Appeals – Economic and monetary policy – Stability support programme for the Republic of Cyprus – Restructuring of Cypriot debt – Decision of the Governing Council of the European Central Bank (ECB) relating to emergency liquidity assistance following a request from the Central Bank of the Republic of Cyprus – Euro Group statements of 25 March, 12 April, 13 May and 13 September 2013 – Decision 2013/236/EU – Memorandum of understanding on specific economic policy conditionality concluded between the Republic of Cyprus and the European Stability Mechanism (ESM) – Right to property – Principle of the protection of legitimate expectations – Equal treatment – Non-contractual liability of the European Union.

• Jurisdiction: European Union
• Celex Number: 62018CJ0597
• ECLI: ECLI:EU:C:2020:1028
• Date: 16 December 2020
• Docket Number: C-597/18,C-598/18,C-604/18
• Court: Court of Justice (European Union)

JUDGMENT OF THE COURT (Grand Chamber)

16 December 2020 (*)

Table of contents

Legal context

Protocol No 14

The ESM Treaty

The resolution of the European Council of 13 December 1997

Decision 2013/236

The Euro Group statement of 25 March 2013

Cypriot law

Background to the dispute

Procedure before the General Court and the judgments under appeal

Procedure and forms of order sought before the Court of Justice

Cases C 597/18 P and C598/18 P

Cases C 603/18 P and C604/18 P

The request seeking the reopening of the oral part of the procedure

The Council’s appeals in Cases C 597/18 P and C598/18 P

Arguments of the parties

Findings of the Court

The Council’s cross-appeals in Cases C 603/18 P and C604/18 P

Arguments of the parties

Findings of the Court

The appellants’ appeals in Cases C 603/18 P and C604/18 P

First ground of appeal

Arguments of the parties

Findings of the Court

Second, third and fourth grounds of appeal

Arguments of the parties

Findings of the Court

Fifth ground of appeal

Arguments of the parties

Findings of the Court

Sixth ground of appeal

Arguments of the parties

Findings of the Court

Seventh ground of appeal

Arguments of the parties

Findings of the Court

Eighth ground of appeal

Arguments of the parties

Findings of the Court

The actions before the General Court

Costs

(Appeals – Economic and monetary policy – Stability support programme for the Republic of Cyprus – Restructuring of Cypriot debt – Decision of the Governing Council of the European Central Bank (ECB) relating to emergency liquidity assistance following a request from the Central Bank of the Republic of Cyprus – Euro Group statements of 25 March, 12 April, 13 May and 13 September 2013 – Decision 2013/236/EU – Memorandum of understanding on specific economic policy conditionality concluded between the Republic of Cyprus and the European Stability Mechanism (ESM) – Right to property – Principle of the protection of legitimate expectations – Equal treatment – Non-contractual liability of the European Union)

In Joined Cases C‑597/18 P, C‑598/18 P, C‑603/18 P and C‑604/18 P,

FOUR APPEALS under Article 56 of the Statute of the Court of Justice of the European Union, brought on 21 September 2018 (Cases C‑597/18 P and C‑598/18 P) and 24 September 2018 (Cases C‑603/18 P and C‑604/18 P),

Council of the European Union, represented by A. de Gregorio Merino, I. Gurov and E. Chatziioakeimidou, acting as Agents,

appellant (C‑597/18 P),

supported by:

Republic of Finland, represented by S. Hartikainen and J. Heliskoski, acting as Agents,

intervener in the appeal (C‑597/18 P),

the other parties to the proceedings being:

