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Súdny dvor Európskej únie·3.12.1987

C-427/85

ECLI:EU:C:1987:523

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Súdny dvor Európskej únie
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61985CC0427

OPINION OF MR DA CRUZ VILAÇA — CASE 427/85

OPINION OF MR ADVOCATE GENERAL DA CRUZ VILAÇA delivered on 3 December 1987 *

According to the first paragraph of Article Mr President, 60, services normally provided for Members of the Court, remuneration are to be regarded as 'services' within the meaning of the Treaty, in so far as they are not governed by the 1. In the present Treaty-infringement provisions relating to freedom of movement proceedings, the Commission seeks a for goods, capital and persons. declaration by the Court that the Federal Republic of Germany has failed, with respect to lawyers' freedom to provide 5. That definition determines the extent of services, to fulfil its obligations under the the freedom to provide services, subject, EEC Treaty and under Council Directive however, to Article 61 and Articles 55 and No 77 / 249 / EEC of 22 March 1977. 1 56, to which Article 66 refers. In turn, the scope of Articles 59 and 60 is defined by I — The applicable Community law reference to the places where those providing the services and those for whom they are provided are established or reside. 2. The purpose of Directive 77 / 249 / EEC , which was adopted by the Council under Articles 57 and 66 of the Treaty, is to 6. The third paragraph of Article 60 states: facilitate the effective exercise by lawyers of the freedom to provide services. 'Without prejudice to the provisions of the Chapter relating to the right of estab­ 3. Since that freedom derives directly from lishment, the person providing a service the Treaty and, in particular from Article may, in order to do so, temporarily pursue 59, the directive must be interpreted in the his activity in the State where the service is light of the provisions of the Treaty whose provided, under the same conditions as are implementation it is designed to ensure. imposed by that State on its own nationals'.

(a) The provisions of the Treaty 7. The Court has consistently held that Articles 59 and 60 of the Treaty became 4. By virtue of the first paragraph of Article directly applicable on the expiry of the tran­ 59 of the Treaty, the elimination of sitional period, and their applicability is not restrictions on the freedom to provide subject to prior harmonization or coordi­ services within the Community extends to nation of the legislation of the Member all services provided by nationals of the States. 2Those provisions require the elimi­ Member States established in a State of the nation not only of all discrimination against Community other than that of the person for whom the services are intended. 2 — Judgment of 12 December 1974 in Case 36/74 Walrave [1974] ECR 1405; Judgment of 18 January 1979 in Joined Cases 110 and 111/78 Van Wesemael [1979] ECR 35; * Translated from the Portuguese. Judgment of 17 December 1981 in Case 279/80 Webb 1 — Official Journal 1977, L 78, p. 17. [1981] ECR 3305.

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a person providing the service by reason of lishment' (the principle of equivalence) his nationality but also of all restrictions on (Webb, paragraph 17; see also Van the freedom to provide services to which he Wesemael, paragraphs 28, 29 and 30). is subject by reason of the fact that he is established in a Member State other than that in which the service is to be provided. 3 11. Furthermore, the requirements laid down by national legislation must be 'objectively justified by the need to ensure that professional rules of conduct are 8. As regards the rule on national treatment complied with and that the interests which laid down in the third paragraph of Article such rules are designed to safeguard are 60, the Court has taken the view that, whilst protected', as the Court stated in its the aim of that provision is 'to enable the judgment of 4 December 1986 concerning provider of the service to pursue his acti­ the freedom to provide services in the vities in the Member State where the service 4 insurance industry. In that judgment the is given without suffering discrimination in Court added a further condition, namely favour of the nationals of that State ... it 'that the same result cannot be obtained by does not mean that all national legislation applicable to the nationals of that State and less restrictive rules' (paragraph 29). usually applied to the permanent activities of the undertakings established therein may 12. In view of those requirements, the be similarly applied in its entirety to the Court adopted an approach in the latter temporary activities of undertakings which judgment which involved: are established in other Member States' (Webb, paragraph 16). (1) Determining the existence of an interest justifying certain restrictions on the freedom to provide the services in 9. In the same judgment (paragraph 17) the question; Court conceded that 'regard being had to the particular nature of certain services, specific requirements imposed on the (2) Determining whether or not the public provider of the services cannot be interest was already protected by the considered incompatible with the Treaty laws of the Member State of estab­ where they have as their purpose the lishment; application of rules governing such acti­ vities' (see also Van Wesemael, para­ graph 28). (3) Analysing the restrictive measure with a view to determining whether it was objectively necessary and whether the same result could have been achieved by 10. However, the Court added that 'the less restrictive rules. freedom to provide services is one of the fundamental principles of the Treaty and may be restricted only by provisions which (b) Directive 77/249/EEC are justified by the general good and which are imposed on all persons or undertakings 13. Article 63 of the Treaty provided for a operating in the said State in so far as that 'general programme' to be drawn up for the interest is not safeguarded by the provisions abolition of restrictions on the freedom to to which the provider of the service is provide services within the Community subject in the Member State of his estab­ 4 — Judgment of 4 December 1986 in Case 205/84 Commission 3 — Van Wesemaei, paragraph 27, and Webb, paragraph 14. v Germany [1986] ECR 3755, paragraph 27.

OPINION OF MR DA CRUZ VILAÇA — CASE 427/85

during the transitional period. That And paragraph 2 of the same article adds programme was approved by Council that any lawyer pursuing those activities is Decision of 18 December 1961, 5and it was to 'observe the rules of professional conduct to be implemented by the adoption of of the host Member State, without prejudice directives. to his obligations in the Member State from which he comes'.

