Reina v. Landeskreditbank Baden-Wurttemberg (Germany)
FACTS: German state had a system of interest free loans provided by a state bank to parents to cover childbirth expenses. Only couples with at least one German spouse were eligible.
-Policy: to promote German population growth and reduce voluntary abortions.
-P had twins (Italian), sued to obtain loan.
ISSUE : Was the interest free loan system in which only Germans were eligible void under TFEU
45?
HOLDING: The court has no powers in the field of demographic policy, and the member states are permitted, in principal, to pursue their achievement of the objectives in such a policy, even by means of social measures. However, the childbirth loans here are not considered as falling outside the scope of the rules of Community law because they are rooted in the demographic policy.
FACTS: German state had a system of interest free loans provided by a state bank to parents to cover childbirth expenses. Only couples with at least one German spouse were eligible.
-Policy: to promote German population growth and reduce voluntary abortions.
-P had twins (Italian), sued to obtain loan.
ISSUE : Was the interest free loan system in which only Germans were eligible void under TFEU
45?
HOLDING: The court has no powers in the field of demographic policy, and the member states are permitted, in principal, to pursue their achievement of the objectives in such a policy, even by means of social measures. However, the childbirth loans here are not considered as falling outside the scope of the rules of Community law because they are rooted in the demographic policy.
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