULB)
Belgium 18 contributions 29625 visits
On 4 March 2021, the European Court of Justice ("ECJ") handed down its much awaited judgment in the Fùtbol Club Barcelona ("FCB") case. It set aside the judgment of the General Court. As a result, the European Commission’s decision classifying as State aid a tax scheme that was available to (...)

The EU Court of Justice rejects the appeal brought by the Commission against the General Court’s decision concerning the measures adopted by Italian banks to support one of its members (Banca Popolare di Bari)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
Can the Decision of a Private Entity be Imputed to the State?* Introduction One of the trickiest aspects of determining whether a financial transaction involves State aid is its attribution or imputation to a decision of the state, especially when the entity providing the funding is (...)

The EU Court of Justice confirms that support measures adopted by an Italian bank consortium did not constitute State aid (Banca Popolare di Bari)
Ashurst (Brussels)
Belgium 37 contributions 9285 visits
On 2 March 2021, the European Court of Justice ("ECJ") dismissed in its entirety the European Commission’s appeal against the General Court’s judgment regarding financial support adopted by an Italian consortium of banks for the benefit of one of its members. The General Court found correctly (...)

The EU Court of Justice confirms that the Italian deposit guarantee scheme intervention in support of a bank did not constitute State aid (Banca Popolare di Bari)
Cleary Gottlieb Steen & Hamilton (Brussels)
France 11 contributions 20844 visits
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Cleary Gottlieb Steen & Hamilton (Rome)
Italy 6 contributions 2168 visits
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Link Campus University (Rome)
Italy 5 contributions 3503 visits
On March 2, 2021, in dismissing the appeal brought by the European Commission against the judgment of the EU General Court in the Tercas case, the EU Court of Justice issued a landmark ruling on the standard of proof for the imputability to the State of support measures granted by private (...)

The EU Court of Justice rejects the Commission’s appeal concerning alleged aid granted to a bank and clarifies the requirements for the imputability test in the case of private entities (Banca Popolare di Bari)
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
On 2 March 2021, the Grand Chamber of the Court of Justice (“ECJ”) confirmed the judgment of the General Court (“GC”) in Tercas (19 March 2019, Italy and Others v Commission, Joined Cases T-98/16, T-196/16 and T-198/16). The judgments on appeal and at first instance provide important guidance (...)

The EU Court of Justice decides that the measures adopted by a consortium of Italian banks to support one of its members do not constitute State aid (Banca Popolare di Bari)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The Court of Justice dismisses the appeal brought by the Commission against the judgment of the General Court concerning the measures adopted by a consortium of Italian banks to support one of its members* The General Court rightly found that those measures do not constitute State aid (...)

The EU Court of Justice dismisses two actions brought by an airline company against the Commission’s approval of State aid schemes supporting airlines holding national licences during the COVID-19 pandemic (Ryanair)
European Commission - DG COMP (Brussels)
Belgium 4 contributions 969 visits
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Bird & Bird (Brussels)
Belgium 42 contributions 12494 visits
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Goodwin (London)
United Kingdom 4 contributions 710 visits
In May 2020, Ryanair brought two separate actions against the EC approval of a Swedish and a French State aid scheme supporting airlines holding national licences under Article 107(3)(b) TFEU and Article 107(2)(b) TFEU respectively. On 17 February 2021, the General Court dismissed Ryanair’s (...)

The EU General Court hands down two judgments dismissing an airline company’s challenges against decisions by the Commission approving French and Swedish measures to support airlines in the context of the COVID-19 pandemic (Ryanair)
Free University of Brussels (ULB)
Belgium 18 contributions 29625 visits
On 17 February 2021, the General Court handed down two judgments dismissing Ryanair’s challenges against decisions by the European Commission, approving French and Swedish measures to support airlines in the context of the pandemic (Cases T-238/20 and T-259/20). These judgments are the very (...)

The EU General Court dismisses the first two challenges to State aid awarded to national airlines in response to the COVID-19 pandemic (Ryanair)
Covington & Burling (Brussels)
Belgium 49 contributions 18265 visits
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Norton Rose Fulbright (Brussels)
Belgium 14 contributions 4520 visits
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Allen & Overy (Brussels)
Belgium 3 contributions 1185 visits
On 17 February 2021, the General Court of the European Union (“General Court”) in Cases T-259/20 and T-238/20 dismissed Ryanair’s challenges to pandemic aid packages introduced in France and Sweden in order to support the domestic airline sector. The judgments are the first ones where the (...)

The EU General Court rejects actions against the Commission’s decisions on COVID-19 aid schemes in the aviation sector (Ryanair)
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
On 17 February 2021, the General Court delivered two important judgments concerning State aid granted by Sweden (T-238/20) and France (T-259/20), respectively, on the basis of the Temporary Framework for State aid measures to support the economy in the current COVID-19 outbreak (the “Covid-19 (...)

The EU Court of Justice states that the French aid schemes adopted during the COVID-19 pandemic do not infringe competition law in the airline market (Ryanair)
Maastricht University (Maastricht)
Belgique 357 contributions 66840 visites
State Aid May be Limited to Undertakings with Close Links with the National Economy (Part II)* Introduction The European Commission acted swiftly to adopt a fairly accommodating and wide-ranging “Temporary Framework” to regulate State aid for the purposes of counter-acting the impact of (...)

The EU Court of Justice states that the loan guarantee scheme put in place by Sweden to support airlines holding a Swedish operating licence amid the COVID-19 pandemic and intended to remedy the serious disturbance to the economy of that Member State is compatible with EU law (Ryanair)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The loan guarantee scheme put in place by Sweden to support airlines holding a Swedish operating licence amid the Covid-19 pandemic and intended to remedy the serious disturbance to the economy of that Member State is compatible with EU law* The scheme at issue is presumed to have been (...)