14. Of the directives adopted, some are intended to remove restrictions on the 18. In the present Treaty-infringement freedom to provide services during the tran­ proceedings, the main issue is the interpre­ sitional period; others are designed to tation of the second indent of Article 5 of introduce into the legislation of the Member the directive, which provides as follows: States a number of provisions intended to facilitate the effective exercise of that freedom, in particular by means of the 'For the pursuit of activities relating to the mutual recognition of professional qualifi­ representation of a client in legal cations and the coordination of legislation proceedings, a Member State may require on the pursuit of activities as self-employed lawyers to whom Article 1 applies: persons (Articles 57, 63 and 66)

15. Directive 77 / 249 / EEC on the exercise by lawyers of the freedom to provide services (hereinafter referred to as 'the to work in conjunction with a lawyer who directive') falls into the latter category. practises before the judicial authority in question and who would, where necessary, be answerable to that authority ... '. 16. Under the directive (Article 2), the effective exercise of that freedom of course requires that each Member State should 19. The Commission's reliance on that recognize as a lawyer the persons who provision as a basis for the allegations made practise that profession in the various by it against the Federal Republic of Member States under any of the desig­ Germany raises, as we shall see in greater nations listed in Article 1 (2). The detail in due course, a number of questions conditions for that mutual recognition, and of interpretation : in the first place the scope for the exercise of the freedom to provide of the obligation to 'work in conjunction'; services, are laid down in Article 3 et seq. of in the second place, determination of the the directive. types of, or conditions applicable to, work in conjunction which may be defined by a Member State that decides to impose such 17. Specifically with respect to activities an obligation. relating to the representation of a client in legal proceedings or before public auth­ orities, Article 4 (1) provides that such acti­ vities are to be 'pursued in each host II — The national legislation Member State under the conditions laid down for lawyers established in that State, 20. The Federal Republic of Germany with the exception of any conditions implemented the directive by means of the requiring residence, or registration with a Law of 16 August 1980 (hereinafter referred professional organization, in that State'. to as 'the implementing law'), which governs the activities of lawyers providing 5 — Official Journal, English Special Edition, Second Series No IX, p. 3. services.

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21. It is with paragraph 4 of that law the step taken is not immediately (together with various procedural provisions countermanded or amended by the and provisions of the laws on the exercise of lawyer. the profession of lawyer and on the repre­ sentation of parties in legal proceedings) that the present action is concerned. (3) In cases in which representation by lawyers admitted to practise before the court hearing the case is mandatory, paragraph 52 (2) of the Bundesrecht­ sanwaltsordnung (Federal Law on the 22. That provision, which relates to the profession of lawyer) is to be applied representation and defence of clients in legal by analogy.' proceedings by lawyers providing services, is worded as follows:

23. Paragraph 52 (1) and (2) of the Bundes­ rechtsanwaltsordnung provides, with respect to representation by virtue of a power of 6 '(1) The persons listed in paragraph 1 (1) attorney, that: may act as representative or defending counsel for a client in legal or adminis­ trative proceedings concerning criminal '(1) In cases in which representation by offences, infringements, faults com­ a lawyer is mandatory, the lawyer mitted in the course of duty or failure appointed as authorized representative to fulfil professional obligations only if may delegate his representative they act in conjunction with a lawyer authority only to another lawyer who who is himself an authorized represen­ can also be appointed as an authorized tative or defending counsel. representative. Furthermore, they may take part in oral proceedings or in a criminal trial only if they are accompanied by a lawyer. (2) The lawyer appointed to act as auth­ . .. They may correspond with a person orized representative before the Court held in custody only through a lawyer. hearing the case may, during the oral proceedings, entrust to a lawyer who cannot be appointed as an authorized representative in his own right the task (2) The work in conjunction required by of explaining, with his assistance, the subparagraph (1) must be proved each rights of his clients'. cime a step is taken. Steps taken by the persons listed in paragraph 1 (1) in contravention of the provisions of that III — The subject-matter of the proceedings subparagraph in respect of which proof of work in conjunction has not been provided at the time when they are taken shall be null and void. During 24. Following the administrative phase of oral proceedings or in a criminal trial, the proceedings, which is described in the work in conjunction will be presumed if Report for the Hearing, the Commission, not satisfied with the observations submitted 6 — Paragraph 1 (1) of the implementing law repeats word for by the Government of the Federal Republic wordlhe list of designations contained in Article 1 (2) of of Germany, essentially confirmed all its the directive under which the profession of lawyer may be practised in the various Member States. allegations.

OPINION OF MR DA CRUZ VILAÇA —CASE 427/85

25. The Commission's complaints may be lawyer and may not grouped under three headings: communicate with a person held in custody otherwise than through the German lawyer; (1) The scope of the obligation to work in conjunction: (c) Work in conjunction must be proved whenever a step is taken; steps taken by the lawyer providing (a) The implementing law requires services, both those taken in lawyers providing services to work contravention of the legal provisions in conjunction with a German on work in conjunction and those in lawyer even in proceedings for respect of which proof of work in which German law does not make conjunction is not produced at the representation by a lawyer time when the step is taken, are null mandatory (paragraph 4 (1) of the and void; during the oral implementing law); proceedings or in a criminal trial, work in conjunction is presumed where the step in question is not (b) The implementing law extends the immediately countermanded or scope of compulsory work in amended by the German lawyer. conjunction to contacts with persons held in custody even where representation by a lawyer is not (3) The analagous application of paragraph mandatory. 52 (2) of the Bundesrechtsanwalts­ ordnung, provided for in paragraph 4 (3) of the implementing law. (2) Conditions concerning the obligation to work in conjunction (paragraph 4 (1) and (2)): In cases where clients must be repre­ sented by lawyers admitted to practise before the judicial authority in question (a) The German lawyer with whom the (territoriality of the right of represen­ lawyer providing services must work tation), the lawyer providing services is entitled only to submit observations in conjunction must himself be an during the oral proceedings, by dele­ authorized representative or defend­ gation from a German lawyer admitted ing counsel in the proceedings; to practise before that judicial authority.

