Interactive glossary

An abbreviation of ‘Britain’ and ‘exit’. The term lacks clear definition but is used to refer to the departure of the UK from the EU following the outcome of the referendum of UK EU membership held on 23 June 2016.
A legislative procedure involving the participation of the European Commission, the Council, and the European Parliament.
A common level of duty charged by all Member States on goods imported from third countries.
An area within which goods, persons, services, and capital move freely without restriction.
The power granted by the Treaties to the EU and the Member States, either respectively or jointly (‘joint competence’), to enact legislation in a particular area.
A free trade area, together with a system whereby a common level of duty is charged on goods entering the free trade area from non-member countries.
A form of EU secondary legislation which is addressed to one or a number of Member States or individuals and is directly ­applicable.
Proceedings brought directly before the Court of Justice or General Court. Distinguish from proceedings brought indirectly through preliminary references from national courts.
Comprises of Treaty provisions, secondary legislation (regulations, directives, decisions), international agreements made by the EU and the case law of the Court of Justice.
Describes decision-making entailing agreement between the Member States acting as independent sovereign states.
An area in which goods, persons, services and capital move freely without ­restriction.
The legal base of a particular legislative measure is the Treaty article setting out the EU’s power to legislate in the relevant policy area.
This principle incorporates the requirement that the distinction between what is lawful and unlawful should be reasonably clear.
This principle requires that law or action must not breach the legitimate expectations of those who are affected by it.
This principle dictates that the law should not impose penalties with effect from a date in the past.
A legislative procedure involving the participation of the European Commission, the Council, and the European Parliament.
This principle requires that action or measures go no further than is necessary to achieve their objective or than is justified in the circumstances.
A majority voting system that is not based on a simple majority.
This principle requires that decisions be taken as closely as possible to the citizen and that action at EU level, rather than at national, regional, or local level, is justified.
Describes a level of government that operates above and independently of national governments.
Persons who are not citizens of the EU.
The interpretation of legislation against its clear meaning.
If a provision of EU law has direct effect, it can be enforced by individuals and businesses in the national court.
A form of EU secondary legislation which is not directly applicable but must be implemented by Member States.
provisions of EU law are part of national law and automatically binding, without further enactment.
A national legal system in which international law is not binding internally until it is incorporated by domestic statute.
If a provision of EU law has horizontal direct effect it can be enforced by an individual (a person or a company) in a national court against another individual.
The incorporation of EU law into national law by Member States, relating in particular to directives.
This principle requires that national law be interpreted, by national courts. in accordance with relevant EU law.
A national legal system in which EU law becomes binding from ratification, with no need for incorporating measures.
The power of a state to regulate its own affairs, in particular through the enactment of legislation.
A UK constitutional convention under which Parliament has the exclusive right to adopt and repeal national legislation and cannot bind its successors, so that subsequent Acts can either expressly or impliedly repeal a prior Act.
A form of EU secondary legislation which is directly applicable in all the Member States.
This principle gives rise to a right to damages against a Member State which has breached EU law, causing loss to the applicant.
The doctrine of supremacy dictates that EU law takes precedence over conflicting provisions of national law.
If a provision of EU law has vertical direct effect it can be enforced by an individual (a person or a company) in a ­national court against the state or a public body.
Translated literally means ‘clear act’. The term is applied to provisions of EU law whose interpretation is clear.
A request from a national court or tribunal to the Court of Justice for a ruling on the interpretation or validity of EU law.
Ruling on the interpretation or validity of EU law by the Court of Justice in response to a preliminary reference.
Abnormal and unforeseeable circumstances, beyond the control of the person committing a breach, the consequences of which could not have been avoided through the exercise of all due care.
The right to bring proceedings before the relevant court.
Issued to a Member State by the Commission under Article 258 TFEU setting out precisely the grounds of complaint and specifying a time limit for ending an infringement.
Non-compliance is justified because other Member States have not complied or an EU institution has failed to act. This defence has been rejected by the Court of Justice in Article 258 proceedings.
A ‘total restraint’, blocking the import or ­export of particular goods altogether.
A levy charged on goods by virtue of the fact that they cross a frontier, which is not a customs duty in the strict sense.
A levy charged on goods by virtue of the fact that they cross a frontier.
A permissible exception to a legal rule or principle.
A directly discriminatory measure openly discriminates on the basis, for instance, of nationality or product origin.