The EU General Court provides guidance on the standing to challenge Commission decisions rejecting State aid complaints and the concepts of ’State resources’ and ’imputability’ with regard to decisions adopted by industry associations (Bezouaoui / HB Consultant)
Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
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Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
On 13 January 2021, the European General Court (“GC”) delivered a judgment providing guidance on the standing to challenge European Commission (“Commission”) decisions rejecting State aid complaints, and on the concepts of “State resources” and “imputability” within the meaning of Article (...)

The EU Commission and the UK Government agree on post-Brexit State Aid law in their Trade and Cooperation Agreement
White & Case (Brussels)
Belgium 10 contributions 3095 visits
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White & Case (London)
United Kingdom 12 contributions 2939 visits
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White & Case (London)
Royaume-Uni 27 contributions 13784 visites
State aid remained one of the key sticking points in Brexit negotiations right until the announcement of the Trade and Cooperation Agreement ("TCA") on Christmas Eve 2020. One of the key priorities of the European Union ("EU") during the negotiations was to secure a "level playing field" on (...)

The EU General Court finds a Spanish ship finance scheme to be illegal State aid (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión)
Zepos & Yannopoulos (Athens)
Greece 35 contributions 3760 visits
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Linklaters (London)
United Kingdom 34 contributions 3248 visits
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Zepos & Yannopoulos (Athens)
Greece 29 contributions 2543 visits
By its renvoi judgement of 23 September 2020, the General Court upheld the 2013 European Commission decision which found that the Spanish tax lease scheme (“the STL system”) allowing shipping companies to benefit from rebates of up to 30% on the price of vessels built by Spanish shipyards (...)

The EU General Court dismisses the actions for annulment in the "Spanish tax lease saga" (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión)
Van Bael & Bellis (Brussels)
Belgique 155 contributions 34997 visites
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Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
On 23 September 2020, the General Court delivered another judgment in the “Spanish tax lease saga”, concerning certain aid measures granted through tax provisions applicable to agreements put in place for the financing and acquisition of vessels in Spain. This judgment follows the annulment (...)

The EU General Court rules that the Spanish tax system applicable to certain finance lease agreements entered into by shipyards constitutes an aid scheme and that the unlawful State aid granted under that system must be recovered from the beneficiaries (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The Spanish tax system applicable to certain finance lease agreements entered into by shipyards constitutes an aid scheme* The unlawful State aid granted under that system must be recovered from the beneficiaries In 2006, the European Commission received a number of complaints concerning the (...)

The EU Court of Justice confirms the Commission’s decision approving UK aid for a nuclear power station (Hinkley Point C)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The Court of Justice confirms the Commission decision approving United Kingdom aid for Hinkley Point C nuclear power station* By decision of 8 October 2014, the European Commission approved aid which the United Kingdom is planning for Hinkley Point C nuclear power station, located in (...)

The EU Court of Justice confirms the Commission’s approval of State aid for a nuclear energy plant (Hinkley Point C)
German Ministry of Finance (Berlin)
2 contributions 530 visits
Hinkley Point C: ECJ Confirms Commission’s Approval of Aid to Nuclear Energy Plant* Months before the prospective final Brexit, the ECJ laid what is in all likelihood the last State aid milestone on the UK’s path out of the European Union – at the same time, the ECJ’s judgment in the (...)

The EU Court of Justice confirms that the nuclear energy sector is subject to State aid rules (Hinkley Point C)
Latham & Watkins (Brussels)
Belgium 12 contributions 4701 visits
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Latham & Watkins (Brussels)
Belgium 1 contribution 193 visits
On 22 September 2020, the Grand Chamber of the Court of Justice (‘Court’) dismissed Austria’s appeal against the General Court’s Judgment endorsing Commission Decision (EU) 2015/658 (‘the Judgment’). The Judgment was the first opportunity for the Court to rule whether the nuclear energy sector (...)

The EU Court of Justice declares invalid a Commission decision penalizing France for State aid (Ministre de l’Agriculture et de l’Alimentation / Compagnie des pêches de Saint-Malo)
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
Seized with an interpretation request concerning the arrangements for implementing a Commission decision penalising France for State Aid declared incompatible with the common market, the Court of Justice rules that the decision is invalid* The Commission erred in law in considering that the (...)

The EU Court of Justice clarifies some aspects of State aid related to social security contributions (Ministre de l’Agriculture et de l’Alimentation / Compagnie de pêche de Saint-Malo)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
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Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
On 17 September 2020, the Court of Justice (the “ECJ” or “Court”) answered several questions raised by a request for a preliminary ruling from the French Conseil d’État, with regard to the interpretation of Commission Decision 2005/239/EC (the “Decision at issue”). This Decision concerned (...)

The EU General Court annuls the Commission’s decision concerning the tax rulings in favor of a Big Tech company (Apple)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
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Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
On 15 July 2020, the General Court (the “GC”) annulled the European Commission’s (the “Commission”) decision of 30 August 2016 concerning tax rulings adopted by the Irish authorities in relation to two companies forming part of the Apple Group (the “Contested Decision”). The Contested (...)

The EU General Court quashes a €13 billion tax ruling fine on a Big Tech company (Apple) Free
Free University of Brussels (ULB)
Belgium 18 contributions 29625 visits
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Ashurst (Brussels)
Belgium 37 contributions 9285 visits
€13 billion Apple tax recovery decision quashed On 15 July 2020, the EU General Court ("GC") handed down its much awaited judgment in the Apple case. It overturned the European Commission’s ("Commission") decision ordering Ireland to recover EUR 13 billion (plus interests) in illegal State (...)