(b) The lawyer providing services : 26. I shall merely say that the German Government, in reply to the reasoned opinion, as well as defending its interpre­ (i) may act during oral proceedings tation of the directive declared itself willing or in a criminal trial only if to consider the view that the work in accompanied by the German conjunction provided for in Article 5 of the lawyer; directive is required only in proceedings in which representation or defence of a client by a lawyer is required by law, and to (ii) as defending counsel may visit a review its legislation on certain matters person held in custody only if relating to the conditions for such work in accompanied by the German . conjunction.

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IV — Analysis of the Commission's alle- which the Commission purports to derive gations from the reference to work in conjunction 'with a lawyer who practises before the judicial authority in question' is the result of A — The extent of the obligation to 'work in an unjustifiable confusion between the conjunction' with a German lawyer concept of a lawyer being 'admitted to practise' before a particular judicial (a) Cases where representation by a lawyer is authority and that of 'mandatory represen­ not mandatory tation by a lawyer'; the fact that a lawyer is admitted to practise before a given court does not mean that representation by a 27. The Commission considers that lawyer is compulsory in the court in paragraph 4 (1) of the implementing law is question. In fact, since paragraph 18 (1) of incompatible with Community law in so far the Bundesrechtsanwaltsordnung provides as it requires work in conjunction with a that all lawyers must be admitted to practise German lawyer in proceedings before before an ordinary court, it is the codes of Courts and in proceedings before adminis­ procedure which, regardless of this question trative authorities exercising powers of a of the rules governing the profession, judicial nature for which domestic law does determine whether representation by a not make representation by a lawyer lawyer is mandatory. mandatory.

28. According to the Commission, it 31. The Commission considers, however, follows from the second indent of Article 5 that — since the directive must be inter­ of the directive that that obligation may be preted in conformity with the Treaty — the imposed only where individuals may not requirement that the lawyer providing personally represent themselves. Conversely, services must work in conjunction with a the German Government contends that that German lawyer in cases where German law provision extends to all activities concerning does not make representation mandatory representation of clients by a lawyer. constitutes a restriction on the fundamental principle of the freedom to provide services 29. It is to be noted that the second indent which, under Article 59, should be elim­ inated and is in breach of the principle of of Article 5 of the directive provides that equality of treatment with nationals laid each Member State may require lawyers down in the third paragraph of Article 60. providing services 'to work in conjunction According to the Commission, it follows with a lawyer who practises before the from the aim of those provisions of the judicial authority in question . . . '. Treaty and also from Articles 2 and 4 (1) of the directive that such equality of treatment 30. The first argument upon which the must relate to the situation of national German Government relies in its defence is lawyers and not to that of non-specialist based precisely on the literal wording of nationals. that provision: the main part of Article 5 defines its scope by means of a general reference to the 'pursuit of activities relating to the representation of a client in legal 32. The Commission also considers that proceedings', without in any way restricting whenever a party is entitled to have himself it to matters for which representation by a represented or defended in legal lawyer is mandatory. According to the proceedings by any third party, there is no German Government, the literal argument legal reason or requirement relating to

OPINION OF MR DA CRUZ VILAÇA —CASE 427/85

protection of the public interest which If he does otherwise, he will be in justifies preventing a lawyer providing breach of the rules of professional services from acting alone for the purposes conduct — which in this respect are of representing his clients in legal similar in all the Member States — that proceedings. he is bound to observe by virtue of Article 4 (2) of the directive.

33. In that connection, the Commission (4) It is not apparent why the proper func­ mentions the following considerations. tioning of the German judicial system should be disturbed by the provision of services which, by their very nature, are occasional or temporary. (1) A client will seek the services of a foreign lawyer only if he has particular 34. With respect to these aspects of the reasons for doing so and if he thinks problem, the Government of the Federal that that is the most advantageous Republic of Germany defends itself against course of action for him. Since, by the Commission's allegation by stating in virtue of the first sentence of paragraph particular that: 2 (1) of the implementing law (and Article 3 of the directive), the foreign lawyer's professional designation in the (1) Even where representation by a lawyer language of his country of origin will is not mandatory, it is convenient for indicate that he is not a German lawyer, the parties and the Court to the client, even if not a specialist, will be communicate with each other through a perfectly well able to assess the qualifi­ representative whose professional cations of the lawyer in question. training and experience ensure that he is thoroughly familiar with German law, and, in particular, with the rules of procedure and customs of the Courts. (2) The intervention of a foreign lawyer seems more conducive to the proper conduct of the proceedings than repre­ It is for that reason that the German sentation by the person concerned on legislation keeps the participation of his own behalf; as far as the partici­ unqualified persons to the minimum pation of non-specialists is concerned, possible; such persons may participate the intervention of lawyers providing only in exceptional cases where there services is even more justified. are judicial reasons for their doing so Moreover, it is logical to conclude that and their participation does not become most cases will concern representation a regular activity. of nationals of other Member States or legal problems relating to other Member States. (2) It is in the interests of the client — even in proceedings for which it is not mandatory to instruct a lawyer — for the person providing services to be (3) As a rule, a foreign lawyer will precluded from acting without the undertake to represent a client before a support of a German lawyer. In admin­ German judicial authority only if he is istrative, fiscal, social and conciliation fluent in German and is sufficiently well proceedings before lower courts, in acquainted with the German legal which representation by a lawyer is not system. mandatory, the courts would not have

