C-16/78

It is not in principle incompatible with consequently as being incompatible with Community law for one Member State the Treaty, if it appears that the to require a national of another Member conditions imposed by national rules on State, who is permanently established in the holder of a driving licence issued by its territory, to obtain a domestic driving another Member State are not in due licence for the purpose of driving motor proportion to the requirements of road vehicles, even if he is in possession of a safety. Insistence on a driving test which driving licence issued by the authorities clearly duplicates a test taken in another in his State of origin. Member State for the classes of vehicle However, such a requirement may be which the person concerned wishes to regarded as indirectly prejudicing the drive, or linguistic difficulties arising out exercise of the right of freedom of of the procedure laid down for the movement, the right of freedom of conduct of any checks, or the imposition establishment or the freedom to provide of exorbitant charges for completing the services guaranteed by Articles 48, 52 requisite formalities could all be and 59 of the Treaty respectively, and examples of this.

In Case 16/78

REFERENCE to the Court under Article 177 of the EEC Treaty by the Amtsgericht (Local Court) Reutlingen (Federal Republic of Germany) for a preliminary ruling in the criminal proceedings pending before that court against

1 — Language of the Case: German.

JUDGMENT OF 28. 11. 1978 — CASE 16/78

Michel CHOQUET (electrician), residing at Reutlingen,

Facts and Issues

The facts of the case, the course of the driving and driving without a driving procedure and the written observations licence. submitted pursuant to Article 20 of the In order to drive a motor vehicle in the Protocol on the Statute of the Court of Federal Republic of Germany an official Justice of the EEC may be summarized as follows: driving licence is necessary, otherwise the driver is liable to punishment pursuant to Articles 2 and 21 of the Straßenverkehrsgesetz (law on road I — Facts and written procedure traffic)of 19 December 1952. Under Articles 6 and 7 of the Paris Convention Michel Choquet, a French national who on Motor Traffic of 24 April 1926, in resides at Reutlingen in the Federal conjunction with the Regulation on Inter­ Republic of Germany and works as an national Motor Traffic of 12 November electrician, was involved in a road traffic 1934 as amended by the Regulation of accident at Reutlingen-Gröningen on 15 18 April 1940, a foreigner is entitled to October 1977. drive a motor vehicle within Federal After the public prosecutor for the Land­ territory, in accordance with the gericht (Regional Court) Tübingen had provisions of his country of origin, with issued a summons on 15 November 1977 his national driving licence or an inter­ Mr Choquet was ordered by the national driving licence, for one year Amtsgericht (Local Court) Reutlingen to after crossing the frontier or from the pay a fine of DM 1600 for dangerous date of issue of his driving licence. After

CHOQUET

This decided, pursuant to Article 177 of the request was complied with after the EEC Treaty, to stay proceedings until period of time allowed had been the Court of Justice has given a pre extended. liminary ruling on the following question: II — Written observations sub Is it compatible with Community law for mitted to the Court a Member State of the European Community to require the nationals of Mr Choquet, the accused in the main other Member States to possess a driving proceedings, regards the German law on licence issued by the first Member State road traffic as incompatible with for driving motor vehicles and, as the Community law, in so far as it requires a case may be, to penalize them for driving national of a Member State who holds a without such a driving licence even domestic driving licence issued by his though such citizens of the Community country of origin, just like other foreign have a right of residence under Article nationals, to obtain a German driving 48 et seq. of the EEC Treaty and are in licence after staying one year in the possession of an equivalent driving Federal Republic of Germany, and in so licence from their own country? far as a national of a Member State who holds a domestic driving licence, when The order of the Amtsgericht Reutlingen that period has elapsed, is under the was received at the Court Registry on 16 threat of punishment for driving without

In of the Netherlands, on 17 May 1978 by the context of the Community there is the Government of the United Kingdom no justification, given its objectives, for and on 22 May 1978 by Mr Choquet, making a foreign national take a national the accused in the main proceedings. driving test. The Member States form a single economic area exhibiting the same Upon hearing the report of the Judge- degree of technical development, indus Rapporteur and the views of the trialization and traffic density, within Advocate General the Court decided to which road traffic regulations have to a open the oral procedure without any great extent been standardized; the preparatory inquiry. requirements laid down in the different

Member. States for obtaining a driving exercise of freedom of establishment licence may differ but they have been when it insists, at least for the purpose of devised with the same intention and with pursuing an occupation permanently, on the same objective in mind. Compliance the resubmission of evidence of fitness with the Treaty requires that nationals of which has already been produced in the Member States should not, in almost identical circumstances in another general, be obliged, as are other foreign Member State. nationals, to obtain a domestic driving licence but that, by the adoption of (d) Nor, in the accused's view, are the less radical measures, any existing provisions of German law justified on restrictions should be removed. grounds of public policy or public security within the meaning of Article 56 (b) German road traffic law is said to (1) of the EEC Treaty.