The EU General Court strikes down the Commission’s decision ordering Ireland to recover €13B from a Big Tech company for illegal State aid (Apple)
European Commission - DG COMP (Brussels)
Belgium 2 contributions 284 visits
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Cleary Gottlieb Steen & Hamilton (London)
United Kingdom 1 contribution 267 visits
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Cleary Gottlieb Steen & Hamilton (Brussels)
Belgium 35 contributions 32730 visits
On July 15, 2020, the European Union’s second- highest court, the General Court (the “Court”), annulled the 2016 decision of the European Commission (the “Commission”) ordering Ireland to recover €13 billion (€14.3 billion with interest) in back-taxes from Apple which the Commission considered (...)

The EU General Court annuls the Commission’s decision regarding the Irish tax rulings in favor of a Big Tech company (Apple)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court of the European Union annuls the decision taken by the Commission regarding the Irish tax rulings in favour of Apple* The General Court annuls the contested decision because the Commission did not succeed in showing to the requisite legal standard that there was an (...)

The EU Court of Justice narrows down the concept of “undertaking” with regards to health insurance bodies (Dôvera zdravotná poistʼovňa)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
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Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
The Court of Justice of the European Union’s (the “Court of Justice”) judgment of 11 June 2020, Commission v. Dôvera zdravotná poistʼovňa is another brick in the case law concerning the concept of “undertaking” with regard to health insurance bodies. The background of the case is a Slovak (...)

The EU Court of Justice reverses the General Court’s ruling and upholds the Commission’s decision according to which health insurance bodies operating under Slovak State supervision do not fall within the rules of EU law on State aid
European Court of Justice (Luxembourg)
Luxembourg 331 contributions 110118 visits
The Court of Justice upholds the decision of the Commission according to which health insurance bodies operating under Slovak State supervision do not fall within the rules of EU law on State aid* The General Court’s judgment upholding an action brought against that decision is set aside By (...)

The EU Court of Justice clarifies the conditions governing the legality of an injunction issued at the same time as a decision to open a formal State aid investigation (Hungary / Commission)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
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Hogan Lovells (Brussels)
Belgium 37 contributions 6476 visits
On 4 June 2020, the Court of Justice of the European Union (the “Court of Justice”) delivered an important judgment clarifying the conditions under which the European Commission (the “Commission”) can issue an injunction on the basis of Article 11 of the former State aid procedural Regulation (...)

The EU General Court reaffirms the Commission’s decision declaring illegal the aid from Italy to several airlines serving Sardinia (Volotea / Germanwings / EasyJet)
General Court of the European Union (Luxembourg)
Luxembourg 64 contributions 32579 visits
The General Court dismisses the actions against the Commission decision declaring illegal the aid from Italy to several airlines serving Sardinia* The operators of the Sardinian airports were not the beneficiaries of the aid but merely intermediaries between the Autonomous Region and the (...)

The EU General Court provides guidance on the notion of State aid under EU law following an action for annulment brought by airline companies against a decision of the Commission finding an Italian aid to be illegal and incompatible with the internal market (Volotea / Germanwings / EasyJet)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 13 May 2020, the General Court delivered three judgments in Cases T-607/17,T-716/17,T-8/18, concerning Volotea, Germanwings and easyJet, respectively (the “Applicants”). These judgments follow actions for annulment brought by the Applicants against a decision of the Commission finding that (...)

The EU Court of Justice further narrows the scope for exceptions to the recovery of interest on illegal State aid following a company receiving a credit line for the recovery of agricultural and breeding livestock activities from the Portuguese authorities (Nelson Antunes da Cunha)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 30 April 2020, the Court of Justice of the European Union (the “Court of Justice”) delivered another important judgment concerning the complex relationship between State aid and national procedural rules (Case C-627/18, Nelson Antunes da Cunha). The judgment was delivered in response to a (...)

The EU Court of Justice annuls the General Court’s decision which ruled that the Greek authorities should have known about the State aid public loan when there was no proof that they were aware of it (Larko)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Advantage Must be Proven, Not Assumed* Introduction When a company gets into financial trouble, public subsidies may provide a temporary respite but hardly ever a permanent solution if the company does not undertake painful restructuring. More than 10 years ago, Larko, a Greek mining (...)

The EU Court of Justice partially annuls a State aid granted by Greece in the context of the privatisation of a large nickel producer (Larko)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 26 March 2020, the Court of Justice partially annulled the judgment of the General Court concerning State aid granted by Greece in the context of the privatisation of Larko, a large nickel producer. The Court of Justice found that the ruling at first instance had wrongly applied the Private (...)

The EU Commission decides that Italy granted unlawful State aid in favour of the hotel industry that should be recovered (Italy / Commission)
Allen & Overy (Brussels)
Belgium 28 contributions 3369 visits
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Bird & Bird (Brussels)
Belgium 42 contributions 12494 visits
In 2008, the European Commission decided that Italy had granted unlawful State aid in favour of the hotel industry in Sardinia. Consequently, Italy was required to recover that unlawful aid, totalling at about EUR 13.7 million. On 29 March 2012, the Court of justice upheld the arguments of (...)

The EU General Court annuls the Commission’s decision that a football club received over €20 million in unlawful State aid (Valencia Club)
Oxera (Brussels)
Belgium 13 contributions 13629 visits
The General Court has annulled the European Commission’s decision that Valencia Club de Fútbol (Valencia CF) received over €20m in unlawful state aid. Oxera undertook the financial analysis that supported Valencia CF’s appeal to the General Court, and which underpinned the annulment of the (...)

