European Commission (EC) Reports "Several" EU-Based "Persons and Companies" With Libertad Act Title III Engagement. Iberostar Of Spain Waiting 528 Days For EC Guidance
/REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL relating to Article 7(a) of Council Regulation (EC) No 2271/96 (‘Blocking Statute’) (3 September 2021)
Excerpts:
3. OVERVIEW OF NOTIFICATIONS UNDER ARTICLE 2 OF THE BLOCKING STATUTE
The Commission has received a majority of notifications from companies engaged in international trade or banking activities. It has also received a number of notifications from individuals and other entities, like associations, diplomatic missions, and business federations. In total, between 1 August 2018 and 1 March 2021 the Commission received 63 notifications: 35 related to US sanctions against Cuba; and 28 related to US sanctions against Iran.
3.4. Administrative and judicial proceedings in the United States In total, 28 notifying parties informed the Commission or the relevant national competent authority about litigation before a US judicial authority or proceedings before a US administrative authority. Most of these notifications concern the application of Title III of the Helms-Burton Act which covers ‘trafficking’ in property expropriated by the Cuban government. While actions taken under Title III exclusively affect EU companies, Title IV proceedings target individuals.
Litigation related to the application of Title III of the Helms-Burton Act (Cuba)
Several EU persons and companies reported that they received a notice of intent to start an action before US courts under Title III of the Helms-Burton Act.
These notices were sent by US persons or companies claiming that EU companies had engaged in ‘trafficking’ of expropriated properties in Cuba. They generally inform the EU company that legal action will be initiated unless the recipient of the notice immediately ‘ceases to traffic’ in the property. The Commission was also notified of the start of formal proceedings before US courts.
In this regard, courts in the US on two occasions accepted to stay the proceedings while the EU defendant requests authorisation from the Commission. The Commission is currently assessing an application for authorisation in such a case.
Administrative proceedings in the United States under Title IV of the Helms-Burton Act (Cuba)
A few individuals reported that the US Department of State had informed them of the start of, or the intention to initiate, proceedings under Title IV of the Helms-Burton Act. Title IV allows the US Department of State to deny entry to US territory to any foreign natural person and their families whom the Department of State recognises as having ‘trafficked’ in confiscated property in Cuba claimed by US nationals. The individuals targeted are managers or high-level employees of companies accused of ‘trafficking’ in confiscated US properties. The Commission is also aware that certain EU citizens and their families have been barred from entering the US on these grounds.
Descriptions Of Council Of The European Union (EU) & European Parliament
“The Council of the EU represents the member states' governments. Informally also known as the EU Council, it is where national ministers from each EU country meet to adopt laws and coordinate policies.
1. Negotiates and adopts EU laws. The Council is an essential EU decision-maker. It negotiates and adopts legislative acts in most cases together with the European Parliament through the ordinary legislative procedure, also known as 'codecision'. Codecision is used for policy areas where the EU has exclusive or shared competence with the member states. In these cases, the Council legislates on the basis of proposals submitted by the European Commission.
2. Coordinates member states' policies. The Council is responsible for coordinating member states' policies in specific fields, such as: economic and fiscal policies: The Council coordinates member states' economic and fiscal policies to strengthen economic governance in the EU, monitors their budgetary policies and strengthens the EU's fiscal framework, and also deals with the legal and practical aspects of the euro, financial markets and capital movements; education, culture, youth and sport: The Council adopts EU policy frameworks and work plans in these areas which set out the priorities for cooperation between member states and the Commission; employment policy: The Council draws up annual guidelines and recommendations for member states, based on European Council conclusions on the EU employment situation.
3. Develops the EU's common foreign and security policy. The Council defines and implements EU foreign and security policy on the basis of guidelines set by the European Council. This also includes the EU's development and humanitarian aid, defence and trade. Together with the High Representative of the Union for Foreign Affairs and Security Policy, the Council ensures the unity, consistency and effectiveness of the EU's external action.
4. Concludes international agreements. The Council provides the mandate to the Commission to negotiate on behalf of the EU agreements between the EU and non-EU countries and international organisations. At the end of negotiations, the Council decides on the signature and conclusion of the agreement, based on a proposal from the Commission. The Council also adopts the final decision to conclude the agreement, once the Parliament has given its consent (required in areas subject to co-decision) and it has been ratified by all EU member states. These agreements may cover broad areas, such as trade, cooperation and development, or they may deal with specific subjects such as textiles, fisheries, customs, transport, science and technology, etc.
5. Adopts the EU budget. The Council adopts the EU budget together with the Parliament. The budget period covers a calendar year. It is usually adopted in December and starts running on 1 January the following year.”
European Parliament
“The European Parliament is an important forum for political debate and decision-making at the EU level. The Members of the European Parliament are directly elected by voters in all Member States to represent people’s interests with regard to EU law-making and to make sure other EU institutions are working democratically. The Parliament acts as a co-legislator, sharing with the Council the power to adopt and amend legislative proposals and to decide on the EU budget. It also supervises the work of the Commission and other EU bodies and cooperates with national parliaments of EU countries to get their input. See how it all works here.”
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