The Court of Justice of the JEU judgment and the ‘return of vehicles’ provision in the Mobility Package

On 4 October 2024 the Court of Justice of the European Union handed down its judgment in Joined Cases C-541/20 to C-555/20, Lithuania and Others v Parliament and Council, which concern the EU Mobility Package.

This judgment broadly confirms the Mobility Package, but annuls the obligation requiring vehicles to return every eight weeks to the operational centre of the transport undertaking.

The court argues that Parliament and the Council had not established that they had sufficient information at their disposal when the measure was adopted to enable them to assess its proportionality. This is a procedural argument, rather than an argument against the measure itself.

The ‘return of vehicles’ provision was a core element of the Mobility Package, and an important tool to combat unfair competition by preventing the proliferation of letterbox companies in the road transport sector.

Question for written answer to the Commission submitted by Johan Danielsson (S&D), Estelle Ceulemans (S&D):

1. What action is the Commission envisaging in order to address the situation arising from the annulment of the ‘return of vehicles’ provision?
2. Has the Commission considered conducting a study on the practical effects and benefits of this measure between the date of its application and the date of its annulment?
3. What avenues are there for reinstating this measure or a similar one?

Answer given by Mr Tzitzikostas on behalf of the European Commission:

1. The decision of the Court of Justice of the European Union of 4 October 2024 (1) declaring void the provision on the return of the vehicle (2) holds direct effect within the EU legal order. In accordance with Article 264 of the Treaty on the Functioning of the European Union, the provision is therefore to be considered void without any action needed from the Commission.
2. and 3. As indicated in the reply to written question P-002375/2024, the provision was not part of the Commission’s proposal. At the time of adoption, the Commission made a declaration (3) noting that the obligation of return of the truck would lead to inefficiencies in the transport system and an increase in unnecessary emissions, pollution, and congestion. These potential inefficiencies were confirmed by the study assessing the expected impacts of this obligation published in February 2021 (4).

At this point the Commission does not see any need for legislative action to reinstate the provisions. The Commission will continue working together with the Member States on the implementation of the Mobility Package I to ensure a well-functioning internal market, fair competitive conditions for all players involved and improved social conditions for drivers. In this regard, the Commission will remain attentive as to any negative impact that the annulment of the provision on the return of the vehicle might have, especially on the working conditions of drivers and take any appropriate action.

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