The EU Court of Justice orders to pay a penalty of €80,000 per day for failing to fully recover incompatible State aid (Commission / Italy)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Non-recovery of Incompatible State aid Is Costly* Introduction The 2020 Temporary Framework for State aid to combat covid-19 has a much wider scope in comparison to other State aid regulations and guidelines. Normally, State aid regulations and guidelines exclude, for example, undertakings (...)

The EU General Court dismisses the appeal of financial services companies which wanted to annul a State aid (BPC Lux 2)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Bail-in Is the Responsibility of Member States* Introduction Investors in banks who lost their money have sought compensation both at EU and national level. So far, claims for damages at EU level have been unsuccessful. In some instances, the cases before EU and national courts have been (...)

The EU Court of Justice dismisses an appeal by the beneficiary of an aid, concluding that the preferential electricity tariff constituted incompatible State aid (Mytilinaios)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
A PREFERENTIAL ELECTRICITY TARIFF SELECTIVE, CONFERS AND ADVANTAGE AND DISTORTS COMPETITION* Introduction On 11 December 2019, in case C‑332/18 P, Mytilinaios Anonymos Etairia — Omilos Epicheiriseon v European Commission, the Court of Justice probably wrote the last chapter in a (...)

The EU Court of Justice upholds the Commission’s decision finding that e-procurement is a service of general interest which can be commercially exploited insofar as the State does not offer the service itself (TenderNed)
University of Bristol - Law School
United Kingdom 92 contributions 25672 visits
In its Judgment of 7 November 2019 in Aanbestedingskalender and Others v Commission, C-687/17 P, EU:C:2019:932 (the ‘TenderNed’ case), the Court of Justice of the European Union (CJEU) rejected the appeal against the earlier Judgment of the General Court (GC) of 28 September 2017 (T-138/15, (...)

The EU General Court confirms the Commission ruling on the calculation of the amount of compensation resulting from contractual obligations in the motorways sector (Autostrada Wielkopolska)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
COMPENSATION TO A TOLL ROAD OPERATOR* Introduction When is a company entitled to compensation by the state? The easy answer is “when the state is liable for damage”. However, it may be possible for a company to claim compensation from the state when the state has assumed contractual (...)

The EU General Court delivers two judgments clarifying how State aid rules apply to national tax rulings and determines whether a transfer pricing ruling in respect of intra-group transactions confers a selective advantage under the State aid rules (Fiat / Starbucks)
Baker Botts (Brussels)
Belgium 28 contributions 21504 visits
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Baker Botts (Brussels)
Belgium 7 contributions 9819 visits
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Baker Botts (Brussels)
Belgium 15 contributions 5344 visits
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On 24 September 2019, the General Court (the ‘Court’) upheld the European Commission’s (the ‘Commission’) ruling ordering Luxembourg to recover EUR 23.1 million from Fiat Chrysler Finance Europe (‘FFT’) and annulled the Commission’s ruling ordering the Netherlands to recover EUR 25.7 million (...)

The EU General Court rules on an appeal against the recovery of aid from the owner of an aid recipient in the chemical sector (Fortischem)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
ECONOMIC CONTINUITY IN RECOVERY OF INCOMPATIBLE STATE AID* Introduction Companies rarely escape from the obligation to repay incompatible State aid. Over the past decade or so, very few companies have successfully argued that they legitimately expected that the aid they received was (...)

The EU General Court delivers two judgments providing guidance on the application of the arm’s length principle in the context of State aid investigations (Fiat / Starbucks)
Beeton Consulting (London)
Luxembourg 3 contributions 1417 visits
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Arendt & Medernach (Luxembourg)
Luxembourg 57 contributions 110442 visits
THE GENERAL COURT’S JUDGEMENT IN FFT: A CRITIQUE* In its judgments on 24 September in the FFT and Starbucks cases, the EU General Court gave its first view on the European Commission’s tax ruling decisions. These decisions were novel and complex in that they sought to assess whether the tax (...)

The EU General Court upholds the Commission’s assessment that the Czech renewable energy support scheme involved State resources (FVE Holýšov I)
Baker Botts (Brussels)
Belgium 15 contributions 5344 visits
In a judgment of 20 September 2019, the EU General Court (the “General Court”) upheld a 2016 decision of the European Commission (the “Commission”) finding that a EUR 31 billion Czech support scheme in favour of renewable energy sources (“RES”) should be classified as State aid. The judgment (...)

The EU General Court rejects an action for annulment against a decision authorising State aid in favour of a competitor in the air transport sector (Air France / Marseille Airport)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 11 July 2019, the General Court (“GC”) rejected an action for annulment brought by Air France against the European Commission (“Commission”) decision concerning State aid in favour of Marseille Provence Airport as inadmissible (Case T-894/16, Société Air France v. Commission). The (...)

The EU General Court annuls a State aid decision from the Commission concerning the food production sector in Romania (Micula)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 18 June 2019, the General Court of the European Union (the “General Court”) handed down its long-awaited judgment in the Micula case (Cases T-624/15, T-694/15 and T-704/15, European Food and Others v Commission, EU:T:2019:423). The case finds its origins in the investment made by the (...)

The EU General Court annuls the Commission’s decision for lack of jurisdiction of the Commission on the State aid matter (Micula)
Sheppard Mullin (Brussels)
France 400 contributions 676945 visits
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Sheppard Mullin (Brussels)
Belgium 14 contributions 18545 visits
INTERNATIONAL ARBITRATION, INVESTMENT PROTECTION AND EU STATE AID RULES: THE GENERAL COURT OF THE EU ANNULS THE EUROPEAN COMMISSION’S STATE AID DECISION IN THE MICULA CASE In a long-awaited ruling of June 18, 2019, the General Court of the European Union (“GCEU”) annulled the European (...)

