Law of the European Union
European Union law is a system of supranational laws operating within the 27 member states of the European Union. Originally referred to as Community law, it has grown over time since the 1952 founding of the European Coal and Steel Community, to promote peace, social justice, a social market economy with full employment, and environmental protection. The Treaties of the European Union agreed to by member states form its constitutional structure. EU law is interpreted by, and EU case law is created by, the judicial branch, known collectively as the Court of Justice of the European Union.
Legal Acts of the EU are created by a variety of EU legislative procedures involving the popularly elected European Parliament, the Council of the European Union, the European Commission and sometimes the European Council. Only the Commission has the right to propose legislation.
Legal acts include regulations, which are automatically enforceable in all member states; directives, which typically become effective by transposition into national law; decisions on specific economic matters such as mergers or prices which are binding on the parties concerned, and non-binding recommendations and opinions. Treaties, regulations, and decisions have direct effect – they become binding without further action, and can be relied upon in lawsuits. EU laws, especially Directives, also have an indirect effect, constraining judicial interpretation of national laws. Failure of a national government to faithfully transpose a directive can result in courts enforcing the directive anyway, or punitive action by the Commission. Implementing and delegated acts allow the Commission to take certain actions within the framework set out by legislation, the equivalent of executive actions and agency rulemaking in other jurisdictions.
New members may join if they agree to follow the rules of the union, and existing states may leave according to their "own constitutional requirements". The withdrawal of the United Kingdom resulted in a body of retained EU law copied into UK law.
History
After the economic and human devastation of World War II, European civil society was determined to create a lasting union to guarantee world peace through economic, social and political integration.File:EU Roma Musei Capitolini hall.jpg|thumb|left|The Treaty of Rome, signed in Musei Capitolini was the first international treaty that envisaged social, economic and political integration, within limited fields, for nation-states.
To "save succeeding generations from the scourge of war, which twice.. brought untold sorrow to mankind", the United Nations Charter was passed in 1945, and the Bretton Woods Conference set up a new system of integrated World Banking, finance and trade. Also, the Council of Europe, formed by the Treaty of London 1949, adopted a European Convention on Human Rights, overseen by a new transnational court in Strasbourg in 1950. Already in 1946, Winston Churchill, who had been defeated as UK Prime Minister in 1945, had called for a "United States of Europe", though this did not mean the UK would sever its ties to the Commonwealth. In 1950, the French Foreign Minister Robert Schuman proposed that, beginning with integration of French and German coal and steel production, there should be "an organisation open to the participation of the other countries of Europe", where "solidarity in production" would make war "not merely unthinkable, but materially impossible". The 1951 Treaty of Paris created the first European Coal and Steel Community, signed by France, West Germany, Belgium, the Netherlands, Luxembourg and Italy, with Jean Monnet as its president. Its theory was simply that war would be impossibly costly if ownership and production of every country's economy was mixed together. It established an Assembly to represent the people, a Council of Ministers for the member states, a Commission as the executive, and a Court of Justice to interpret the law. In the East, the Soviet Union had installed dictatorial governments, controlling East Germany, and the rest of Eastern Europe. Although Stalin died in 1953 and the new general secretary Nikita Khrushchev had denounced him in 1956, Soviet tanks crushed a democratic Hungarian Revolution of 1956, and repressed every other attempt of its people to win democracy and human rights.
File:EC-EU-enlargement animation.gif|thumb|The EU evolved from the Coal and Steel Community of 6 member states, to a union of 28 member states in 2013. A referendum in the UK led to the UK leaving the bloc in 2020, reducing the total number of member states back to 27.
In the West, the decision was made through the 1957 Treaty of Rome to launch the first European Economic Community. It shared the Assembly and Court with the Coal and Steel Community, but set up parallel bodies for the Council and Commission. Based on the Spaak Report of 1956, it sought to break down all barriers to trade in a common market for goods, services, labour and capital, and prevent distortion of competition and regulate areas of common interest like agriculture, energy and transport. A separate treaty was signed for a European Atomic Energy Community to manage nuclear production. In 1961 the United Kingdom, Denmark, Ireland and Norway applied for membership only to be vetoed in 1963 by France's Charles de Gaulle. Spain also applied and was rejected as it was still led by the Franco dictatorship. The same year, the Court of Justice proclaimed that the Community constituted a "new legal order of international law".Van Gend en Loos v Nederlandse Administratie der Belastingen The Merger Treaty finally placed the ECSC and Euratom within the EEC. Shortly after, de Gaulle boycotted the commission, which he believed was pressing supranationalism too far. The Luxembourg compromise in 1966 agreed that France could veto issues of "very important national interest", particularly relating to the Common Agricultural Policy, instead of making decisions by "qualified majority". But after the May 1968 events in France and de Gaulle's resignation, the way was free for the United Kingdom, Ireland, and Denmark to join in 1973. Norway had rejected joining in a 1972 referendum, while the UK confirmed its membership in a 1975 referendum.
