JUDGMENT OF THE COURT (Sixth Chamber)
8 July 1999 (1)
(Appeal - Rules of Procedure of the Court of First Instance - Reopening of the oral procedure - Commission's Rules of Procedure - Procedure for the adoption of a decision by the College of Members of the Commission)
In Case C-245/92 P,
Chemie Linz GmbH, whose registered office is in Linz, Austria, represented by O. Lieberknecht, Rechtsanwalt, Düsseldorf, with an address for service in Luxembourg at the Chambers of A. Bonn, 22 Côte d'Eich,
appellant,
supported by
DSM NV, whose registered office is in Heerlen, Netherlands, represented by I.G.F. Cath, of The Hague Bar, with an address for service in Luxembourg at the Chambers of L. Dupong, 14a Rue des Bains,
intervener in the appeal,
APPEAL against the judgment of the Court of First Instance of the European Communities (First Chamber) of 10 March 1992 in Case T-15/89 Chemie Linz v Commission [1992] ECR II-1275, seeking to have that judgment set aside,
the other party to the proceedings being:
Commission of the European Communities, represented by G. zur Hausen, Legal Adviser, acting as Agent, with an address for service in Luxembourg at the office of C. Gómez de la Cruz, of its Legal Service, Wagner Centre, Kirchberg,
defendant at first instance,
THE COURT (Sixth Chamber),
composed of: P.J.G. Kapteyn, President of the Chamber, G. Hirsch, G.F. Mancini (Rapporteur), J.L. Murray and H. Ragnemalm, Judges,
Advocate General: G. Cosmas,
Registrars: H. von Holstein, Deputy Registrar, and D. Louterman-Hubeau,
Principal Administrator,
having regard to the Report for the Hearing,
after hearing oral argument from the parties at the hearing on 12 March 1997, at which Chemie Linz GmbH was represented by O. Lieberknecht and M. Klusmann, Rechtsanwalt, Düsseldorf, DSM NV by I.G.F. Cath and the Commission by G. zur Hausen,
after hearing the Opinion of the Advocate General at the sitting on 15 July 1997,
gives the following
Facts and procedure before the Court of First Instance
in mid-1977 by which the producers supplying polypropylene in the territory of the EEC:
- contacted each other and met regularly (from the beginning of 1981, twice each month) in a series of secret meetings so as to discuss and determine their commercial policies;
- set 'target' (or minimum) prices from time to time for the sale of the product in each Member State of the EEC;
- agreed various measures designed to facilitate the implementation of such target prices, including (principally) temporary restrictions on output, the exchange of detailed information on their deliveries, the holding of local meetings and from late 1982 a system of 'account management' designed to implement price rises to individual customers;
- introduced simultaneous price increases implementing the said targets;
- shared the market by allocating to each producer an annual sales target or 'quota' (1979, 1980 and for at least part of 1983) or in default of a definitive agreement covering the whole year by requiring producers to limit their sales in each month by reference to some previous period (1981, 1982) (Article 1 of the Polypropylene Decision).
it exceeded the amount of a reasonable fine, to be fixed by the Court of First Instance, and an order that the Commission be ordered to pay the costs.
The contested judgment
'It must be stated first of all that the judgment in the PVC cases does not in itself justify the reopening of the oral procedure in this case. Furthermore, in the present case the applicant did not once argue, even by allusion, in the oral procedure that the Decision was non-existent because of the defects held in that judgment to have existed. The question to be examined, therefore, is whether the applicant has adequately explained why it did not plead the existence of those alleged defects earlier, since they must in any event have existed before the action was brought. Even though the Community court, in an action for annulment under the second paragraph of Article 173 of the EEC Treaty [now, after amendment, the second paragraph of Article 230 EC], must of its own motion consider the issue of the existence of the contested measure, that does not mean that in every action brought under the second paragraph of Article 173 of the Treaty the possibility that the contested measure is non-existent must automatically be investigated. It is only in so far as the parties put forward sufficient evidence to suggest that the contested measure is non-existent that the Community court must review that issue of its own motion. In the present case, the arguments put forward by the applicant do not provide a sufficient basis to suggest that the Decision is non-existent. The applicant argues that it follows from the statements made by the Commission's agents at the hearing in Joined Cases T-79/89, T-84/89 to T-86/89, T-89/89, T-91/89, T-92/89,
T-94/89, T-96/89, T-98/89, T-102/89 and T-104/89 that an original duly signed by the Commission is also lacking in this case. That allegation, if true, would not in itself entail the non-existence of the Decision. The applicant has not put forward anything to explain why the Commission would have made subsequent alterations to the Decision in 1986, that is to say in a normal situation entirely unlike the special circumstances of the PVC cases, where the Commission's term of office was about to run out in January 1989. It is not sufficient in that regard simply to reserve the right to make further pleas. In those circumstances there is nothing to suggest that the principle of the inalterability of the adopted measure was infringed after the adoption of the contested Decision and that the decision has therefore lost, to the applicant's benefit, the presumption of legality arising from its appearance. The mere fact that there is no duly certified original does not in itself entail the non-existence of the contested measure. There is therefore no reason to reopen the oral procedure in order to carry out further measures of inquiry. Since the applicant's arguments could not justify an application for revision, its suggestion that the oral procedure be reopened should not be upheld.'