The EU General Court annuls the Commission’s State aid decision on the basis that it lacked jurisdiction to implement relevant law in a situation where all relevant facts have taken place before Romania’s accession to the EU (Micula)
European Commission - DG ENERGY (Luxembourg)
15 contributions 7367 visits
The Micula case has been used by the opponents of investment treaty arbitration to argue that such arbitration circumvents and breaches EU State aid law. The Micula case was initially about the judicial review of the withdrawal of individual incentives granted to the investor and withdrawn by (...)

The EU General Court annuls the Commission’s decision ordering Spain to recover €18 million of incompatible State aid (Real Madrid)
European Commission - DG COMP (Brussels)
Belgium 45 contributions 20854 visits
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Gómez-Acebo & Pombo (Brussels)
Belgium 51 contributions 29110 visits
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Basic-Fit (Hoofddorp)
Netherlands 45 contributions 20863 visits
On 22 May 2019, the General Court rendered its judgment on the action for annulment filed by Real Madrid against the Commission Decision of 4 July 2018 that (i) declared that the football club had been granted incompatible State aid worth EUR 18 million; and (ii) ordered Spain to recover this (...)

The EU General Court holds that the Commission was wrong to classify as State aid a progressive tax on the retail sector involving a high starting threshold (Commission / Poland)
Greenberg Traurig (Amsterdam)
Netherlands 9 contributions 6150 visits
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Simmons & Simmons (Brussels)
Belgium 21 contributions 16005 visits
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Simmons & Simmons (London)
United Kingdom 1 contribution 1624 visits
The EU’s General Court has rejected the EU Commission’s classification of a Polish tax on the retail sector as State aid: Poland v Commission (Joined Cases T-836/16 and T-624/17). The fact that the tax was progressive in nature with a high threshold was not sufficient to meet the requirement (...)

The French State Council concludes that three taxes assigned to an undertaking in the audiovisual and multimedia sector cannot be regarded as an integral part of an aid scheme on the basis that they represent a growing share of revenue which is not considered as having directly influenced the amount of aid granted (National Center for Cinema & Moving Image)
Conseil d’Etat (Paris)
France 16 contributions 5832 visits
The junction between the financing of cinema and audiovisual media and State aid law is at the origin of a case which, initially supposed to revolve around the notion of "alteration to existing aid", has come, after a contentious detour, to clarify what constitutes a tax measure hypothecated (...)

The EU Court of Justice holds that funds generated by the EEG surcharges do not constitute State resources (EEG surcharge)
Deloitte (Brussels)
Belgium 12 contributions 4495 visits
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CELIS Institute (Berlin)
Germany 7 contributions 2327 visits
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Hausfeld (London)
United Kingdom 8 contributions 3261 visits
On Thursday, 28 March, the European Court of Justice of the European Union (ECJ) annulled the General Court’s ruling and the European Commission’s decision on the EEG 2012 on the grounds that it was wrong to conclude that the funds generated by the EEG surcharge constituted State resources. (...)

The EU Court of Justice and the General Court rule in two separate judgments on State aid showing their approach to complex economic assessments when the burden of proof is on the Commission (Frucona Kosice) (Fútbol Club Barcelona)
Garrigues (Brussels)
Belgium 19 contributions 11550 visits
EU Judicial Review: Major Antitrust Implications of Recent State Aid Cases* We competition lawyers often wrongly approach our discipline in isolation from the wider context in which it is applied. This is also true when it comes to judicial review. We tend to forget that antitrust is only a (...)

The EU General Court annuls the Commission’s State aid decision concerning a Spanish tax regime (Athletic Club)
European Commission - DG COMP (Brussels)
Belgium 45 contributions 20854 visits
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Gómez-Acebo & Pombo (Brussels)
Belgium 51 contributions 29110 visits
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Basic-Fit (Hoofddorp)
Netherlands 45 contributions 20863 visits
In 2016, the Commission adopted a decision declaring that four Spanish professional football clubs (i.e., Fútbol Club Barcelona, Club Atlético Osasuna, Athletic Club and Real Madrid Club de Fútbol) had received incompatible state aid in the form of corporate tax privileges. As a consequence, (...)

The EU General Court annuls the Commission’s State aid decision regarding the Belgian excess profits tax ruling system (Magnetrol International)
Simmons & Simmons (Brussels)
Belgium 5 contributions 1574 visits
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Simmons & Simmons (Brussels)
Belgium 21 contributions 16005 visits
In a Decision of 11 January 2016, the European Commission declared the Belgian excess profit scheme, pursuant to which Belgium granted advance tax rulings authorising Belgian entities which were part of multinational groups to exempt part of their profits from corporate income taxation, (...)

The EU General Court annuls the Commission’s decision which classified Belgium’s "excess profit" tax scheme as State aid (Magnetrol International)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 14 February 2019, the General Court (“GC”) issued a judgment annulling the decision of the European Commission (the “Commission”) concerning the Belgian “excess profit” tax rulings (Joined Cases T-131/16 and T-263/16, Belgium and Magnetrol International v. Commission). Under Belgian law, (...)

The EU General Court annuls a Commission decision that the Belgian excess profit tax exemption constitutes State aid (Magnetrol International)
National and Kapodistrian University of Athens
Greece 6 contributions 1556 visits
THE BELGIAN EXCESS PROFITS CASE – A STATE AID ANTICLIMAX* Lawyers across Europe holding their breath while awaiting the General Court’s ruling on the Belgian Excess Profits case were doubtlessly disappointed. On Valentine’s Day, the General Court reminded the European Commission that “tough (...)