Dr. K. Chrysostomides & Co. LLC, established in Nicosia (Cyprus),

Agroton plc, established in Nicosia,

Joanna Andreou, residing in Kato Pyrgos (Cyprus),

Kyriaki Andreou, residing in Kato Pyrgos,

Bundeena Holding plc, established in Nicosia,

Henrietta Jindra Burton, residing in London (United Kingdom),

C & O Service & Investment Ltd, established in Nicosia,

C.G. Christofides Industrial Ltd, established in Nicosia,

Phidias Christodoulou, residing in Nicosia,

Georgia Phanou-Christodoulou, residing in Nicosia,

Christakis Christofides, represented by his executor,

Theano Chrysafi, residing in Nicosia,

Andreas Chrysafis, residing in Nicosia,

Dionysios Chrysostomides, residing in Nicosia,

Eleni K. Chrysostomides, residing in Nicosia,

Eleni D. Chrysostomides, residing in Nicosia,

D & C Construction and Development Ltd, established in Nicosia,

Chrystalla Dekatris, residing in Nicosia,

Constantinos Dekatris, residing in Nicosia,

Dr. K. Chrysostomides and Co., established in Nicosia,

Emily Dragoumi, residing in Nicosia,

Parthenopi Dragoumi, residing in Nicosia,

James Droushiotis, residing in Nicosia,

Eastvale Finance Ltd, established in Nicosia,

Nicos Eliades, residing in Nicosia,

Tereza Eliades, residing in Nicosia,

Goodway Alliance Ltd, established in Nicosia,

Christos Hadjimarkos, residing in Johannesburg (South Africa),

Johnson Cyprus Employees Provident Fund, established in Nicosia,

Kalia Georgiou LLC, established in Limassol (Cyprus),

Komposit Ltd, established in Tortola (British Virgin Islands),

Platon M. Kyriakides, residing in Nicosia,

L.kcar Intermetal and Synthetic Ltd, established in Nicosia,

Lois Builders Ltd, established in Nicosia,

Athena Mavronicola-Droushiotis, residing in Nicosia,

Medialgeria Monitoring and Consultancy Ltd, established in Nicosia,

Neita International Inc., established in Mahé (Seychelles),

Sophia Nicolatos, residing in Limassol,

Paris & Barcelona Ltd, established in Tortola,

Louiza Patsiou, residing in Larnaca (Cyprus),

Probus Mare Marine Ltd, established in Nicosia,

Provident Fund of the Employees of Osel Ltd, established in Nicosia,

R.A.M. Oil Cyprus Ltd, established in Nicosia,

Steelway Alliance Ltd, established in Hong Kong (China),

Tameio Pronoias Prosopikou Genikon, established in Nicosia,

The Cyprus Phassouri Estates Ltd, established in Limassol,

The Prnses Ltd, established in Nicosia,

Christos Tsimon, residing in Nicosia,

Nafsika Tsimon, residing in Nicosia,

Unienergy Holdings Ltd, established in Nicosia,

Julia Justine Jane Woods, residing in Paphos (Cyprus),

represented by P. Tridimas, Barrister,

applicants at first instance (C‑597/18 P),

European Union, represented by the European Commission,

European Commission, represented by L. Flynn, J.-P. Keppenne and T. Maxian Rusche, acting as Agents,

European Central Bank (ECB), represented initially by M.O. Szablewska and K. Laurinavičius, acting as Agents, and H.-G. Kamann, Rechtsanwalt, and subsequently by K. Laurinavičius, G. Várhelyi and O. Heinz, acting as Agents, and H.-G. Kamann, Rechtsanwalt,

Euro Group, represented by the Council of the European Union,

defendants at first instance (C‑597/18 P),

Council of the European Union, represented by A. de Gregorio Merino, I. Gurov and E. Chatziioakeimidou, acting as Agents,

appellant (C‑598/18 P),

supported by:

Republic of Finland, represented by S. Hartikainen and J. Heliskoski, acting as Agents,

intervener in the appeal (C‑598/18 P),

the other parties to the proceedings being:

