Excerpts from:

TREATY ESTABLISHING THE EUROPEAN COMMUNITY

PARTONE, PRINCIPLES

Article 12

Within the scope of application of this Treaty, and without prejudice to any special provisionscontained therein, any discrimination on grounds of nationality shall be prohibited.The Council, acting in accordance with the procedure referred to in Article 251, may adopt rules designed to prohibit such discrimination.

PART TWO, CITIZENSHIP OF THE UNION

Article 17

1. Citizenship of the Union is hereby established. Every person holding the nationality of

a Member State shall be a citizen of the Union. Citizenship of the Union shall complement and notreplace national citizenship.

2. Citizens of the Union shall enjoy the rights conferred by this Treaty and shall be subject to

the duties imposed thereby.

Article 18

1. Every citizen of the Union shall have the right to move and reside freely within the territoryof the Member States, subject to the limitations and conditions laid down in this Treaty and by themeasures adopted to give it effect.

2. If action by the Community should prove necessary to attain this objective and this Treaty

has not provided the necessary powers, the Council may adopt provisions with a view to facilitatingthe exercise of the rights referred to in paragraph 1. The Council shall act in accordance with theprocedure referred to in Article 251.

3. Paragraph 2 shall not apply to provisions on passports, identity cards, residence permits orany other such document or to provisions on social security or social protection.

PART THREE, COMMUNITY POLICIES

TITLE III, FREE MOVEMENT OF PERSONS, SERVICES AND CAPITAL

CHAPTER 2, RIGHT OF ESTABLISHMENT

Article 43

Within the framework of the provisions set out below, restrictions on the freedom of establishmentof nationals of a Member State in the territory of another Member State shall be prohibited. Suchprohibition shall also apply to restrictions on the setting-up of agencies, branches or subsidiaries bynationals of any Member State established in the territory of any Member State.

Freedom of establishment shall include the right to take up and pursue activities as self-employedpersons and to set up and manage undertakings, in particular companies or firms within themeaning of the second paragraph of Article 48, under the conditions laid down for its ownnationals by the law of the country where such establishment is effected, subject to the provisionsof the Chapter relating to capital.

Article 48

Companies or firms formed in accordance with the law of a Member State and having their

registered office, central administration or principal place of business within the Community shall,for the purposes of this Chapter, be treated in the same way as natural persons who are nationalsof Member States.

‘Companies or firms’ means companies or firms constituted under civil or commercial law,including cooperative societies, and other legal persons governed by public or private law, savefor those which are non-profit-making.

CHAPTER 3, SERVICES

Article 49

Within the framework of the provisions set out below, restrictions on freedom to provide serviceswithin the Community shall be prohibited in respect of nationals of Member States who areestablished in a State of the Community other than that of the person for whom the services areintended.

The Council may, acting by a qualified majority on a proposal from the Commission, extend the

provisions of the Chapter to nationals of a third country who provide services and who areestablished within the Community.

TITLE IV, VISAS, ASYLUM, IMMIGRATION AND OTHER POLICIES RELATED TO FREE MOVEMENT OF PERSONS

Article61

In order to establish progressively an area of freedom, security and justice, the Council shall adopt:

(c) measures in the field of judicial cooperation in civil matters as provided for in Article 65;

Article 65

Measures in the field of judicial cooperation in civil matters having cross-border implications, to be taken in accordance with Article 67 and in so far as necessary for the proper functioning of the internal market, shall include:

(a)improving and simplifying:

the system for cross-border service of judicial and extrajudicial documents,

cooperation in the taking of evidence,

the recognition and enforcement of decisions in civil and commercial cases, including decisions in extrajudicial cases;

(b)promoting the compatibility of the rules applicable in the Member States concerning the conflict of laws and of jurisdiction;

(c)eliminating obstacles to the good functioning of civil proceedings, if necessary by promoting the compatibility of the rules on civil procedure applicable in the Member States.

Change under the Treaty of Lisbon (13 December 2007)

Article 2 no 66) Article 65 shall be replaced by the following Chapter 3 and Article 65:

CHAPTER 3

JUDICIAL COOPERATION IN CIVIL MATTERS

Article 65

1. The Union shall develop judicial cooperation in civil matters having cross-border implications, based on the principle of mutual recognition of judgments and of decisions in extrajudicial cases. Such cooperation may include the adoption of measures for the approximation of the laws and regulations of the Member States.

2. For the purposes of paragraph 1, the European Parliament and the Council, acting in accordance with the ordinary legislative procedure, shall adopt measures, particularly when necessary for the proper functioning of the internal market, aimed at ensuring:

(a) the mutual recognition and enforcement between Member States of judgments and of decisions in extrajudicial cases;

(b) the cross-border service of judicial and extrajudicial documents;

(c) the compatibility of the rules applicable in the Member States concerning conflict of laws and of jurisdiction;

(d) cooperation in the taking of evidence;

(e) effective access to justice;

(f) the elimination of obstacles to the proper functioning of civil proceedings, if necessary by promoting the compatibility of the rules on civil procedure applicable in the Member States;

(g) the development of alternative methods of dispute settlement;

(h) support for the training of the judiciary and judicial staff.

3. Notwithstanding paragraph 2, measures concerning family law with cross-border implications shall be established by the Council, acting in accordance with a special legislative procedure. The Council shall act unanimously after consulting the European Parliament.

The Council, on a proposal from the Commission, may adopt a decision determining those aspects of family law with cross-border implications which may be the subject of acts adopted by the ordinary legislative procedure. The Council shall act unanimously after consulting the European Parliament.

The proposal referred to in the second subparagraph shall be notified to the national Parliaments. If a national Parliament makes known its opposition within six months of the date of such notification, the decision shall not be adopted. In the absence of opposition, the Council may adopt the decision.’