Aside from the European Economic Community itself, the European continent underwent a profound transition towards democracy. The dictators of Greece and Portugal were deposed in 1974, and Spain's dictator died in 1975, enabling their accession in 1981 and 1986. In 1979, the European Parliament had its first direct elections, reflecting a growing consensus that the EEC should be less a union of member states, and more a union of peoples. The 1986 Single European Act increased the number of treaty issues in which qualified majority voting would be used to legislate, as a way to accelerate trade integration. The Schengen Agreement of 1985 allowed movement of people without any border checks. Meanwhile, in 1987, the Soviet Union's Mikhail Gorbachev announced policies of "transparency" and "restructuring". This revealed the depths of corruption and waste. In April 1989, the People's Republic of Poland legalised the Solidarity organisation, which captured 99% of available parliamentary seats in June elections. These elections, in which anti-communist candidates won a striking victory, inaugurated a series of peaceful anti-communist revolutions in Central and Eastern Europe that eventually culminated in the fall of communism. In November 1989, protestors in Berlin began taking down the Berlin Wall, which became a symbol of the collapse of the Iron Curtain, with most of Eastern Europe declaring independence and moving to hold democratic elections by 1991.
File:People's vote on Brexit march, London, June 23, 2018 21.jpg|thumb|After the 2016 Brexit referendum, there were protests both for and against the UK leaving the EU and there was considerable division on how Brexit should be enacted. Britain finally left the union in 2020, where the government opted to limit the relationship to an international free trade agreement. Unlike most over member states, the UK was – as is – notably influenced by common and not civil law
The Maastricht Treaty renamed the EEC as the "European Union", and expanded its powers to include a social chapter, set up a European Exchange Rate Mechanism, and limit government spending. The UK initially opted out of the social provisions, and then monetary union after Black Wednesday in September 1992 where speculators bet against the British currency. Sweden, Finland and Austria joined in 1995, but Norway again chose not to do so after its 1994 referendum, instead remaining part of the European Free Trade Area and thus the European Economic Area, abiding by most EU law but without any voting rights. At the Treaty of Amsterdam, with a new Labour government, the UK joined the social chapter. A newly confident EU then sought to expand. First, the Treaty of Nice made voting weight more proportionate to population. Second, the Euro currency went into circulation in 2002. Third came the accession of Malta, Cyprus, Slovenia, Poland, the Czech Republic, Slovakia, Hungary, Latvia, Estonia, and Lithuania. Fourth, in 2005 a Treaty establishing a Constitution for Europe was proposed. This proposed "constitution" was largely symbolic, but was rejected by referendums in France and the Netherlands. Most of its technical provisions were inserted into the Treaty of Lisbon, without the emotive symbols of federalism or the word "constitution". In the same year, Bulgaria and Romania joined.
During the subprime mortgage crisis and the 2008 financial crisis, European banks that were invested in derivatives were put under severe pressure. British, French, German, and other governments were forced to turn some banks into partially or wholly state-owned banks. Some governments instead guaranteed their banks' debts. In turn, the European debt crisis developed when international investment withdrew and Greece, Spain, Portugal, and Ireland saw international bond markets charge unsustainably high interest rates on government debt. Eurozone governments and staff of the European Central Bank believed that it was necessary to save their banks by taking over Greek debt, and impose "austerity" and "structural adjustment" measures on debtor states. This exacerbated further contraction in the economies. In 2011 two new treaties, the European Fiscal Compact and European Stability Mechanism were signed among the nineteen Eurozone states. In 2013, Croatia entered the union. However a further crisis was triggered after the UK's Conservative government chose to hold a referendum in 2016, and campaigners for "leave" won 51.89 per cent of votes on a 72.2 per cent turnout. This referendum was politically inconclusive given the UK's system of Parliamentary sovereignty, with no agreement after the 2017 election, until the 2019 general election brought a Conservative majority with a manifesto commitment to drive through Brexit. The UK left EU membership in February 2020, with uncertain economic, territorial and social consequences.