Judgment of the Court of Justice in Case C-112/05. Commission of the European Communities v Federal Republic of Germany

The Volkswagen Law restricts the free movement of capital.
By maintaining in force the provisions of the Volkswagen Law concerning the capping of voting rights at 20% and the fixing of the blocking minority at 20%, and the right of the Federal State and the Land of Lower Saxony each to appoint two representatives to the supervisory board, the Federal Republic of Germany has failed to fulfil its obligations.