QUESTION 1

Most Central/East European countries ("PECOs") have close treatybased trading relations with the European Union (EU) and are moving at varying speeds towards even closer union via gradually increasing economic and political integration. Assume for purposes of this question that one of your country's.,, policy goals is to join the European Union (sooner or later). Assume further that, in connection with planning for the 1996 Intergovernmental Conference to modify the Maastricht Treaty on European Union, the Commission asks the government of your country to evaluate the EU from the perspective of a potential new member. (In other words, what changes would you want to see made in the EU if your country were to become a member?) You are requested to write an internal memorandum for the Foreign Minister of your country (i.e. one which will never be read by anyone from the EU itself) , in which you present criticisms and propose concrete changes in the EU that would be desirable from the perspective of a new member state.

QUESTION 2

Assume for the purposes of this question the following facts: The Council has passed a regulation (REG X) establishing the general procedures to be followed whenever any of the EU institutions enter into procurement contracts for the purchase of goods or services. REG X requires the procuring (i.e. purchasing) institution to announce any such opportunities by publishing a notice in the official Journal (OJ) , and to consider bids submitted by potential suppliers from throughout the Community on a non-discriminatory basis. The GATT (General Agreement on Tariffs and Trade) Procurement Code (GATT Code), an international agreement to which the European Community (EC) is bound, requires that public procurement contracts also be open on a non-discriminatory basis to potential suppliers from all other countries that are party to the GATT Code, and establishes certain minimum procedural requirements.

The Commission has passed its own regulation (REG Y) in order to elaborate in detail its procurement procedures. REG Y includes a provision that gives preference to bids submitted by women or by companies that are majority-owned by women, in order to "redress the historic imbalance of discrimination against women in commercial life."

In early October 1994 the Commission realized that its supply of toilet paper was running dangerously low. Accordingly, the Commission published a notice in the OJ inviting submission of bids to supply 2 tons of toilet paper before 31 October 1994. The Commission's notice stated that "only bids for toilet paper made from recycled fibers are eligible for consideration."

Your client, MakyVely Ltd. (MV), contacts you for advice about its legal position as a potential bidder in the tender to supply toilet paper to the Commission. MV is the Italian wholly-owned subsidiary of PECOCO (P), a paper manufacturer based in a Central/East European country that is, among other things, a party to the GATT Code. MV wants to submit a bid to the Commission, but is upset because it has practically no chance of being chosen as the toilet paper supplier. First, MV appears to be ineligible to participate in the tender, because its toilet paper is made from new and not from recycled fibers. In fact, only Denmark and Germany (within the EC) produce toilet paper from recycled fiber. Second, MV fears that it would not have a chance to get the contract anyway, because of the Commission's preference for female bidders. MV wants to know what rights (if any) it has and what remedies (if any) it should pursue. Advise MV.

QUESTION 3

Are either of the following (or should either of them be) directly effective in the courts of Member State A?  Give reasons to support each of your answers.

A. Regulation Z (REG Z) regarding the introduction of recording equipment into commercial vehicles engaged in traps-EC transportation of goods. (The purpose of this recording device is to monitor the driving time, in order to enforce rules harmonizing the working conditions of drivers and setting maximum working hours, and thus to prevent some drivers from gaining an unfair competitive advantage over other drivers by working more than the maximum permitted hours.) REG Z states that such equipment must be included in all such commercial vehicles by a certain date. REG 2 also states that "Member States shall (on or before that date) adopt such laws, regulations or administrative provisions as may be necessary for the implementation of this regulation. Such measures shall include the procedure for monitoring compliance and the penalties to be imposed in cases of breach." Assume that Member State A failed to implement REG Z by that date.

B. Directive 76/207 concerning equal treatment as regards access to employment. This directive implements Article 119 of the Treaty (re: equal pay); it broadly defines "employment discrimination" (which definition explicitly includes dismissal based on gender) and provides remedies for violation of the right to equal treatment (including reinstatement, i.e. the terminated employee gets her job back). Under the implementing legislation in Member State A, however, employers are permitted to dismiss pregnant women, subject to payment of a small severance indemnity. Could a pregnant teacher who lost her job in Member State A enforce the terms of Directive 76/207 in the courts of Member State A?