Business Law: EU Institutions, Law Making and Member State Control

This essay critically examines the statement that member states have relinquished control by joining the European Union, focusing on the institutions and law-making processes within the EU. The paper begins by introducing the EU as a unified trade bloc and discusses its objectives, including the elimination of border controls and the promotion of technology and development. The essay then delves into the historical evolution of the EU, from a free trade area to a multinational entity, highlighting its economic and political influence. It outlines the primary and secondary sources of EU law, including treaties, general principles, and legislation, and discusses the roles of key institutions such as the European Parliament, the Council, and the European Commission. The essay explores the impact of EU law on member states, the creation of harmony between countries, and the advantages and disadvantages of EU membership, including increased trade opportunities and potential security concerns. It also analyses the importance of the three vital institutions, the Commission, the Parliament and the Council, in producing policies through the Ordinary Legislative procedure and the reasons for member states to join the EU. The essay concludes by summarizing the key arguments and providing an overview of the complex interplay between EU law and member state sovereignty.

Running head: BUSINESS LAW
BUSINESS LAW
Name of the Student
Name of the University
Author Note

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Introduction
The European Union is considered to be a unified trade which consists of a monetary
body of several countries who act as the members of the Union. It tries to eliminate all kinds of
border controls between various members. This is considered to permit free flow of the goods
along with other people, which would exclude random spot checks for any kind of crimes and
drugs. The EU is considered to transmit the state of the art technologies for the members of the
Union. The areas, which are considered to benefit from such, are considered to be the
environmental protection along with the research and development and energy.
This particular paper discusses the purpose and the objectives of the European Union and
tries to critically evaluate such with the help of institutions and other law making in the European
Union with regard to a statement. In conclusion, it summarizes the points that have been
discussed in the paper.
Discussion
The European Union is considered to be a conclusion of a long process which is
considered to be inclusive of various political and economic integration among the various
European States. The EU is considered to start as some kind of a free trade area along with that
of a customs union. However, with time, it has started becoming a multinational entity, which is
considered to be similar to a federal state. The European Union is considered to create more
prominent economic block where the nations are able to hold some kind of influence at the
global stage. This is through several small nations, which would join for some economic
purpose, and for such there would be more influence, which might be applied on both the global
as well as the local levels. The larger number of economic blocks are considered to form better

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opportunities for the import as well as export and for such there needs to be better pricing of the
goods and other free trade opportunities, which are considered to benefit the European countries.
The main objective and the function of the EU law is to create unification where the law
would be same for all the countries and one law would be governing the nations who are
considered to be member states. This is considered to be rare and technical. It also tries to
harmonize which helps in creating flexibility for various member states. Such also provides with
common standards, which are considered to be for baseline protections. The EU also tries to
provide with co-ordination and cooperation of drafting several policies and tries to figure out the
areas where there is an absence of any competency. However, the sources are considered to
provide with primary legislation, which would be through treaties or through general principles
of the EU law. It can also be through secondary legislation along with the international treaties
that are considered to be concluded by that of the EU. It also provides with the decisions of
CJEU.
According to the author Kugler, and Yeşilada, it has been stated that the treaties, which
are considered to be a source of law and are considered to be primary legislations are ratified and
sanctioned by all the nations who are members of the EU. It takes superiority or preference over
other laws and tries to create and form different institutions and set various guidelines. The
treaties are made through negotiation and intergovernmental conference. The representatives
who are authorized draft it and a signature is essential which would act as formal acceptance but
such is not considered to be legally binding. Following such process the treaty is considered to
be ratified by the member countries where the countries would give consent to be bound and
governed by the treaty. The treaties can be changed or altered if there are minor changes, which
do not confer any new powers to the EU, and such is to be decided in unanimous way, which