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to fulfil their obligations regarding in order either to submit pleadings in the explanation of the case to the same course of the procedure or to present oral extent for a lawyer as for a party who is argument before a court. The obligation to not represented or, at least, is not repre have oneself represented or assisted by a sented by a lawyer. lawyer thus entails the result that a party may not act for himself in legal proceedings (3) The provisions of German procedural or instruct someone other than a lawyer to law which authorize representation by do so. persons with the capacity to be parties to proceedings are intended above all to guarantee the parties the possibility of 38. In Germany, representation by a lawyer defending their cases themselves. is, in principle, mandatory in civil and criminal proceedings, except, mainly, in lower courts or in the case of minor The law on representation in pro offences; by contrast, in contentious- ceedings before courts lays down a administrative, fiscal, social and labour general prohibition on appearing proceedings, representation by a lawyer is, professionally before courts, except in in principle, mandatory only before the the case of lawyers and certain other highest courts. agents, in specified circumstances, so that the class of representatives permitted to act in proceedings for

39. In cases where representation by a which representation by a lawyer is not lawyer is mandatory, there exists, in the mandatory is limited to those who act nature of things, a legal monopoly in favour not on a professional basis but only in of lawyers for the representation of parties individual cases and without the in legal proceedings: only lawyers — and intention to continue to do so in the also professors of law in proceedings before future. criminal courts — are entitled to represent parties in legal proceedings. In those circumstances, lawyers of other Member States, who by definition act in a professional capacity, are not placed 40. In other cases, the existence of a legal in a less favourable position than monopoly does not of itself deprive a party unqualified persons, whether German or of the right to conduct litigation on his own foreign. behalf; it only means that where a party has himself represented in legal proceedings he

35. In view of those arguments put forward cannot be represented by third parties who by the German Government, I must draw a are not lawyers. distinction between two concepts which, although distinct, are close to each other and partially overlap. 41. Outside the area of mandatory legal representation, the lawyers' legal monopoly 36. The Commission adopted as its points in Germany applies to activities carried on, of reference for defining the limits of the in a professional capacity, in civil authority granted to the Member States by proceedings, with respect to the oral phase the second indent of Article 5 the question of the procedure; in criminal proceedings, of mandatory representation by a lawyer. lawyers and professors of law have a monopoly and the same applies to constitu

37. That concept must be construed as the tional matters; in social, labour, tax and obligation imposed on the parties to administrative matters of a contentious proceedings to seek the services of a lawyer, nature, the monopoly is limited, and in

OPINION OF MR DA CRUZ VILAÇA —CASE 427/85

general parties may be represented, as of the Treaty on the freedom to provide appropriate, by persons such as trade union services and of the underlying principles. and employers' representatives, represen­ tatives of farming associations and of associ­ ations of war victims, tax advisers, 48. Applying those principles to the present accountancy experts and civil servants or case, I do not consider that, as regards the legal agents of public administrative auth­ cases where representation by a lawyer is orities. not mandatory, the German legislation fulfils the conditions which the Court has laid down for the 'specific requirements' 42. In addition, the law on representation imposed upon the person providing services before the courts lays down a general to be considered compatible with the prohibition which, in principle, is applicable Treaty. It is to this that the directive refers to any non-lawyer third party, preventing when it allows the requirement to be him from acting, in a professional capacity, imposed upon lawyers that they should in any legal proceedings. However, the 'work in conjunction' with a domestic intervention of other persons, such as lawyer. notaries, accountancy experts, adminis­ trators of assets, and so forth, acting within their terms of reference, is permitted. 49. In fact, in such cases, the German law not only allows a party to conduct his own 43. In the light of all the foregoing defence in legal proceedings but also allows considerations, I can now give my opinion him to have himself represented by a on the first of the allegations made by the non-specialized third party, provided Commission concerning the German legis­ thatthe latter does not act in a professional lation. capacity.

44. In my view, the German Government's 50. The lawyer's legal monopoly is thus defence does not appear to be well founded. confined to activity in a professional capacity. 45. By this I mean that it does not seem to me, in principle, that the requirement 51. It therefore is clear that the contained in the implementing law that a requirements of the public interest in lawyer providing services must work in ensuring the proper administration of justice conjunction with a Rechtsanwalt whenever (the first condition imposed by the Court) he represents a client before a court is compatible with the Treaty or with the are much more tenuous here than in the Directive of 22 March 1977. case of proceedings where representation by a lawyer is mandatory — which are of course those of the greatest importance and 46. It is true that the text of the directive seriousness — whereas, as far as the legal does not provide a sound basis for any monopoly is concerned, considerations distinction which might indicate that the relating to defence of the profession prevail. legislature sought to limit the scope of the powers conferred on the Member States by Article 5. 52. In addition, other legislation contributes effectively in other ways to ensuring, in such cases, that that public interest is safe­ 47. But, as has been seen, the directive must guarded, so that the restriction in question be interpreted in the light of the provisions is objectively not required in order to

