The court’s judgment, highly anticipated in European capitals and financial markets, will settle whether Chancellor Angela Merkel’s government breached the German people’s property rights in agreeing to the initial bailout of Greece in 2010.
The court also is due to rule on whether the German government should have asked the country’s parliament before taking part in the bailouts of Ireland and Portugal, as well as on the legality of the European Central Bank’s purchases of government bonds.
Legal analysts say the court is unlikely to rule that aid for euro-zone partners is unconstitutional, but that the judges could make future loan packages for euro countries subject to approval by Germany’s lower house of parliament, the Bundestag.
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(WSJ) Germany Top Court's Judgment on Bailouts Looms
The court’s judgment, highly anticipated in European capitals and financial markets, will settle whether Chancellor Angela Merkel’s government breached the German people’s property rights in agreeing to the initial bailout of Greece in 2010.
The court also is due to rule on whether the German government should have asked the country’s parliament before taking part in the bailouts of Ireland and Portugal, as well as on the legality of the European Central Bank’s purchases of government bonds.
Legal analysts say the court is unlikely to rule that aid for euro-zone partners is unconstitutional, but that the judges could make future loan packages for euro countries subject to approval by Germany’s lower house of parliament, the Bundestag.
Read it all.