Treaty. The holder of a domestic driving Netherlands. The position with regard to licence may establish himself at any time the Federal Republic of Germany is as an independent carrier or taxi-driver. governed by an exchange of notes of 28 In the case of these independent October 1959. The Netherlands is also activities the obtaining of a domestic contemplating signing the Convention on driving licence amounts in substance to a Road Traffic concluded in Vienna on 8 certificate of fitness to pursue that November 1968 and the European Con occupation within the meaning of Article vention supplementing that Convention, 57 of the EEC Treaty. German law signed in Geneva on 1 May 1971. constitutes an obstacle to the effective However, the above-mentioned obli-

Netherlands, is none the less entitled to following disadvantages: be granted a Netherlands driving licence — Checking that the rules of the road without taking another driving test. He are complied with would become must, however, satisfy the legal more complicated; requirements applicable in the — Checking whether disqualifications Netherlands with regard to physical from driving are respected would be fitness to drive motor vehicles: the more difficult; applicant must produce a declaration as — The withdrawal of a driving licence to health signed in his own hand; a issued by another Member State by medical examination may also be reason of a finding of unfitness to required as a result of that declaration. drive a motor vehicle or because the Thus a foreign national who establishes himself in the Netherlands is entitled to holder is physically unfit would be impossible; obtain a Netherlands driving licence on production of his foreign driving licence, — A Netherlands driving licence is valid provided that he satisfies the for five years; the period of validity requirements as to physical fitness laid of most of the driving licences issued down under Netherlands law. In order by the other Member States is to have his domestic licence transcribed unlimited. Establishment in the

himself in the territory of another It is conceded that national rules should Member State he must apply for a not be applied to nationals from other driving licence issued by that Member Member States whose work involves the State. driving of vehicles in such a way as to impede freedom of movement. It is submitted that this freedom is not The Government of the United Kingdom is of the opinion that every Member impeded if nationals of other Member State must have the right to control the States have equal opportunity with conditions for driving on its roads in the nationals of the host State to qualify for interest of public safety. Member States and obtain whatever national driving achieve such control by granting driving licence is required to establish themselves licences only to those whom they deem in their chosen work, and the penalties to be qualified to drive safely on their for driving without, and the costs of roads and by prohibiting the driving of obtaining, a driving licence are neither motor vehicles by any person who does discriminatory nor excessive. not hold such a licence. This prohibition The Commission considers that the does not apply to drivers who are temporary visitors and who hold appro­ obligation, as defined by the law of the priate driving licences or international Federal Republic of Germany, to hold a driving permits granted in another driving licence may be in breach of the country which are recognized as such right of freedom of movement enshrined in Article 48 of the EEC Treaty if there licences or permits, so long as they is a direct connexion between the driving remain visitors, and the country granting of a vehicle and the objective of the right the licence or permit and the host of freedom of movement, that is to say if country are both parties to the Inter­ national Convention relative to Motor it is necessary for a person to drive in Traffic concluded in Paris in 1926 or to order to seek and pursue an activity and the Convention on Road Traffic if the obligation to hold a driving licence concluded at Geneva in 1949 or to the is not justified on grounds of public Convention on Road Traffic concluded policy, public security and public health. in Vienna in 1968. The obligation to possess a driving licence does not in itself impede freedom In the absence of any provision of of movement, except where the Community law, each Member State conditions for obtaining this driving must be entitled to apply national licence constitute an intolerable financial

during that period driven a vehicle Article 149 of the EEC Treaty, an belonging to the class for which a licence amended proposal (Official Journal has been applied for. Unlike German 1976, No C 8, p. 2). The aim of that applicants, the holder of a foreign proposal was to introduce a Community driving licence does not have to prove driving licence which could be issued on that he knows what steps to take in case an optional basis and at the same time as of accident and that he has taken a the national driving licence and which, course in first aid. The holder of a as it would be valid throughout foreign driving licence who does not Community territory, would in practice fulfil the conditions relating to residence be tantamount to mutual recognition of and length of stay can obtain a German national driving licences by the Member driving licence if he proves by passing a States. That proposal is at the present test that he has an adequate knowledge time being discussed by the competent of the German provisions relating to working parties within the Council. road traffic. The question referred by the Amtsgericht Thus the holder of a foreign driving licence is entitled to obtain a German Reutlingen might be answered as follows: driving licence. Passing a test is only required in certain well-defined cases. In The right of freedom of movement practice, the system amounts to created by Article 48 of the EEC Treaty transcribing a foreign driving licence or is not infringed by national provisions exchanging it for a domestic driving which forbid, and render subject to licence. The competent authority, in penalties, the driving of motor vehicles order to cover the administrative without a domestic driving licence and expenditure, may make a charge which which provide for the issue, without any may not exceed DM 100 (or DM 250 if driving test, of that domestic driving the applicant has to undergo a licence to the holder of a foreign driving psychological test or to be medically licence. examined). Thus the question relating to the compatibility with Community law of the III — Oral procedure national obligation to possess a driving licence invites an affirmative answer. Mr Choquet, the accused in the main It should be stressed that as part of its proceedings, represented by Rolf Kofler, common transport policy the Advocate at Reutlingen, the Government Commission forwarded to the Council of the United Kingdom, represented by on 17 August 1972 a proposal for a R. D. Munrow, Assistant Treasury Council Directive on the harmonization Solicitor, and the Commission of the of the laws relating to motor vehicle European Communities, represented by driving licences (Official Journal 1972, its Legal Adviser, Norbert Koch, No C 119, p. 1). That proposal provided submitted their oral observations and for the introduction of a single their replies to the questions raised by procedure for the issue of driving the Court at the hearing on 26 licences. After consulting the European Parliament and the Economic and Social September 1978. Committee the Commission forwarded The Advocate General delivered his to the Council on 5 December 1975, opinion at the hearing on 24 October pursuant to the second paragraph of 1978.