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would be by the European Council after various consultation process with the Parliament and the
Commission, and it needs to be ratified. If there are any other changes or modifications then such
are done through a new treaty which is established through Convention and an IGC. However, it
has also been stated that the institutions have the authority to make several laws, which would be
considered to be a secondary legislation.
The relevant treaties, which had laid the groundwork for the EU, were
 Treaty on the Functioning of the EU, which is known as the Treaty of Rome 1958.
 Treaty of Maastricht 1993).
There were several treaties, which were considered to be amended which included the
following treaties
 Single European Act 1987,
 Treaty of Nice 2002,
 Treaty of Lisbon 2009, Treaty,
 Treaty of Amsterdam 1999,
 Accession Treaties 1972, 1979, 1985, 1994,2003,2005, 2011,
 Treaty of Maastricht 1993.
According to the author Dawson, it has been stated that the general principles of the EU law
is considered to be derived from the various constitutional principles from the member states and
other international treaties. It has also derived through several procedural or fundamental rights
and some of them are codified in the Charter of the Fundamental Rights. However, it has been
stated that the European Commission is considered to be responsible for various legislation by
proposing and drafting those. After such the European Parliament along with the Council of

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Ministers try to amend and modify the proposals and vote as to whether such proposals would
become EU law. The European Commission along with the National governments are considered
to be liable to supervise for the laws are being implemented properly. However, it has been
stated that the two popular forms of the EU legal act are considered to be directives and the
regulations. These are legally binding and are applicable to all the 28 member countries in the
EU1.
The official law making institutions of the EU are considered to be the European Parliament,
European Council, The Council, The European Commission, The Court of Justice of that of the
European Union, the European Central Bank and the Court of Auditors. These law-making
institutions try to protect the general interest of the Union and for such try to respond
appropriately. Such has been laid down in the Articles laid down in the Treaty of Maastricht,
which has been effective since 1993. The members are considered to be elected for a tenure of
five years in the European Parliament and such would be through direct universal suffrage,
which would be free from various secret ballot.
According to the author Kugler, and Yeşilada, it has been stated that the European Parliament
is considered to jointly exercise their legislative as well as budgetary functions along with the
Council and such would provide with functions for political control and other consultation
process, which are considered to be laid down in the treaties. However, it has been stated that,
the court of justice were considered to enforce the laws made by the European Parliament and
interpret it which helps in resolving any kind of disputes2.
1 Dawson M, 'The Legal And Political Accountability Structure Of ‘Post‐Crisis’ EU Economic Governance' (2015)
53 JCMS: Journal of Common Market Studies.
2 Kugler J, A FisunoğluB Yeşilada, 'Consequences Of Reversing The European Union Integration' (2013) 11
Foreign Policy Analysis.

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According to the author Boccacchini, it has been stated that the EU is considered to create
harmony between the countries who are a part of the continent. It has also helped in modernizing
the countries. The local environments are considered to be improved through the formation of
EU. Due to its creation, there have been an increase in the job opportunities among the countries.
Apart from such, there is an existence of the international security. However, it has also been
stated that due to the formation of the EU, there have been fewer borders restrictions and
therefore, the amount of vehicular attacks or other terrorist activities have increased3.
According to the author Boccacchini, it has been stated that the European Union is
considered to have its own legal order and such would be separate and distinct from the
international law and therefore, it forms an integral part of the legal systems for the member
countries. The legal order is considered to be founded on its own sources of law. Due to the
diverse and varied nature of the sources, it can be understood that a hierarchy is established
among such. The major or the primary legislation is considered to be at the top and are
represented through various treaties or conventions and several other legal principles. These are
considered to be followed by various international agreements, which have been settled and
determined by the Union. The Union also follows the secondary legislation, which are
considered to be founded by the treaties or the conventions. However, it has been stated that, the
European Union has no power or authority to pass laws. The treaties along with the various
general principles are considered to be a part of the primary legislation and these were into force
through the Lisbon Treaty where similar values were given to the Charter of Fundamental
Rights. These international agreements were considered to be concluded upon by the European
Union and they were subordinate to that of the primary legislation. The secondary legislation
3Dawson M, 'The Legal And Political Accountability Structure Of ‘Post‐Crisis’ EU Economic Governance' (2015)
53 JCMS: Journal of Common Market Studies

