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The New Services Directive of the European Union – Hopes and Expectations from the Angle of a (Further) Completion of the Internal Market - National Report for Croatia

Croatian national rapporteurs maintain that the Services Directive will have a positive impact on the enforcement of EC free movement of services rules in Croatia. The above analysis has shown that Croatian judiciary is, at this point, not equipped or ready to embrace the intensity of judicial scrutiny typical for the ECJ (e.g. Gebhard test). For this reason, when it comes to the application of Community law, the emphasis should be on the regulatory and not judicial power, while the Constitutional Court should play an important role here. The fact that the Services Directive has, to a major extent, codified the ECJ’ s jurisprudence helps a lot in Croatian case. It forces Croatian regulatory authorities to implement the Directive the best they can, which is much more concrete and easier than following ECJ’ s case-law. It can therefore be ascertained that the Services Directive is expected to enhance enforcement at national level in Croatia. As stated previously, Croatian national rapporteurs believe that, in addition to amendments to sectoral acts, it would be advantageous to have a horizontal measure that would amend the existing procedural rules. Here, the expected amendments to the Law on Administrative Disputes and the Law on General Administrative Procedure are welcome. Finally, the fact that one has to assume that the freedom to provide services, as a fundamental right, is part of entrepreneurial freedom protected by Art. 50 of Croatian Constitution and that, thus, its restrictions can be justified by reasons listed in Art. 16 and Art. 50, does not answer the question as to the applicability of these justifications to only indistinctly or also distinctly applicable measures. It would be contrary to Community law for the Constitutional Court to claim that the protection of the environment (listed in Art. 50 of the Constitution) could justify distinctly applicable measures.

Services, Free Movement, European Union, Directive

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