The European Commission decides to refer BULGARIA to the Court of Justice of the European Union for restrictions of the temporary provision of social services

Today, the European Commission decided to refer Bulgaria to the Court of Justice of the European Union for limiting the maximum duration of the provision of temporary cross-border social services such as consulting or advocacy services, community work, therapy and rehabilitation, skills training and care services, to six months per year.

The Bulgarian Law on Social Services violates Article 16 of the Services Directive 2006/123/EC and Articles 56 and 57 of the Treaty on the Functioning of the European Union.

Member States cannot fix a maximum duration for temporary services. The concept of temporary service provision is based on several different aspects such as duration, regularity, periodicity and continuity of services. Furthermore, Member States cannot require economic operators to set up a permanent establishment in their territory for services.

The Commission initially sent a first letter of formal notice in July 2019, followed by a reasoned opinion in July 2020. Bulgaria acknowledged the violation already in 2020 but has failed to act to ensure compliance with EU law since then, despite its commitments to pass legislation repealing the contested provision. As Bulgaria is still in breach of EU rules, the Commission has decided to refer the case to the Court of Justice of the European Union.

Background

Article 16 of Directive 2006/123/EC requires Member States to respect a company's right to provide services in a Member State other than that in which it is established. The Member State in which the service is provided shall ensure free access to and free exercise of a service activity within its territory.

The requirement in the Additional Provisions to the Law on Social Services to limit the period for the temporary provision of social services under the Bulgarian Law on Social Services to six months within a calendar year restricts the freedom to provide these services under Article 16 of Directive 2006/123/EC. It forces providers who wish to provide social services for longer than six months within one calendar year to establish themselves in Bulgaria, which constitutes a very serious restriction under the Services Directive.

For More Information

EU infringement procedure

Infringement decisions database

Link to the July 2024 infringement package

Infringement procedure Bulgaria (INFR(2019)2153)