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achieve the desired result (second and third directive), that is to say, proceedings conditions laid down in the decisions of the involving judicial authorities. Court). 59. According to the German Government, this is what follows from paragraph 4 (1) of 53. In fact, Article 4 (2) of the directive the implementing law, where it refers to provides that 'a lawyer pursuing these acti­ 'administrative proceedings concerning vities shall observe the rules of professional criminal offences, infringements, faults conduct of the host Member State, without committed in the course of duty or failure prejudice to his obligations in the Member to fulfil professional obligations', which the State from which he comes' (see paragraph Commission appears to have accepted in its 10, supra). application (page 14). Although in its reply the Commission seems to have cast doubt upon the compatability with the directive of 54. Moreover, the lawyer is covered by the the reference in paragraph 4 (1) to adminis­ legislation on civil and criminal liability. trative proceedings, the allegation which that appears to imply is clearly out of time, 55. For the rest, the Commission's and should therefore be disregarded. arguments, which I summarized earlier in paragraph 33, appear to me to be essentially (b) Contacts with persons held in custody well founded. 60. The Commission criticizes the Federal Republic of Germany for the fact that the 56. Only in that way will it be possible not second sentence of paragraph 4 (1) extends only to be faithful to the principles laid the obligation to work in conjunction with a down in the Treaty regarding freedom to German lawyer to visits and communication provide services but also to contribute to the with persons held in custody even in those achievement, in this area, of the objectives cases where the latter can be defended by a of the directive. spokesman (Vertrauensmann) who is not a German lawyer. 57. Indeed, the directive is intended to ensure (Article 2) that each Member State 61. I do not think that, essentially, it is should recognize as a lawyer those persons right to do so. who, in the other Member States, are auth­ orized to practise as such and that they 62. In fact, since visits to and communi­ should do so in such a manner that the acti­ cation with persons held in custody are vities involved in representing and defending indiscutably included in the field of 'acti­ a client in legal proceedings or before public vities relating to the representation of a authorities are performed under the same client in legal proceedings', they are covered conditions as those laid down for lawyers by Article 5 of the directive. established in the host State (Article 4 ( l )), without prejudice to the specific conditions 63. The obligation to work in conjunction which are permitted. with a German lawyer may therefore in principle be applied to such contacts. 58. The essential point is — and here I conclude this part of my opinion — that the 64. However, it must be limited to cases obligation to work in conjunction imposed where representation by a lawyer is by the German legislation should be limited mandatory, and therefore, regardless of the to 'legal proceedings' (Article 5 of the view taken of the conditions laid down by

OPINION OF MR DA CRUZ VILAÇA — CASE 427/85

the German legislature, the Commission's 70. In particular, for a 'specific require­ complaint in that respect must, in my ment' like this one, which is imposed upon opinion, be partially upheld. lawyers providing services by virtue of the special nature of the activity pursued, to be considered compatible with the Treaty, the B — The terms applicable to work in following conditions must be satisfied: 8 conjunction with a German lawyer

65. Having analysed the problem of the It must reflect a general interest which is scope of the obligation to 'work in not safeguarded by the rules to which the conjunction' laid down in the German legis­ provider of the service is subject in his own lation, I shall now consider the Member State; Commission's allegations regarding the terms applicable to work in conjunction laid down by that legislation. It must be objectively necessary in order to ensure compliance with rules of professional 66. Resolution of this problem requires conduct and to ensure protection of the clarification of the meaning of the interests with which it is concerned; expression 'work in conjunction' used in the second indent of Article 5 of the directive — the directive does not give the least indication of its meaning. The same result must not be attainable by less restrictive rules.

67. Nevertheless, it is a concept of Community law and the definition of its 71. How can these principles be applied to scope could not have been left entirely to a general definition of the concept of the discretion of the Member States; it must working 'in conjunction'? be appraised according to the same interpre­ tative criteria as those used for determining the extent of the obligation laid down in that provision. 72. Let me start by saying that the various language versions of the directive diverge as regards the way in which this concept is 68. This means that, being a concept of expressed : certain versions appear to require Community law, it must be interpreted an agreement between the lawyers independently and in accordance with the concerned, whereas others do not neces­ Treaty, in conformity with the approach sarily imply such a requirement. laid down in the previous decisions of the Court, to which I referred earlier. 73. The expression must, however, be inter­ 69. Of course, in so far as it affects one of preted uniformly having regard to the the principal foundations of the Treaty, that objectives and general scheme of the concept must be interpreted strictly, as the directive. 9 Court has consistently held. 7 8 — See supra, paragraph 12.

7 for 9 — Case 30/77 Regina v Bouchereau [1977] ECR 1999, — See , « ample , with respect to the first paragraph of paragraph 14; see also Case 80/76 Kerry Milk [1977] Article55, Case 2/74 Reyners [1974] ECR 631, paragraphs ECR 425; Case 11/76 Netherlands v Commission [1979] 33 and 43; and, with respect to Article 48 (4), Case 149/79 ECR 245, and Federal Republic of Germany v Commission Commission v Belgium [1980] ECR 3881, paragraphs 19 [1979] ECR 343; and Case 9/79 Koschmiske v Raad van and 22. Arbeid [1979] ECR 2724, summary.

