🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

UK can unilaterally reverse Brexit, EU's top court told

Published 27/11/2018, 09:18
© Reuters. FILE PHOTO: Anti-Brexit demonstrators wave flags outside the Houses of Parliament in London

By Michael Holden

LUXEMBOURG (Reuters) - Britain can unilaterally reverse its decision to leave the European Union, Europe's top court was told on Tuesday at an urgent hearing in a case supporters of membership hope could pave the way to a second referendum and ultimately stop Brexit.

Lawyers for a group of Scottish politicians want the European Court of Justice (ECJ) to interpret whether Britain can revoke its notice to withdraw from the EU under Article 50 of the Lisbon Treaty without agreement of the other 27 states.

Britain is due to exit the world's biggest trading bloc on March 29 but it remains unclear whether British Prime Minister Theresa May's draft divorce deal agreed with the EU on Sunday will be passed by parliament on Dec. 11.

Aidan O'Neill, lawyer for the Scottish politicians told a hearing of a full court of Luxembourg justices who have expedited the case because of its urgency, said all parties agreed that Article 50 could be revoked.

However, he said the European Commission and Council of the European Union argued that it could only be done with the unanimous agreement of the other 27 EU states.

The British government has fought to stop the ECJ even hearing the case, saying it is hypothetical and irrelevant because ministers have no intention of reversing Brexit. May has also consistently ruled out a second referendum.

"The petitioners' case is that it's fundamental to the treaties and values of the European Union that a member state can revoke a withdrawal notice from the European Union without agreement of all other council states," O'Neill said.

O'Neill told the court those behind the case needed to know what their options were before imminent legislative votes.

May has warned if her deal is not passed by UK lawmakers, Britain could leave without a deal or that there could be no Brexit at all.

That latter statement has given added significance to the outcome of Tuesday's case at the ECJ - whose supremacy over UK legal matters May has cited as one reason to leave the EU.

If the ECJ concludes Britain can unilaterally reverse Brexit, it could give British lawmakers (MPs) a third viable option as an alternative to May's deal or what ministers describe as a chaotic no deal scenario - staying in the bloc after another referendum.

Article 50 states that if a state decides to withdraw, it has two years to agree an exit deal with the remaining 27 EU members, although this process can be extended if the European Council unanimously agrees.

There is no mention of whether a state can change its mind. No other member state has ever left the 60-year-old bloc.

Joanna Cherry, a Scottish National Party lawmaker who is one of the group behind the case, said May was trying to blackmail lawmakers into backing her deal by implying the only alternative was no deal.

© Reuters. FILE PHOTO: Anti-Brexit demonstrators wave flags outside the Houses of Parliament in London

It is not clear when the ECJ will give its ruling but Cherry was optimistic it would come before British lawmakers vote on the deal.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.