Updated: Jan 8, 2022
Discussion on the correct legal basis for an International agreement on the appellation of origins and geographical indications.
(intellectual property: when can you give these denominations that are linked to a certain region ex. DOC )
The Commission argued that he could negotiate this agreement as it is external trade and the Common Commercial Policy (Art. 3(1)e TFEU) is an exclusive competence (Art. 207(3) TFEU). The Council on the other hand argues that it is a shared competence as the agreement is about the harmonization of the business of the internal market (Art. 4 and 114 TFEU). This would entail that the MS together with the Commission have the negotiating power.
The MS through the Council try to argue that it can’t be CPP as there is no link with international trade.
→ Art. 207 TFEU is the correct legal base because it is CPP (exclusive competence).
This case illustrates the importance of the legal basis, as it provides for different negotiation mechanisms.