Judicial Exceptions to the Free Provision of Services

Abstract: Recent case-law of the Court of Justice on general interest exceptions to the free provision of services has indicated a flexible approach to general interest exceptions involving moral or ethical issues. In contrast, where the general interest exception is relied on in a case which demonstrates predominantly economic issues, it is subject to strict scrutiny, in particular, with reference to the principle of proportionality. The article analyses the Court's case-law and tries to deduce the criteria which now govern the Court's position. It also highlights difficulties which this two-tier approach may excite. The position of the Court of Justice reflects the lack of homogeneous European ethical and moral standards, but it also underlines the predominantly economic character of European integration to date. It is submitted, nevertheless, that divorcing the economic criteria for integration from general ethical considerations will prove an extremely difficult, if not fruitless, task.