Free Movement of Goods I Art 28–30, 110 TFEU Q&A

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The Free Movement of Goods I Questions and Answers series offer the best preparation for tackling exam questions. This set of EU law notes looks at Free Movement of Goods I and the procedure to challenge internal discriminatory taxation.

Problem Question One

Telefonic is a Danish company that makes mobile phones. It has developed a mobile telephone, ‘T360’, using a new technology that gives exceptionally good reception. Though there is some scientific debate about the safety of the phone it does conform to Danish consumer protection legislation and has been given a license by the Danish authorities certifying it safe to use. Telefonic wishes to sell the T360 in the UK. The UK authorities have advised that as there is no EU regulation or directive determining EU standards for the innovative technology used in the T360, it must therefore conform to UK law. There are three requirements. Firstly, as the T360 is an electronic product manufactured outside the UK, it will have to undergo a series of scientific and technical tests to certify it as safe before going on sale. Further if the telephone is made available for sale in the UK, then in accordance with UK law that applies to all electrical goods for retail sale, it must be made from recyclable materials. This will significantly increase the manufacturing costs of the phone. Finally, because of the materials used to make the phone, UK law requires that it, like any other phone made with the same technology, be sold only through registered retailers where specialist sales staff can ensure that customers are properly advised on the use of the phone and health and safety matters.

Advise Telefonic of its rights under EU law relating to movement of goods. In giving your advice make sure that you apply the law and provide conclusions as appropriate.

You are to assume the UK laws referred to in this scenario are real.

Problem Question Two

Cod Ltd is a Swedish company that farms seafood which it sells to the public. It has been established in Sweden for many years and has a very good reputation for quality and safety. It has always passed inspections and quality control tests by the Swedish authorities. When a consignment of its seafood, which is packed in opaque polystyrene containers, arrives at a UK port, it is told by the customs authorities that all consignments of fresh seafood must be inspected to ensure that they are safe to eat. As the inspectors indicate that the inspection may take some time, suitable refrigerated storage space is made available by the authorities to Cod Ltd. It is informed that there is a small and proportionate charge to cover the storage costs. After 20 days the inspection is completed but the consignment is not allowed to be moved on for distribution as (i) the packaging is not in conformity with UK law which requires all seafood to be packed in transparent see-through recyclable packaging and (ii) it appears that the seafood is going to be made available for sale outside the permitted registered distributors and shops. UK law permits seafood to be sold only through regulated shops for health and safety reasons.

Advise Cod Ltd of its rights, if any, under EU law relating to free movement of goods.

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