Home » EU sues Hungary over sovereignty protection law amid growing tensions

EU sues Hungary over sovereignty protection law amid growing tensions

The European Commission (EC) has filed a lawsuit against Hungary at the EU Court of Justice, claiming that Hungary’s controversial “Sovereignty Protection” law violates EU law. 

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The European Commission (EC) has filed a lawsuit against Hungary at the EU Court of Justice, claiming that Hungary’s controversial “Sovereignty Protection” law violates EU law. 

The lawsuit, announced Thursday, accuses the law of undermining core EU principles, marking the latest chapter in a long-running clash between Brussels and Budapest over democratic values and the rule of law.

“Today, the European Commission decided to refer Hungary (INFR(2024)2001) to the Court of Justice because it considers its national law on the ‘Defence of Sovereignty’ to be in breach of EU law,” the EC said in a statement. The law, which established an “Office for the Defence of Sovereignty,” is designed to investigate entities accused of acting in the interest of foreign states or organizations—particularly those receiving foreign funding and allegedly influencing elections or public opinion in Hungary.

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The EC’s legal challenge follows months of back-and-forth between Brussels and Budapest. In February 2024, the Commission sent a formal notice to Hungary expressing its concerns, but Hungary’s response failed to satisfy the EU. By May 2024, the EC issued a reasoned opinion, reiterating that the law violates the EU Charter of Fundamental Rights, as well as Internal Market and Data Protection regulations. Hungary defended its legislation, arguing that the law does not infringe on EU law, but Brussels remained unconvinced.

“After carefully assessing the reply of the Hungarian authorities, the Commission maintains most of the grievances identified, which have still not been addressed,” the EC’s statement concluded.

This lawsuit is part of a broader dispute between Hungary and the EU, which has been increasingly critical of Hungary’s trajectory under Prime Minister Viktor Orban, particularly regarding democratic backsliding and ties with Russia. Hungary’s refusal to align with the EU’s common foreign policy, exemplified by Orban’s visit to Moscow on the fifth day of Hungary’s EU presidency in July, has further inflamed tensions. 

The legal action also comes against the backdrop of the EU withholding substantial portions of Hungary’s common budget due to alleged violations of EU law, underscoring the high stakes in this escalating standoff. The outcome of the lawsuit could have significant implications for Hungary’s place within the European Union.

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