The Court was asked to check if it was legal to ask companies from other Member States (in order to be allowed to provide security services in Spain) to 1° always be constituted as legal persons; 2° have a specific share capital, without taking into account the fact that those companies are not subject to the same obligations in the country of establishment ; 3° lodge security at the Caja General de Depósitos, without taking into account any payment of security in the Member State of origin ; 4° employ a minimum number of staff.Besides, the Court had to say if the Spanish provision that requires staff of a foreign private security company to obtain fresh specific authorisation in Spain is compatible with the European rules, given that this authorisation has already been obtained in the Member State of establishment of that company.
Spain is ordered to modify its regulations involving private security activities
For the Cour of Justice, Spain has failed to fulfil its obligations (regarding art. 43 of the Treaty which guarantees freedom of establishment, and art. 49 which relates to freedom to provide services) by maintaining provisions on private security services which impose a series of requirements on foreign private security companies for the pursuit of their activities in Spain. (Ref. 0682)
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