State aid procedures: Developments since the entry into force of the procedural regulation

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Series Details Vol.44, No.4, August 2007, p965–1033
Publication Date August 2007
ISSN 0165-0750
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Publishers Abstract:
On Apr 16, 1999, Council Regulation 659/1999 laying down detailed rules for the application of Article 93 [now 88] of the EC Treaty entered into force (the "procedural Regulation"). For the first time in 40 years of State aid policy the procedural rules for the conduct of State aid investigations, as developed through the case law of the Court of Justice and the Commission's practice, were codified. Now, eight years later, the time has come for an evaluation of the first experiences with the procedural Regulation. It should be noted from the outset that the case law of the Court of Justice is still limited, given the time gap of two to three years between the entry into force of the procedural Regulation and the first judgments on cases in which it was applicable. This article will follow to a large extent the structure of the procedural Regulation, which provides for four different procedures, depending on the type of aid involved: notified aid, unlawful aid, misuse of aid, and existing aid.

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