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74. It seems clear that the reasons for the for determination of the basis thereof; and obligation to 'work in conjunction' laid that seems to be the solution adopted in the down in the directive are associated with the legislation of the majority of the Member public interest in ensuring the proper States. administration of justice, in cases involving the participation of lawyers trained under other legal systems. 79. I would not, however, go so far as to say that the Member States are precluded from laying down the general framework for work in conjunction, provided that they 75. The obligation to 'work in conjunction' do so in harmony with the principles to will thus be understood as a way of which I have referred. supporting or orientating the lawyer providing services by means of cooperation with a national lawyer, trained and estab­ lished in the country where the service is to 80. A Member State must therefore limit be provided. the obligations which it imposes to what is objectively necessary in order to render the professional cooperation effective; in particular, the terms laid down for working 76. The central feature of this obligation to in conjunction must not make the lawyer 'work in conjunction' therefore appears to providing services into a mere assistant of lie in the professional collaboration or the national lawyer or place him in a subor­ cooperation of the two lawyers, which is dinate position as regards conduct of the designed to compensate for any gaps in case with which he is to deal. knowledge of the German legal system and any lack of experience of German procedure, so as to ensure that the client's 81. Identical considerations must apply, case is properly conducted before the court. mutatis mutandis, to the proof of work in conjunction and determination of any liability attaching to the national lawyer 77. If that is the case, there is justification before the competent judicial authority. for leaving the lawyers to agree upon the terms on which they are to work in conjunction. They are both obliged to 82. It should also be pointed out that, in observe the rules of professional conduct of practice, regardless of the obligation to the host Member State, without prejudice, 'work in conjunction', a lawyer of a as regards the provider of services, to the Member State confronted by problems obligations to which he is also subject in his relating to the laws of another Member own Member State; both are in a position, State invariably contacts, of his own whilst complying with their ethical rules and volition, a colleague established in that exercising their professional independence, Member State, and agrees upon a proper to agree upon the basis of cooperation basis for cooperation with him. appropriate to the instructions given to them. 83. Having regard to these general considerations, it is not difficult to resolve 78. It may even be considered that it was the problems raised by the Commission's the legislature's intention, in leaving the allegations concerning the terms laid down term 'work in conjunction' undefined, to by the German legislation for work in rely upon an agreement between the lawyers conjunction.

OPINION OF MR DA CRUZ VILAÇA — CASE 427/85

84. The Commission criticizes the terms second indent of Article 5 of the directive, imposed by the German legislation for work the German lawyer assumes full responsi­ in conjunction essentially under four bility before the judicial authority in headings: question, and the terms for work in conjunction laid down in paragraph 4 (1) (1) The obligation of the lawyer providing and (2) of the implementing law are services to work in conjunction with a necessary to enable the German lawyer fully German lawyer who, in the proceedings to discharge that responsibility. in question, is himself the authorized representative or defending counsel 87. In particular, the dynamics of legal (first sentence of paragraph 4 (1) of the proceedings, requiring immediate reactions implementing law). and appropriate measures on the part of the client's agent, depend to a very great extent (2) The need to be accompanied by the upon the intervention of authorized repre­ German lawyer during oral proceedings sentatives or defending counsel acting in a and criminal trials (second sentence of professional capacity who are thoroughly paragraph 4 (1) of the implementing acquainted with the national legal order, law). and a lawyer providing services does not satisfy that requirement.

(3) The obligation to prove that the lawyers have worked in conjunction regarding 88. In the German Government's view, the every step in the procedure, when that inadequacies of the background of the step is taken, failing which it will be foreign lawyer would not be compensated void. However, 'during the oral for by intervention by the judge in the prep­ proceedings or in a criminal trial, work aration of the case, in view of the latter's in conjunction will be presumed if the duty of impartiality and of the principle step is not immediately countermanded governing German civil procedure whereby or amended by the Rechtsanwalt the Court must adjudicate on the case as (paragraph 4 (2) of the implementing presented to it by the parties. law)'.

89. In short, the German Government (4) The obligation to arrange to be accom­ claims that if it did not apply such rules, the panied by a German lawyer when German lawyer would be reduced to the visiting persons held in custody and the role of mere adviser or assistant to the prohibition of corresponding with them provider of services, and would not be in a otherwise than through such a lawyer position to assume his responsibility towards (end of the second sentence of the court in question. paragraph 4 (1)).

90. In evaluating that argument, I shall first 85. In general terms, the Commission try to determine the extent of that responsi­ considers that, by laying down those terms, bility vis-à-vis the court which the directive the implementing law exceeds the limits allows to be imposed upon the national determined by the Treaty and the directive, lawyer in appropriate cases. going further than is required by the need to work in conjunction. 91. It is apparent from the letter and the spirit of the second indent of Article 5 of 86. For its part, the German Government the directive that that responsibility relates refers to the fact that, as is permitted by the to the 'work in conjunction' itself.

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Moreover, the responsibility referred to in lawyer appears clearly to be dispropor the directive is responsibility to the tionate to the obligation to work in competent court and not to the parties. conjunction, and moreover it is clearly described in the second sentence of paragraph 4 (1) of the implementing law as 92. It seems, therefore, that the requirement a requirement supplementary to work in which a Member State will be entitled to conjunction on a 'normal' basis. include in that connection in its legislation is that the national lawyer is to be responsible for proving that the lawyer providing 97. Finally, the requirement that work in services fulfils the necessary conditions and conjunction should be proved for each step has the requisite qualifications to practise in taken places the lawyer providing services in his country in courts of a corresponding a strait-jacket: it completely nullifies his level, and for proving due compliance with independence, preventing him from taking the rules of professional conduct. any valid steps in his own right within the limits of work in conjunction, negates the responsibility attached to him by his rules of