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were considered to be valid only if such were considered to be consistent with several acts along
with the agreements which were considered to have superiority over it4.
According to the authors Kugler and Yeşilada, it has been stated that the three vital
institutions are considered to produce the policies which are through Ordinary Legislative
procedure that can be applied in the European Union. However, it has also been stated that the
Commission is considered to propose various new laws and regulations for the Parliament along
with the Council to adopt them. It is also ensured by the Commission that these laws or
regulations are properly implemented and then applied5.
According to the authors Genschel and Jachtenfuchs, it has been stated that there have
been various other institutions that are considered to play an important role in the Court of
Justice of that of the EU and such is considered to uphold the rule of the European law. The
author also states that the Court of Auditors are considered to check or review the financing of
that of the EU’s activities. However, it has been stated that the powers and other responsibilities
of the institutions are considered to be laid down through the treaties as these are considered to
be the foundation of the European Union through which they govern the member countries
According to the authors Genschel and Jachtenfuchs, it has been stated that the reason for
the member countries to join EU are due to the fact that the countries achieve some kind of
stability or any institutions which would guarantee the democracy along with the rule of law and
human rights which helps in respecting and protecting the rights of the minorities. It also helps in
providing a functioning of market economy and helps in coping with the pressure due to
competition between countries who have joined forces with the Union. The membership
4 Boccaccini L and others, 'Objectives And Status Of Eurofusion DEMO Blanket Studies' (2016) 109-111 Fusion
Engineering and Design
5 Kugler J, A FisunoğluB Yeşilada, 'Consequences Of Reversing The European Union Integration' (2013) 11
Foreign Policy Analysis

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presumes the ability of the candidate to take on various kinds of obligations for the membership,
which would be including the observance to several aims relating to political, monetary and
economic union. However, it has also been stated that due to increased opportunities and free
trade facility the countries are more inclined towards joining the European Union as it opens up a
vast door of possibilities from which the countries would benefit individually.
According to the authors Genschel and Jachtenfuchs, it has been stated that the countries
are being more inclined to join EU and give up control because EU is a platform, which provides
benefits to the countries and helps them enjoy free flow of trade and make them connected to the
world. It provides with opportunities and helps in giving recognition to small countries. Similar
laws and regulations govern them, which tries to provide uniformity among the countries. It
creates harmony among them and helps them in increasing their scope around the globe6.
Conclusion
Therefore, it can be concluded form the above discussion that, the EU is considered to
provide with a wide range of possibilities for the member countries who are associated with it.
There have been various law making institutions, which have been set, up which caters to the
needs of the member countries and try to provide protection to those nations. It also provides
with treaties and conventions, which are responsible for making regulations and such, are
considered to be providing with a legislation, which would be considered to be primary form of
legislation. However, the enforcement power of the regulations are considered to be weak and
limited but these are considered to be enforced by various member states or the countries who
are associated with it. Therefore, in conclusion, it is considered that the EU is a monetary body
6 Genschel PM Jachtenfuchs, 'More Integration, Less Federation: The European Integration Of Core State Powers'
(2015) 23 Journal of European Public Policy

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or a unified trade body, which comprises of various member countries. It helps in permitting the
free flow of various goods and benefits the countries with several forms of research and
development along with energy. The main objective or the intention is considered to be
competitive at the global marketplace and it consists of or comprises of independent fiscal and
other political members. Therefore, the members are considered to join EU since it gets a wide
range of opportunities and such benefits the nation and helps them grow.

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References
Boccaccini L and others, 'Objectives And Status Of Eurofusion DEMO Blanket Studies' (2016)
109-111 Fusion Engineering and Design.
Dawson M, 'The Legal And Political Accountability Structure Of ‘Post‐Crisis’ EU Economic
Governance' (2015) 53 JCMS: Journal of Common Market Studies.
Genschel PM Jachtenfuchs, 'More Integration, Less Federation: The European Integration Of
Core State Powers' (2015) 23 Journal of European Public Policy.
Kugler J, A FisunoğluB Yeşilada, 'Consequences Of Reversing The European Union Integration'
(2013) 11 Foreign Policy Analysis.