11957E008

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ARTICLE 8

1 . THE COMMON MARKET SHALL BE PROGRESSIVELY ESTABLISHED DURING A TRANSITIONAL PERIOD OF TWELVE YEARS .

THIS TRANSITIONAL PERIOD SHALL BE DIVIDED INTO THREE STAGES OF FOUR YEARS EACH ; THE LENGTH OF EACH STAGE MAY BE ALTERED IN ACCORDANCE WITH THE PROVISIONS SET OUT BELOW .

2 . TO EACH STAGE THERE SHALL BE ASSIGNED A SET OF ACTIONS TO BE INITIATED AND CARRIED THROUGH CONCURRENTLY .

3 . TRANSITION FROM THE FIRST TO THE SECOND STAGE SHALL BE CONDITIONAL UPON A FINDING THAT THE OBJECTIVES SPECIFICALLY LAID DOWN IN THIS TREATY FOR THE FIRST STAGE HAVE IN FACT BEEN ATTAINED IN SUBSTANCE AND THAT , SUBJECT TO THE EXCEPTIONS AND PROCEDURES PROVIDED FOR IN THIS TREATY , THE OBLIGATIONS HAVE BEEN FULFILLED .

THIS FINDING SHALL BE MADE AT THE END OF THE FOURTH YEAR BY THE COUNCIL , ACTING UNANIMOUSLY ON A REPORT FROM THE COMMISSION . MEMBER STATE MAY NOT , HOWEVER , PREVENT UNANIMITY BY RELYING UPON THE NON-FULFILMENT OF ITS OWN OBLIGATIONS . FAILING UNANIMITY , THE FIRST STAGE SHALL AUTOMATICALLY BE EXTENDED FOR ONE YEAR .

AT THE END OF THE FIFTH YEAR , THE COUNCIL SHALL MAKE ITS FINDING UNDER THE SAME CONDITIONS . FAILING UNANIMITY , THE FIRST STAGE SHALL AUTOMATICALLY BE EXTENDED FOR A FURTHER YEAR .

AT THE END OF THE SIXTH YEAR , THE COUNCIL SHALL MAKE ITS FINDING , ACTING BY A QUALIFIED MAJORITY ON A REPORT FROM THE COMMISSION .

4 . WITHIN ONE MONTH OF THE LAST-MENTIONED VOTE ANY MEMBER STATE WHICH VOTED WITH THE MINORITY OR , IF THE REQUIRED MAJORITY WAS NOT OBTAINED , ANY MEMBER STATE SHALL BE ENTITLED TO CALL UPON THE COUNCIL TO APPOINT AN ARBITRATION BOARD WHOSE DECISION SHALL BE BINDING UPON ALL MEMBER STATES AND UPON THE INSTITUTIONS OF THE COMMUNITY . THE ARBITRATION BOARD SHALL CONSIST OF THREE MEMBERS APPOINTED BY THE COUNCIL ACTING UNANIMOUSLY ON A PROPOSAL FROM THE COMMISSION .

IF THE COUNCIL HAS NOT APPOINTED THE MEMBERS OF THE ARBITRATION BOARD WITHIN ONE MONTH OF BEING CALLED UPON TO DO SO , THEY SHALL BE APPOINTED BY THE COURT OF JUSTICE WITHIN A FURTHER PERIOD OF ONE MONTH .

THE ARBITRATION BOARD SHALL ELECT ITS OWN CHAIRMAN .

THE BOARD SHALL MAKE ITS AWARD WITHIN SIX MONTHS OF THE DATE OF THE COUNCIL VOTE REFERRED TO IN THE LAST SUBPARAGRAPH OF PARAGRAPH 3 .

5 . THE SECOND AND THIRD STAGES MAY NOT BE EXTENDED OR CURTAILED EXCEPT BY A DECISION OF THE COUNCIL , ACTING UNANIMOUSLY ON A PROPOSAL FROM THE COMMISSION .

6 . NOTHING IN THE PRECEDING PARAGRAPHS SHALL CAUSE THE TRANSITIONAL PERIOD TO LAST MORE THAN FIFTEEN YEARS AFTER THE ENTRY INTO FORCE OF THIS TREATY .

7 . SAVE FOR THE EXCEPTIONS OR DEROGATIONS PROVIDED FOR IN THIS TREATY , THE EXPIRY OF THE TRANSITIONAL PERIOD SHALL CONSTITUTE THE LATEST DATE BY WHICH ALL THE RULES LAID DOWN MUST ENTER INTO FORCE AND ALL THE MEASURES REQUIRED FOR ESTABLISHING THE COMMON MARKET MUST BE IMPLEMENTED .