93. That responsibility will, at most, be of a professional conduct and makes it wholly disciplinary nature. impossible for the proof of work in conjunction to be provided before he begins to act and to remain valid until withdrawn. 94. The assumption of such responsibility does not appear to require the imposition of 98. In a word, it seems clear that any the conditions with which the Commission's responsibility attaching to the German action is concerned, at least as regards the lawyer regarding work in conjunction with first three allegations. the provider of services could be ensured by less restrictives methods than those provided

95. Indeed, in the case of the first alle for in the German legislation. gation, it must be considered — the view taken by the Commission — that the obli 99. What in fact happened was that, from gation for a client to appoint two represen the extensive arsenal of weapons of tatives is an additional burden resulting in deterrence designed to provide protection an obstacle to the freedom to provide against ignorance of national law, the services which goes beyond the need to German legislation went straight for the work in conjunction. The choice of such a nuclear weapon when conventional weapons basis for cooperation between lawyers must would have sufficed. not therefore be imposed, but should be left to be agreed upon by the various parties (client and lawyers). Moreover, the text of 100. The position regarding the matter of the directive contains nothing which is contact with persons held in custody seems conducive to the appoach adopted in the to me to be different. German legislation; on the contrary, in so far as mention is made only of working in conjunction 'with a lawyer who practises 101. Here, compelling reasons relating to before the judicial authority in question', a the public interest — and in particular to contrary conclusion must be drawn. matters of security — may justify the impo sition, for visits to and correspondence with persons held in custody, of work in

96. Likewise, the requirement of the conjunction of the kind provided for in the constant physical presence of the German implementing law, allowing the German

OPINION OF MR DA CRUZ VILAÇA — CASE 427/85

lawyer to oversee those activities closely and gericht and the Bundesgerichtshof), and to assume responsibility accordingly. before the Familiengerichte in matters of family law. 102. However, in my opinion, that does not mean that the provision in question is 106. The Commission considers that, by entirely proof against the Commission's virtue of Article 5 of the directive, lawyers' allegation. It imposes the conditions to freedom to provide services cannot be which I have referred indiscriminately, restricted to explanations in the oral phase whereas it should limit them to cases where of the procedure, by delegation from the they are required by the public interest, and lawyer admitted to appear before the court in particular for the purpose of ensuring in question.

public security. Those cases could, for example, be defined by reference to the legal classification of the offences involved. 107. The Commission's allegation appears to be inspired by the Webb judgment in which, after pointing out that the principal C — The application by analogy of paragraph aim of the third paragraph of Article 60 of 52 (2) of the Bundesrechtsanwaltsordnung the Treaty is to enable the provider of the (territoriality of the right to practise before service to pursue his activities in the judicial authorities) Member State where the service is provided without suffering discrimination in favour of

103. According to the Commission, by the nationals of that State, the Court providing for the analogous application of observes that that principle of non-discrimi paragraph 52 (2) of the Bundesrechtsan nation does not, however, mean 'that all waltsordnung, paragraph 4 (3) of the national legislation applicable to nationals of implementing law lays down the condition that State and usually applied to the that, in cases for which German law permanent activities of undertakings estab requires a client to be represented by a lished therein may be similarly applied in its lawyer admitted to practise before the entirety to the temporary activities of under judicial authority in question, the lawyer takings which are established in other providing services is merely entitled to Member States' (paragraph 16). submit observations during the oral phase of the procedure, by delegation from a German lawyer admitted to appear before 108. Bearing that in mind, the Commission that authority. considers that lawyers providing services should be placed on the same footing as a German lawyer admitted to appear before

104. That, it is said, is the result of the the court before which they intend to combined provisions of subparagraphs (1) discharge their duties, without prejudice to and (2) of paragraph 52. the work in conjunction provided for in Article 5 of the directive. 105. That limitation, which is rather more burdensome than the procedure for working in conjunction laid down in paragraph 4 (1) 109. The Commission seeks to show that and (2) of the implementing law, is said ulti lawyers providing services would not mately to apply, pursuant to paragraph 78 thereby enjoy the same privileged position (1) of the German Code of Civil Procedure, as their German colleagues. to the great majority of civil cases, namely all those heard by any Landgericht and the 110. In the first place, the position of the courts superior thereto (the Oberlandesge lawyer providing services is not the same as richte, the Bayerische Oberstes Landes that of the German lawyer.

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111. The centre of the German lawyer's the courts and to facilitate the rapid and professional activity is the place where he is proper conduct of proceedings. In view of established in Germany and the fact of his that principle and by virtue of paragraph 71 being admitted to appear before at least one (1) of the Code of Civil Procedure, a of the courts in his locality reflects in German lawyer cannot be an authorized general the requirements of his professional representative in civil proceedings unless he practice and of his clients; by contrast, a is admitted to practise before the court lawyer going to the Federal Republic of where they are to be heard; if he wishes to Germany to provide a service is in a participate in the proceedings, he must then different position, by virtue of the fact that abide by the division of powers provided for he has no establishment in that country and in paragraph 52 (2) of the Bundesrechtsan­ is not admitted to practise before any of its waltsordnung. In those circumstances, courts. paragraph 4 (3) of the implementing law merely represents the application to lawyers providing services of the same conditions as 112. Furthermore, the services are of a those to which German lawyers are subject, different nature precisely because they are and it does not therefore constitute an provided by a lawyer who operates in his infringement of Community law. On the own country, in his own chambers. other hand, if the lawyer providing services were to be placed in the same position as a lawyer admitted to practise before the 113. Finally, the Commission maintains that judicial authority in question, it would be the interest in ensuring the proper adminis­ the German lawyers who would be placed at tration of justice does not justify the limi­ a considerable disadvantage by comparison tation laid down by the German legislation. with their colleagues from other Member In that connection, it refers to the practice States. In that connection, the German so far adopted and to the forecasts which Government cites the particularly striking may reasonably be made regarding the example of the Bundesgerichtshof, before extent to which services will in future be which only 22 specialized German lawyers provided by lawyers in other Member are admitted to practise — their right to act States. It also mentions the fact that a in legal proceedings as an authorized lawyer providing services must elect an representative would be extended outright address for service at the chambers of a to all lawyers from the other Member German lawyer whenever he participates in States. legal proceedings, and concludes that the link between the court and the lawyer, which is necessary for the proper conduct of 115. It seems to me that, having regard to the proceedings, is thereby sufficiently the present state of development of ensured. To make doubly sure, a rule could Community law, the Commission's be adopted that the address for service complaint in this respect should not be would without fail have to be the chambers upheld. of a German lawyer admitted to practise before the judicial authority in question.

