Bolkestein promises action over Loi Evin

Date: 09/03/2000

By Peter Chapman

Single market chief Frits Bolkestein vowed this week to pursue the European Commission's long-running investigation into France's controversial Loi Evin, which bans alcohol advertisements at televised sports events.

But officials said it was too early to predict whether Paris would eventually be taken to the European Court of Justice over the rules, despite critics' claims that they unfairly target foreign drinks firms.

"This case is remaining open. Mr Bolkestein has no intention of quietly dropping it. He takes the matter very seriously and will be taking up the matter personally with the French authorities," said a spokesman for the Commissioner.

His comments followed speculation that the institution was on the brink of ending a five-year investigation into the legislation because the Commission's legal service believed a non-binding 'code of conduct' developed by the French authorities had mitigated the impact of the law on foreign drinks companies.

Before the code was introduced, firms were often asked to remove their adverts from hoardings at sports events outside France so that the organisers could still sell lucrative television rights to French channels. The code now allows French broadcasters to screen key events such as European Champions League soccer and the Rugby World Cup which carry pitch-side alcohol advertisements.

But Bolkestein believes it does not go far enough and that France is still infringing EU single-market rules. He is, however, keeping his options open as to how the matter should be resolved. "The objective is to find a resolution. If we think it will be more effective to raise the matter with the French authorities than to waste two more years in court, then that is in everyone's interests," said his spokesman.

One option would be to persuade Paris to change the law to state explicitly that foreign firms are exempt from its terms when they advertise outside French borders. Another could be to get the French government to strengthen the code of conduct.

However, industry critics of Loi Evin insist that the Commission must not take the latter approach, arguing that such codes are not recognised by courts and therefore offer no legal guarantees to firms.

"Bolkestein has to be commended for the interest he is showing in this case, but if he feels obliged to negotiate with the French, it should be on the right basis. It should be about finding a solution that is compatible with European law," said Chris Scott Wilson, a Brussels-based legal advisor to EU drinks companies.

Wilson added that the only way to make the Loi Evin meet Union rules would be for Paris to amend it. If France refused, he said the Commission should press head with legal action in the ECJ.

Single Market chief Frits Bolkestein has vowed to pursue the European Commission's long-running investigation into France's controversial Loi Evin, which bans alcohol advertisements at televised sports events.