Eleni Pavlikka Bourdouvali, residing in Meneou (Cyprus),

Georgios Bourdouvalis, residing in Meneou,

Nikolina Bourdouvali, residing in Meneou,

Coal Energy Trading Ltd, established in Road Town (British Virgin Islands),

Christos Christofi, residing in Larnaca,

Elisavet Christofi, residing in Larnaca,

Athanasia Chrysostomou, residing in Paphos,

Sofoklis Chrysostomou, residing in Paphos,

Clearlining Ltd, established in Road Town,

Alan Dimant, residing in Herzelia (Israel),

Dodoni Ependyseis Chartofylakou Dimosia Etaireia Ltd, established in Nicosia,

Dtek Holdings Ltd, established in Nicosia,

Dtek Trading Ltd, established in Nicosia,

Elma Holdings pcl, established in Nicosia,

Elma Properties & Investments pcl, established in Nicosia,

Agrippinoulla Fragkoudi, residing in Nicosia,

Dimitrios Fragkoudis, residing in Nicosia,

Frontal Investments Ltd, established in Limassol,

Costas Gavrielides, residing in Mammari (Cyprus),

Eleni Harou, residing in Nea Penteli (Greece),

Theodora Hasapopoullou, residing in Nicosia,

Gladys Iasonos, residing in Larnaca,

Georgios Iasonos, residing in Larnaca,

Jupiter Portfolio Investments pcl, established in Nicosia,

George Karkousi, residing in Canterbury (Australia),

Lend & Seaserve Ltd, established in Road Town,

Liberty Life Insurance pcl, established in Nicosia,

Michail P. Michailidis Ltd, established in Nicosia,

Michalakis Michaelides, residing in Nicosia,

Rena Michael Michaelidou, residing in Nicosia,

Akis Micromatis, residing in Nicosia,

Erginos Micromatis, residing in Nicosia,

Harinos Micromatis, residing in Nicosia,

Alvinos Micromatis, residing in Nicosia,

Plotinos Micromatis, residing in Nicosia,

Nertera Investments Ltd, established in Nicosia,

Andros Nicolaides, residing in Nicosia,

Melina Nicolaides, residing in Nicosia,

Ero Nicolaidou, residing in Nicosia,

Aris Panagiotopoulos, residing in Nea Penteli,

Nikolitsa Panagiotopoulou, residing in Nea Penteli,

Lambros Panayiotides, residing in Nicosia,

Ersi Papaefthymiou, residing in Larnaca,

Kostas Papaefthymiou, residing in Larnaca,

Restful Time Co., established in Wilmington (United States),

Alexandros Rodopoulos, residing in Athens (Greece),

Seatec Marine Services Ltd, established in Limassol,

Sofoklis Chrisostomou & Yioí Ltd, established in Paphos,

Marinos C. Soteriou, residing in Nicosia,

Sparotin Ltd, established in Nicosia,

Miranda Tanou, residing in Nicosia,

Myria Tanou, residing in Nicosia,

represented by P. Tridimas, Barrister, and K. Chrysostomides, dikigoros,

applicants at first instance (C‑598/18 P),

European Union, represented by the European Commission,

European Commission, represented by L. Flynn, J.-P. Keppenne and T. Maxian Rusche, acting as Agents,

European Central Bank (ECB), represented by M.O. Szablewska and K. Laurinavičius, acting as Agents, and H.-G. Kamann, Rechtsanwalt,

Euro Group, represented by the Council of the European Union,

defendants at first instance (C‑598/18 P),

Dr. K. Chrysostomides & Co. LLC, established in Nicosia,

Agroton plc, established in Nicosia,

Joanna Andreou, residing in Kato Pyrgos,

Kyriaki Andreou, residing in Kato Pyrgos,

Henrietta Jindra Burton, residing in London,

C & O Service & Investment Ltd, established in Nicosia,

C.G. Christofides Industrial Ltd, established in Nicosia,

Christakis Christofides, represented by his executor,

Theano Chrysafi, residing in Nicosia,

Andreas Chrysafis, residing in Nicosia,

Dionysios Chrysostomides, residing in Nicosia,

Eleni K. Chrysostomides, residing in Nicosia,

Eleni D. Chrysostomides, residing in Nicosia,

D & C Construction and Development Ltd, established in Nicosia,

Chrystalla Dekatris, residing in Nicosia,

Constantinos Dekatris, residing in Nicosia,

Dr. K....