116. As the Court held in its judgment in 10 114. For its part, the German Government Klopp of 12 July 1984, 'in the absence of states that the principle of allowing lawyers specific Community rules in the matter each to practise only in specified localities was Member State is free to regulate the exercise introduced in the interests of the proper of the legal profession in its territory'. administration of justice, being designed to foster communication between lawyers and 10 —Case 107/83 [1984] ECR 2971, paragraph 17.

OPINION OF MR DA CRUZ VILAÇA — CASE 427/85

117. In the same judgment (paragraph 20) it 122. In this case, therefore, the legislation is also stated that 'In view of the special applies indiscriminately to German nationals nature of the legal profession ... the second and to the nationals of other Member States Member State must have the right, in the and 'its provisions and objectives do not interests of the due administration of justice, permit the conclusion that it was adopted to require that lawyers enrolled at a Bar in for discriminatory purposes or that it its territory should practise in such a way as produces discriminatory effects'. 11

to maintain sufficient contact with their clients and the judicial authorities and abide 123. Moreover, if they exercise their right of by the rules of the profession'. establishment in Germany, lawyers from other Member States will be entitled to be admitted to practise before a German court; they will then be governed by the same 118. It is true that those statements referred conditions as their German colleagues, and to a case concerning the right of estab­ be subject to exactly the same restrictions. lishment. Furthermore — and here I follow the Commission's line of argument — they would escape those restrictions if, instead of establishing themselves, they confined them­ selves to providing services from time to 119. The principles laid down are, however, time. This would then bring about a capable of transposition to the field of situation of the kind which, according to freedom to provide services, where the rule the Court's judgment of 3 December 1974 corresponding to that contained in 12 in Van Binsbergen, could be lawfully paragraph 52 (2) is the principle of equality avoided by the application of rules of treatment or of non-discrimination applicable to all people established within embodied in the third paragraph of Article 60 of the Treaty. the territory of the Member States where the service was provided.

124. In addition, if it were the case that the Community already constituted a single 120. But the requirements laid down in judicial area, the establishment of a principle national legislation must not prevent the of localization at Community level would nationals of other Member States from not necessarily leave lawyers in a worse effectively exercising the right of estab­ situation than that in which lawyers lishment guaranteed them by the Treaty providing services now find themselves (Klopp, end of paragraph 20). (although in such circumstances it would not be possible to speak of the provision of services in the Community sense).

121. In the case of lawyers established in 125. The Commission conceded, in its reply, other Member States, they can exercise their that it would be conceivable to exclude from freedom to provide services on the same its criticism the situation with regard to the terms as any German lawyer who is not Bundesgerichtshof. However, there does not admitted to practise before the court in appear to be any sufficiently convincing question. The parallel is particularly striking justification for applying two different by virtue of the fact that Germany is a criteria in that way. federal State where lawyers move about in order to pursue their activities before courts 11 — Judgment of 12 February 1987 in Case 221/85 Commission in different Länder. v Belgium [1987] ECR 719, paragraph II. 12 — Case 33/74 [1974] ECR 1299, paragraph 12.

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V — Conclusion

126. Accordingly, I propose that the Court should declare that the Federal Republic of Germany has failed to fulfil its obligations under Articles 59 and 60 of the Treaty and Council Directive No 77 / 249 / EEC of 22 March 1977 to facilitate the effective exercise by lawyers of freedom to provide services, in so far as it:

(a) Obliges a laywer from another Member State who, by way of provision of services, pursues in the Federal Republic of Germany activities relating to the representation and defence of a client in legal proceedings to act in conjunction with a German lawyer in those cases in which German law does not make representation by a lawyer mandatory;

(b) Requires that the German lawyer in conjunction with whom the lawyer providing services is to work should be the authorized representative or defending counsel in the proceedings;

(c) Prohibits the lawyer providing services from taking part in the oral proceedings or in a criminal trial unless he is accompanied by the German lawyer;

(d) Requires that the work in conjunction should be proved in relation to every step taken, failing which the step in question is considered null and void;

(e) In all circumstances, and not only when compelling reasons of public interest so justify, prohibits the lawyer providing services from visiting a person held in custody unless he is accompanied by the German lawyer and from corre­ sponding with a person held in custody otherwise than through that lawyer.

127. In other respects, the application must be dismissed.

128. Since the Federal Republic of Germany has failed in the majority of its submissions, I consider that it should pay all the costs.

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