However, according to the information supplied during these proceedings, in that case the conditions to which the issue of the driving licence are subject are simplified as compared with the procedure for the issue of the domestic driving licence and do not as a general rule lead to a fresh driving test.

In this connexion the court making the reference points out that the acquisition of a fresh driving licence may nevertheless create language difficulties and involve the person concerned in expenses which are so disproportionate that they may amount to discrimination against nationals of the other Member States in contravention of Article 7 of the Treaty and may impede the exercise of the right to freedom of movement for workers which is guaranteed by Article 48.

3 It is for the purpose of resolving this doubt that the Amtsgericht has referred to the Court the question whether it is "compatible with Community law for a Member State of the European Community to require the nationals of other Member States to possess a driving licence issued by the first Member State for driving motor vehicles and, as the case may be, to penalize them for

CHOQUET

driving without such a driving licence even though such citizens of the Community have a right of residence under Article 48 et seq. of the EEC Treaty and are in possession of an equivalent driving licence from their own country".

The connexion between the matter at issue and the EEC Treaty

5 It is apparent therefore that, even in the absence of any specific Community law provisions in this field, the Amtsgericht was right to refer its question asking the Court to rule on the possible effect of the requirements for the issue or recognition of driving licences on freedom of movement for workers, to which must be added the freedom of establishment and the freedom to provide services, which are all guaranteed by the Treaty.

JUDGMENT OF 28. 11. 1978 — CASE 16/78

The substance

6 The rules regarding the issue of driving licences, including the determination of the conditions under which a foreign driving licence may be recognized or exchanged for a domestic driving licence, fall primarily within the scope of the responsibilities devolving upon the Member States, within their national territory, concerning the safety of highway traffic.

7 A comparative study of the present position in this field in the Member States makes it clear that their laws on the issue of driving licences — especially as far as concerns the rules for driving tests, the frequency of medical examinations, the term of validity of driving licences and the definition of the different classes of motor vehicles — differ to such an extent that the mere recognition of driving licences for the benefit of persons who elect to reside permanently within the territory of a Member State other than the State which issued them with a driving licence cannot be contemplated unless the requirements for the issue of those driving licences are harmonized to a sufficient extent.

In these circumstances the requirements imposed by a Member State on persons established within its territory, in so far as the recognition of driving licences issued by other Member States is concerned, cannot be regarded as amounting in themselves to an obstacle to freedom of movement for workers, to freedom of establishment or to the liberalization of the provision of services.

However, such a requirement may be regarded as indirectly prejudicing the exercise of the right of freedom of movement, the right of freedom of establishment or the freedom to provide services guaranteed by Articles 48, 52 and 59 of the Treaty respectively, and consequently as being incompatible with the Treaty, if it appears that the conditions imposed by national rules on the holder of a driving licence issued by another Member State are not in due proportion to the requirements of road safety.

Costs

10 The costs incurred by the Government of the Kingdom of the Netherlands, the Government of the United Kingdom and the Commission of the European Communities, which have submitted observations to the Court, are not recoverable.

As these proceedings are in the nature of a step in the criminal proceedings pending before the Amtsgericht Reutlingen, the decision as to costs is a matter for that court.

On those grounds,

THE COURT,

Delivered in open court in Luxembourg on 28 November 1978.

A. Van Houtte H. Kutscher

Registrar President

OPINION OF MR ADVOCATE GENERAL REISCHL DELIVERED ON 24 OCTOBER 1978 1

Mr President, on International Motor Traffic of 12 Members of the Court, November 1934 as amended by the Regu­ lation of 18 April 1940 and also an Under German law an official driving announcement of 15 November 1952, licence is required for the purpose of holders of foreign driving licences — driving motor vehicles and, in the case of whether they are foreign nationals or vehicles for which a licence is required, German citizens — are entitled, if they driving without any such driving licence possess a driving licence issued by is punishable by imprisonment or a fine another country or an international (Articles 2 and 24 of the Straßenver­ driving licence, to drive a motor vehicle kehrsgesetz (Law on Road Traffic) of 19 within the territory of the Federal December 1952). According to Articles 6 Republic of Germany for a period of one and 7 of the Paris Convention on Motor year after crossing the frontier or from Traffic of 24 April 1926 in conjunction the date of issue of their driving licence. with Articles 4 and 5 of the Regulation Thereafter, a German driving licence

1 — Translated from the German.