The EU General Court overturns the Commission’s finding that Belgium granted unlawful State aid through advance tax rulings (Magnetrol International)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Many Tax Rulings Do Not Make a Single Aid Scheme* The autonomy that Member States enjoy in the field of direct taxation must be exercised in compliance with EU State aid law. A State aid measure is considered to be a “scheme” when (a) no further implementing acts are necessary, (b) the (...)

The EU General Court points out the methodological weakness of the Commission analysis in a State aid case (Magnetrol International)
Arendt & Medernach (Luxembourg)
Luxembourg 57 contributions 110442 visits
Apart from the first plea alleging infringement of the exclusive competence of Member States in the field of direct taxation, which would preclude the Commission’s control of State aid, and which was dismissed by the General Court (“GC”), the object of the judgment delivered was technical. It (...)

The EU General Court delivers its first judgment on State aid through tax rulings by annulling the Commission’s decision on the Belgian excess profit ruling system (Magnetrol International)
Clifford Chance (Brussels)
Belgium 6 contributions 6361 visits
This article has been nominated for the 2020 Antitrust Writing Awards. Click here to learn more about the Antitrust Writing Awards. On 14 February 2019, the EU General Court annulled the European Commission’s State aid decision relating to the Belgian excess profit ruling system. The (...)

The EU General Court annuls the Commission’s State aid decision on Belgian express profit rulings (Magnetrol International)
Bird & Bird (Brussels)
Belgium 42 contributions 12494 visits
On 14 February 2019, the EU General Court annulled the European Commission’s ("EC") State aid decision of 11 January 2016 on Belgian excess profit rulings ("EPR"). Unlike most State tax aid cases, the Belgian EPR case is not about individual aid but about an aid scheme as defined in Article (...)

The EU General Court annuls a Commission decision holding that public funding to an operator in a closed sector does not affect trade and therefore does not constitute State aid (Scandlines Danmark) (Stena Line)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Infrastructure Projects, State Guarantees and Distortion of Competition* State guarantees must be limited in duration and amount and the conditions for their mobilization must be defined in advance. Public funding to an operator in a closed sector does not affect trade and, therefore, does (...)

The EU General Court holds that public funds managed by private airports operators can be classified as state resources (Ryanair)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
The Private Investor Principle in Air Transport - Part I* The Private Investor Principle in Air Transport - Part II* Public funds managed by private airport operators can be classified as state resources. Prices charged by airport operators can be used as a benchmark for market prices only (...)

The EU General Court annuls a Commission decision which found that Slovakia did not grant incompatible state aid to a chemical company (AlzChem)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Pari Passu Is not Static* When comparing the behaviour of public and private creditors, it is necessary to ensure that their situations and interests do not diverge over time. Introduction When an undertaking owes money to a public authority the latter must use all available legal means (...)

The EU Court of Justice puts an end to proceedings concerning a measure of support for the development of digital television in a region of Spain (Cellnex)
Arendt & Medernach (Luxembourg)
Luxembourg 57 contributions 110442 visits
By judgment on April 26, 2018, the Court of Justice put an end to proceedings concerning a measure of support for the development of digital television in a region of Spain with a low level of urbanisation. As a result of this judgment, the development in question cannot be considered a SGEI (...)

The EU Court of Justice reminds that the Commission must establish the condition of selectivity of the advantage which is assessed legally and factually in State aid litigation (Comunidad Autónoma de Galicia / Retegal)
Callol, Coca & Asociados (Madrid)
Spain 170 contributions 47188 visits
The case concern a series of measures implemented by the Spanish authorities in relation to the switch-over from analogue broadcasting to digital broadcasting throughout Spain. The Spanish authorities divided the Spanish territory into three separate areas: “Area I”, “Area II” and “Area III”. (...)

The EU Court of Justice annuls a Commission decision due to the lack of motivation in the assessment of the selectivity criteria in the determination of the compatibility of an aid (Comunidad Autónoma de Galicia and Retagal)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
* Article published on StateAidHub.eu Blog (click here), republished in e-Competitions with the courtesy of the author(s). The original title of this article appears below the e-Competitions title. Authors are welcome to write an alternative article on this case/text, provided they have no (...)

The EU Court of Justice annuls three General Court Judgments regarding State aid for a television broadcaster (TV2 / Danmark)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 9 November 2017, the Court of Justice of the European Union (the “ECJ”) issued its judgments on appeal in three cases: Case C-656/15 P, European Commission v TV2/Danmark, Case C-657/15 P, Viasat Broadcasting UK v TV2/Danmark and Case 649/15 P, TV2/Danmark v European Commission. All three (...)

The EU General Court confirms that public funding of an e-platform for procurement purposes does not constitute State aid (Aanbestedingskalender)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Activities linked to State prerogatives Economic activities which cannot be separated from the exercise of public powers cease to be economic in nature. Introduction The dividing line between economic and non-economic activities is in a permanent state of flux. Although it is now clear (...)

The EU Court of Justice confirms the General Court judgment annulling the Commission’s decision considering that public support statements and credit line offer constituted incompatible State aids by applying the test of the prudent private investor (Orange)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 30 November 2016, the European Court of Justice (“ECJ”) issued its second judgment in the case concerning public statements made by the French authorities in support of France Télécom (“FT” – now Orange) and the offering of a shareholder loan to FT. In 2002, FT, a public limited company, (...)

