Judgment No. 2877
1. The impugned decision and the earlier decision CA/D 2/06 of 26 October 2006 are set aside to the extent that the new specimen contract provides with respect to the pensions of Vice-Presidents who previously served in the EPO.
2. All other claims are dismissed.
In their capacity as staff representatives, the complainants challenged the Administrative Council's decision to introduce a new specimen contract for Vice-Presidents without prior consultation with the General Advisory Committee. The Tribunal held that to the extent that the new specimen contract introduced provisions with respect to the pensions of Vice-Presidents who previously served in the European Patent Office it should have been referred to the General Advisory Committee.
"It is trite law that "where a final decision refuses, to a staff member's detriment, to follow a favourable recommendation of the internal appeal body such decision must be fully and adequately motivated" (see Judgment 2339, under 5). It is equally well established that if reasons are required, the reasons must be sufficiently clear, precise and intelligible so that a complainant knows why the appeal has been rejected and he is in a position to assess whether a complaint should be filed with the Tribunal."
ILOAT Judgment(s): 2339
decision; duty to substantiate decision; organisation's duties; duty to inform; staff member's interest; judicial review; right
"On the substantive issues raised before the Appeals Committee, as the Administrative Council rejected the only recommendation favourable to the complainants, it was only obliged to give reasons on this point. However, on the question of costs, the Appeals Committee recommended the payment of compensation for the assistance provided by Professor K. H. The Council did not deal with this recommendation. The Organisation argues that rejecting the appeal on the substance meant also rejecting the recommendation as to costs. This argument is dismissed. The Organisation's position is premised on an award of costs to the successful party always following the event. While this is the usual outcome, it is not always the case. In the appropriate circumstances, there is no legal principle that automatically precludes an award of costs to an unsuccessful party. Accordingly, the Council also had to give reasons for not accepting the Appeals Committee's recommendation on this point."
decision; duty to substantiate decision; internal appeals body; internal appeal; recommendation; counsel
"In Judgment 2875, [...] which raises the same issue in substance as the present case, the Tribunal held that, to the extent that the specimen contract introduced provisions with respect to the pensions of Vice-Presidents who previously served in the European Patent Office, it should have been referred to the [General Advisory Committee]. Although the complainants in this case have not based their arguments on the Pension Scheme Regulations, the rulings in considerations 6 to 10 of that judgment are equally applicable to their complaints."
ILOAT Judgment(s): 2875
advisory body; organisation's duties; staff member's interest; staff regulations and rules; amendment to the rules; pension; pension entitlements; consultation