Measures that do not apply equally to domestic and imported products.
Rules impose requirements on goods that are additional to requirements that may be applied in the state of origin, creating an extra burden for producers.
Rules concern the marketing of goods. They impose an equal burden on domestic and imported products.
Free movement of goods, persons, services, and capital within the internal market.
An area within which customs duties and other trade restrictions between the member countries are prohibited.
EU legislation adopted under the process of harmonisation.
An indirectly discriminatory measure appears not to discriminate but its effect is to discriminate.
Measures that apply equally to domestic and imported products (i.e. make no distinction between domestic and imported products).
Justifications that allow restrictions on the free movement of goods to escape the scope of Article 34 TFEU.
Non-tariff barriers to trade which are not an outright ban or quota but have a similar effect to such quantitative restrictions.
Provided goods have been lawfully produced and marketed in one Member State, there is no reason why they should not be introduced into another without restriction. This is a rebuttable presumption.
Import, export, or other restrictions on the free movement of goods not involving direct payments of money, comprising quantitative restrictions and MEQRs.
A measure or action is objectively justified if it is based on a legitimate rationale.
An action or measure is proportionate if it goes no further than is necessary to achieve its objective or than is justified in the circumstances.
A measure adopted with protectionist motives is intended to protect domestic products from competition from ­imports.
Non-tariff barriers to trade that impose a limit on the quantity of goods that may be imported or exported, comprising quotas or bans.
A ‘partial restraint’ placing a limit on the quantity of particular goods that can be imported or exported.
Restrictions on trade resulting from national provisions on product marketing, which differ from those applying in other Member States, are permissible if they are necessary to satisfy one of the mandatory requirements.
Import or export restrictions involving direct payments of money, comprising customs duties and charges having equivalent effect to customs duties (CEEs).
Persons such as workers, the self-employed and providers of services.
Persons such as persons other than workers, the self-employed and providers of services.
For individuals, this comprises the right to pursue activities as a self-employed person in another Member State, for instance conducting a business or practising a profession, on a permanent basis.
The adoption of EU legislation with a view to eliminating any existing disparities arising from Member States’ respective national provisions in the relevant areas.
This describes the situation in which an individual or company is established in one Member State and provides services into another.
Complete protection from competition in a particular geographical area (‘territory’), typically afforded to an undertaking through an exclusive distribution agreement which prevents parallel imports.
Abuse by an undertaking that prevents or weakens competition or potential competition from other undertakings.
Factors that prevent or hinder entry to a market by an undertaking or undertakings.
Exemption under Article 101(3) TFEU applied to categories of agreement.
A group of independent companies or businesses, operating in the same market, that collude to fix prices, share markets, or engage in other forms of anti-competitive behaviour.
Coordination or communication between undertakings on the adoption of a common market strategy, for instance to fix prices.
A form of coordination between undertakings falling short of an agreement by which, through their cooperation, the parties eliminate or reduce competition between them.
There is demand substitutability if the consumer would be willing and able to substitute one product for another.
An agreement of ‘minor importance’, with no ‘appreciable’ effect on competition (or trade).
An agreement for the supply of products for resale.
An agreement under which a supplier appoints one distributor for a particular area.
Abuse by an undertaking that exploits consumers.
The most serious restrictions on competition, notably price-fixing and market-sharing.
An agreement between parties operating at the same level of the production/distribution chain, for instance between manufacturers.
Exemption under Article 101(3) applied on a case-by-case basis to individual agreements.
A market dominated by relatively few sellers in which the parties align their behaviour as a structural response to the market.
Behaviour of undertakings consisting in responding to each other’s market strategy by adopting similar strategies, for instance on pricing.
Comprises demand substitutability (or cross-elasticity of demand) and supply substitutability (or cross-elasticity of supply).
An agreement under which goods or services are sold only through outlets chosen by the supplier according to its own criteria, such as the suitability of the premises.
There is supply substitutability if producers of similar products could easily and cheaply enter the product market in question by simply adapting their production.
A natural or legal person (individual or company) engaged in commercial activity for the provision of goods or services.
An agreement between parties operating at different levels of the production/distribution chain, for instance between a manufacturer and a distributor.
An agreement between an established distributor of a product (the franchisor) and other independent traders (the franchisees). The franchisor grants the franchisees, for a fee, the right to establish themselves using its business name and methods.
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