The EU General Court upholds the Commission’s decision finding that aid measures targeting consumers with particular needs not adequately provided by the market do not unduly distort competition (Hamr / Sport)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Sport Facilities, the Balancing Test and Distortion of Competition* Aid measures that target persons with particular needs and who are not adequately provided by the market are not likely to be found to distort competition contrary to the common interest, even if there is some (...)

The EU General Court hands down a judgment in a case regarding a German law on renewable energy and clarifies the notion of State resources (Erneuerbare-Energien-Gesetz)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 10 May 2016, the General Court of the European Union (“Court”) handed down a judgment in a case concerning the German law on renewable energy of 2012 (the Erneuerbare-Energien-Gesetz 2012 - “EEG 2012”) (case T-47/15, Germany vs. Commission). The EEG 2012, which was replaced by a new law (...)

The EU General Court annuls the Commission’s decision declaring the Spanish tax lease system to constitute illegal State aid (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión)
ADIF (Madrid)
Spain 1 contribution 623 visits
1. Introduction On July 2011 the Commission launched an investigation into a Spanish scheme for the purchase of ships involving leasing and financing through tax relief. The complex scheme granted company income tax discounts to investors that invested in an Economic Interest Grouping (...)

The EU General Court annuls a Commission’s decision finding a Spanish tax illegal (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
On 17 December 2015, the General Court (“GC”) handed down its judgment in joined cases T-515/13, Spain v Commission and T-719/13, Lico Leasing SA and Pequeños y Medianos Astilleros Sociedad de Reconversión SA v Commission annulling a 2013 European Commission decision which had found that the (...)

The EU General Court annuls the Commission’s decision finding Spain’s tax lease system constitutes illegal State aid (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión)
European Court of Justice (Luxembourg)
Luxembourg 4 contributions 1687 visits
The Spanish tax lease case: Identifying the beneficiary under the selectivity test in Fiscal aid schemes*In its judgment of 17 December 2015, Spain a.o./Commission the General Court once again annulled a Commission decision dealing with a fiscal State aid scheme on the grounds that the (...)

The EU General Court overturns a Commission finding that a Spanish tax lease system is illegal State aid (Spain / Lico Leasing / Pequeños y Medianos Astilleros Sociedad de Reconversión)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
An Exception Is Not Necessarily Selective: The Case of the Spanish Tax Lease* An exception from a tax system is not selective if it is a priori open to any tax payer. Checks by tax authorities to ensure that a measure is applied correctly do not constitute exercise of administrative (...)

The EU Court of Justice rules on the temporal scope of secondary instruments applied to assess the compatibility of a State aid (Jørgen Andersen)
Maastricht University (Maastricht)
Netherlands 1 contribution 853 visits
Case C-303/13 P European Commission v Jørgen Andersen* In this post I will analyse a particular aspect of State aid law: the temporal scope of secondary instruments applied to assess the aid’s compatibility. The case at hand deals in particular with Regulation (EEC) 1191/69, which originally (...)

The EU General Court rules again on whether public pronouncements confer an advantage to undertakings (France Télécom)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
When Do Public Pronouncements Confer an Advantage to Undertakings?* Public pronouncements can confer an advantage if they are sufficiently precise and clearly commit a public authority to support an undertaking. Introduction Politicians often claim that they would never allow important (...)

The EU General Court annuls the Commission State aid decision relating to public statements and shareholder loan to a telecommunications company (France Télécom)
Van Bael & Bellis (Brussels)
Belgium 155 contributions 34997 visits
In its judgement handed down on 2 July 2015, the General Court (“GC”) annulled for the second time the EU Commission’s state aid decision relating to public statements made by the French authorities in support of France Télécom (“FT”) and to the offering of a shareholder loan to FT. The (...)

The EU General Court reminds Member States that individual awards of de minimis aid must remain below the relevant threshold as well as the sum of all individual awards in any three-year period (Italy)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
The Use and Abuse of De Minimis Aid & State Resources* Individual awards of de minimis aid must remain below the relevant threshold as well as the sum of all individual awards in any three-year period. Introduction This article reviews a case that, among other things, deal with the (...)

The England & Wales High Court rules whether statutory licence granted to the tech industry could be aid through state resources (British Academy of songwriters, composers and authors)
Blackstone Chambers (London)
United Kingdom 8 contributions 1907 visits
Of Megabytes and Men: the private use exception under the judicial lens and lessons for state aid claims* On 19 June 2015, the High Court allowed a claim for judicial review against the decision to introduce a narrow ‘private copying’ exception to the Copyright, Designs and Patents Act 1988 (...)

The EU Court of Justice holds that levying charges to maintain equal treatment is not necessarily selective (MOL Magyar Olaj)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Levying of Charges to Maintain Equal Treatment Is Not Necessarily Selective* The standard of proof of whether a measure is selective depends on whether that measure is a scheme or a grant of individual aid. Measures providing for exemption are by definition selective. Measures that impose (...)

The EU Court of Justice implicitly rejects the General Court’s views on subjective assessment of two-part State aid measures under Art 107(1) TFEU (MOL Magyar Olaj)
University of Bristol - Law School
United Kingdom 92 contributions 25672 visits
CJEU implicitly rejects GC’s views on subjective assessment of two-part State aid measures under Art 107(1) TFEU (C-15/14)* In its Judgment in Commission v MOL, C-15/14, EU:C:2015:362, the CJEU upheld the previous Judgment of the GC where the selectivity of two-part State aid measures was (...)

The EU Court of Justice and General Court explain how to determine whether state guarantees constitute State aid and how much aid is involved (Banco Privado Português)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
State Guarantees* The amount of State aid in a guarantee that makes possible the granting of a loan to a well-collateralised firm in difficulty is not the difference in premium but the difference in interest rates. Beneficiaries of guarantees not notified to the Commission do not have any (...)

