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2004-a new legal system

Just one problem, this was no ordinary year in the history of Poland, let alone its legal system. The Treaty of Accession alone contains more than 5,000 pages of legal text. So my task is to summarise this, in addition to the Treaty Establishing the EU, not to mention all of the directives, regulations and decisions enacted by the various EU institutions that also have legal effect in Poland. I think I am doomed to fail, but here goes...

As of May 1, the legal system in Poland took a turn, by which the legislative, executive and judicial branches of government are now charged with enforcing not only Polish law, but also EU law. Polish citizens are now subject to two legal systems, and in many instances are now able to turn to a 'higher force', such as the European Court of Human Rights, if a Polish court is unable (or unwilling) to adjudicate his or her grievance.

In many instances, Poland is now required to implement EU laws verbatim as drafted, including regulations issued by the European Council, Parliament, Commission and even the European Central Bank. In other cases, Poland simply needs to amend existing laws or adopt new laws in order to implement EU directives. Despite their title, directives do not have a direct effect. In other words, Poland is only required to adopt the spirit of the directive, and not the exact legislation.

What changed?
EU law now has primacy (some would disagree with me) over Polish law with respect to establishing and preserving the internal market. This includes the free movement of goods, services, capital and workers, restrictions on the use of state aid in favor of domestic interests, the abolition of customs duties among member states, and any practice which prevents, restricts or distorts competition within the internal market, in addition to enforcing a common monetary policy (within the euro zone) and a common fisheries policy.

Additionally, the EU and Poland now share jurisdiction over matters involving consumer protection, transport, energy, agriculture, environment, social policy, security and justice. For the most part, the EU has established minimum standards in each of these areas; however, Poland is free to enhance such laws and provide for more protections, as long as such enhancements do not adversely affect the free flow of goods, services, capital and/or workers.

What hasn't changed yet?
Poland negotiated several transition periods by which it is permitted to maintain certain laws that would otherwise be in violation of EU regulations. These are often referred to as "derogation periods." For instance, contrary to article 18 of the Treaty Establishing the EU, which provides for the right of each EU citizen to live and move freely throughout the EU, Poland will maintain restrictions on the ability of EU nationals to purchase Polish farmland for a period of 12 years following accession, with the exception of those who at the time of EU accession had already operated a farm continuously in Poland for a period of three years. This three-year rule is extended to seven years with respect to areas of Poland having a historical connection to Germany, most notably in Pomerania and along the German border.

Other transition periods won by Poland include a delay in the implementation of all EU environmental regulations. For instance, EU directive 91/271 requires each member state to reduce the level of contaminants in urban waste water; however, Poland will not have to fully comply with this requirement until 2015.

Additionally, Poland won the right to continue to provide special tax exemptions to companies who have invested in its special economic zones, until either the end of 2010 or 2011, depending on the size of the company, even though such exemptions violate article 85 of the EU Treaty.

The EU, on the other hand, also bargained for and obtained key derogation periods from Poland regarding the movement of Polish workers, in contrast to article 39 of the EU Treaty, which provides for the "freedom of movement of workers to be secured within the Community." Specifically, each member state may restrict access to their labor markets by Polish nationals for up to two years, which may be further extended to seven years, depending on the level of unemployment in a given member state. Much to their credit, Ireland and the United Kingdom have not imposed any restrictions on Polish workers.

And finally, for those of you interested in purchasing a new flat or home in the near future, don't delay. The current rate of seven percent VAT on "the supply of services...for construction, renovation and alteration of housing" will jump to 22 percent at the beginning of 2008.

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