Under an EU regulation farmers were to be paid a premium for slaughtered cows so as to reduce milk surpluses created by subsidies.
The Italian government failed to pay a farmer within the required time limit and the case went to the ECJ on matters of the direct applicability of EC regulations into Italian law and thus whether they created rights available to individuals before the Italian courts.
It was also contended by the Italian treasury that the member state could modify the regulations by means of delaying payment.
Found in favour of the farmer, saying that:
Regulations create rights upon which individuals may bring actions before national courts.
National governments cannot modify regulations e.g. by time restraints, additional charges, etc.
Member states cannot invoke laws that contradict or alter EC regulations.
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