TOBACCO CONTROL LAWS

European Commission v. Republic of France

The European Commission brought action against France, claiming that its legislation setting a minimum retail selling price for tobacco products violated a European directive regulating excise duties on tobacco products. The Court ruled in the Commission's favor, holding that the minimum price undermined fair competition in the tobacco market and thus violated the EU directive. The Court also noted that public health goals furthering the legislation could be achieved by increasing excise duty on tobacco.

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European Commission v. French Republic, C-197/08, European Court of Justice (2010).

  • France
  • Apr 4, 2010
  • European Court of Justice

Parties

Plaintiff European Commission

Defendant French Republic

Legislation Cited

Code général des impôts (General Tax Code), Article 572, as amended by Article 38, paragraph II, of Law No 2004-806 of 9 August 2004

Decree No. 2004-975 of 13 September 2004, Article 1

International/Regional Instruments Cited

Council Directive 2003/117/EC
Council Directive 92/79/EEC
Council Directive 92/80/EEC
Council Directive 95/59/EC
WHO Framework Convention on Tobacco Control (WHO FCTC)

Related Documents

None

Type of Litigation

Challenge to Government Policies Relating to Tobacco Control/Public Health
Tobacco companies or front groups may challenge any legislative or regulatory measure that affects their business interests. Unlike public interest litigation, these cases seek to weaken health measures. These cases frequently involve the industry proceeding against the government. For example, a group of restaurant owners challenging a smoke free law as unconstitutional.
Trade Panel/Investment Tribunal/Arbitration
Governments may bring complaints before intergovernmental bodies on tobacco-related issues. For example, one country may complain that another country’s tax regime discriminates against its exported tobacco products. In some cases, a treaty may allow a private party to file a complaint against a government before an intergovernmental body.

Tobacco Control Topics

Price and Tax Measures
Tax or price measures, including tax- and duty-free regulation. (See FCTC Art. 6)

Substantive Issues

Right to Commerce
A violation of the right to carry on trade, business, or profession of a person’s choice. This right may also be called the right to free enterprise or economic freedom. The industry may argue that a business should be able to conduct its business without government regulation, including whether or not to be smoke free.
Trade Violation
A claim of an infringement of any international trade agreement, including General Agreement on Tariffs and Trade (GATT), Technical Barriers to Trade (TBT), Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS), or bilateral treaties.

Type of Tobacco Product

None

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