The Finnish Supreme Administrative Court rules that the obligation of the Finnish authorities to order recovery of unlawful aid was not affected by the court-confirmed restructuring programme (Osuuskunta Karjaportti)
University of Helsinki
Finland 12 contributions 3336 visits
The Finnish Supreme Administrative Court has decided on a complaint concerning the legality of decisions by a Finnish city (the city of Mikkeli) and, later, the Administrative Court of Kuopio . The decisions related to recovery of state aid which had been declared unlawful by the European (...)

The EU General Court confirms the Commission decision holding that the Greek scheme of exclusive rights for lottery did not contain State Aid (Club Hotel Loutraki)
European University Institute (Florence)
Italy 4 contributions 791 visits
In Brief: Case T-58/13, Club Hotel Loutraki AE and Others v Commission (judgment of 08.01.2015)* On Thursday the 8th January the GC dismissed all four pleas in the action for annulment of the Commission Decision finding that the exclusive rights granted to operate 35 000 Video Lottery (...)

The Czech Supreme Court confirms the duty of national courts to enforce EU State aid rules (NH Hospital / Central Bohemian Region)
Skils (Prague)
Czech Republic 35 contributions 26217 visits
On 25 June 2014, the Supreme Court cancelled preceding decisions by the High Court in Prague (Ref. No. 3 Cmo 289/2011-142 of 29 December 2011) and by the Municipal Court in Prague (Ref. No. 32 Cm 128/2010-131 of 13 June 2011) and remanded the case back for further proceedings before the (...)

The EU General Court dismisses an action for annulment brought by a competitor against a Commission decision finding no state aid in relation to licensing of software terms offered by a university (Scheepsbouwkundig Advies / en Rekencentrum)
University of Bristol - Law School
United Kingdom 92 contributions 25672 visits
State aid and (university) software licensing: who’s interested? (T-488/11)* In its Judgment of 12 June 2014 in case Sarc v Commission, T-488/11, EU:T:2014:441, the General Court of the EU (GC) has assessed an interesting case concerned with the licensing of software developed at a Dutch (...)

The EU General Court rules that the context in which an administrative decision is adopted may reduce the burden of motivation imposed on an institution (ABN Amro)
University of Bristol - Law School
United Kingdom 92 contributions 25672 visits
GC hints at a reduction of the burden of motivation of administrative decisions under EU law (T-319/11)* In its Judgment of 8 April 2014 in case T-319/11 ABN Amro Group v Commission, the General Court has indicated that the context in which an administrative decision is adopted may reduce (...)

The EU General Court confirms that the Commission has a large margin of discretion in determining the compatibility of restructuring aid (ABN Amro)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
* Article published on Lexxion State Aid Blog (click here), republished in e-Competitions with the courtesy of the author. The original title of this article appears below the e-Competitions title. Authors are welcome to write an alternative article on this case/text, provided they have no (...)

The EU Court of Justice AG Wathelet finds that the effectiveness of State aid rules would be significantly impaired if Member States could use the protection of brand image as an economic rationality argument (SNCM)
University of Bristol - Law School
United Kingdom 92 contributions 25672 visits
"National brands" and State aid: AG Wathelet on investing in "State branding" (C-533 & 536/12)* In his Opinion of 15 January 2014 in joined cases C-533/12 P and C-536/12 P SNCM v Corsica Ferries France, Advocate General Wathelet has addressed an interesting (and creative) argument (...)

The EU Court of Justice reinforces the Plaumann test and re-emphasizes the role attributed to the national courts within the framework of the preliminary ruling procedure to ensure judicial review of the legality of EU acts (Telefónica)
University of Bristol - Law School
United Kingdom 92 contributions 25672 visits
What’s left of the ’new limb’ of Art 263(4) TFEU after Inuit and Telefonica? (C-274/12 P)* In its Judgment of 19 December in case C-274/12 P Telefonica v Commission, the CJEU has continued to define (and minimise) the scope of Article 263(4) TFEU and, particularly, the ’new’ third limb (...)

The EU Court of Justice examines the concept of state attributability in relation to a fiscal exemption previously approved by the Council (Eurallumina)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
The Possibly Conflicting Roles of EU Institutions on State Aid* Introduction On 10 December 2013, the Court of Justice, in C‑272/12 P, wrote another chapter in the long-running case of the exemption from excise taxes for alumina producers in France, Ireland and Italy. This is not the last (...)

The EU Court of Justice rules on the matter of non-notified State aid subject to a formal examination procedure initiated by the Commission and the measures to be adopted by the national courts hearing an application for cessation or recovery (Lufthansa / Flughafen Frankfurt)
Maastricht University (Maastricht)
Belgium 357 contributions 66840 visits
Non-notified State Aid and the Role of National Courts [C 284/12, Deutsche Lufthansa v Flughafen Frankfurt-Hahn]* Introduction What prevents a Member State from granting State aid without first notifying it to the European Commission? Cynics would answer “nothing, in fact”. Indeed, nothing (...)

The EU Court of Justice holds that national courts must assume that a measure qualifies as State aid if the Commission has opened an in-depth investigation into that measure (Lufthansa / Flughafen Frankfurt)
McDermott Will & Emery (Paris)
France 136 contributions 68543 visits
EU NATIONAL COURTS MAY HAVE TO ORDER RECOVERY OF STATE AID BEFORE EUROPEAN COMMISSION MAKES FINALE DECISION* The European Court of Justice decided on 21 November 2013 that EU national courts must assume that a measure qualifies as State aid, if the European Commission has opened an in-depth (...)