The appeal
- principally:
- to annul the contested judgment with regard to Chemie Linz, as well as the Polypropylene Decision in so far as it concerns Chemie Linz;
- to order the Commission to pay the costs.
- in the alternative:
- annul the contested judgment and refer the case back to the Court of First Instance for a fresh decision.
- annul the contested judgment;
- declare the Polypropylene Decision non-existent or annul it;
- declare the Polypropylene Decision non-existent or annul it as regards all addressees of that decision, or at least as regards DSM, irrespective of whether or not those addressees appealed against the judgment concerning them, or whether or not their appeals were rejected;
- in the alternative, refer the case back to the Court of First Instance on the issue whether the Polypropylene Decision is non-existent or should be annulled;
- in any event order the Commission to pay the costs of the proceedings, both in relation to the proceedings before the Court of Justice and to those before the Court of First Instance, including the costs incurred by DSM in its intervention.
- dismiss the appeal as inadmissible or, in the alternative, as unfounded;
- order Chemie Linz to pay the costs;
- reject the intervention as a whole as inadmissible;
- alternatively, reject as inadmissible the forms of order sought in the intervention to the effect that the Court should declare the Polypropylene Decision non-existent or annul it as regards all its addressees, or at least as regards DSM, irrespective of whether those addressees appealed against the judgment of the Court of First Instance concerning them, or whether their appeals were rejected, and reject the remainder of the intervention as unfounded;
- in the further alternative, reject the intervention as unfounded;
- in any event order DSM to pay the costs arising out of the intervention.
Admissibility of the intervention
it gave DSM leave to intervene in support of the form of order sought by Chemie Linz does not preclude a fresh examination of the admissibility of its intervention (see, to that effect, Case 138/79 Roquette Frères v Council [1980] ECR 3333).
Admissibility of the appeal
subject, as such, to review by the Court of Justice (see, inter alia, Case C-53/92 P Hilti v Commission [1994] ECR I-667, paragraphs 10 and 42).
Pleas in law relied upon in support of the appeal: breach of procedure and infringement of Community law
where there are specific indications of the existence of circumstances of decisive importance which cannot be proved by the party pleading them.
Court of First Instance in this connection should be followed by the Court, subject to the latter's ascertaining whether the Court of First Instance misused its discretion.
revision should always be a reason for reopening the oral procedure. The discovery of the breach of Article 12 of the Commission's Rules of Procedure constitutes a basis for revision and consequently, a fortiori, should constitute a basis for reopening the oral procedure.
authenticated original of its decision. The Court of First Instance thus performed its obligation to clarify the facts in two different and contradictory ways.
decision. The Commission admitted that authentication had not taken place at the meeting at which the Members of the College of Commissioners adopted that decision. DSM observes that the procedure for authenticating acts of the Commission must therefore have been introduced after March 1992. It follows that the same defect of lack of authentication must affect the Polypropylene Decision.
Polypropylene Decision was non-existent. In that connection Chemie Linz is mistaken in maintaining that the Court of First Instance presumed that there was no original, whereas in reality all it did was to quote Chemie Linz's allegation, without assessing the point. The Commission adds that the Court of First Instance, whose task it is in principle to assess the need for measures of inquiry, could, even in the context of an investigation of its own motion, leave in abeyance the question of the existence of a duly-signed original, because such a defect would not in any event have been relevant. Since the PVC judgment of the Court of Justice, it is established that failure to authenticate a decision, in accordance with Article 12 of the Commission's Rules of Procedure, may lead to annulment of the contested decision but not to its being non-existent. However, Chemie Linz did not raise in a sufficiently precise manner and within the appropriate time-limit any plea founded on breach of that provision and the Court of First Instance did not therefore have to examine, even from the point of view of annulment of the Polypropylene Decision, the question of the existence of a duly-signed original.
written procedure has been completed unless it is based on matters of law or of fact which come to light in the course of the procedure.
a decisive influence and which it could not put forward before the close of the oral procedure.
policy could exist only on the basis of the factual evidence adduced before the Court.
the conditions capable of rendering an act non-existent.
commenced before the Court of First Instance, in breach of Article 113(2) of the Rules of Procedure of the Court of Justice.
Costs
102. According to Article 69(2) of the Rules of Procedure, applicable to the appeal procedure by virtue of Article 118 thereof, the unsuccessful party is to be ordered to pay the costs if they have been applied for. Since Chemie Linz pleas have failed, it must be ordered to pay the costs. DSM must bear its own costs.
On those grounds,
THE COURT (Sixth Chamber)
hereby:
1. Dismisses the appeal;
2. Orders Chemie Linz GmbH to pay the costs;
3. Orders DSM NV to bear its own costs.
Kapteyn
MurrayRagnemalm
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Delivered in open court in Luxembourg on 8 July 1999.
R. Grass P.J.G. Kapteyn
Registrar President of the Sixth Chamber
1: Language of the case: German.