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When a dispute raises complex questions about EU law especially when issues are related with

citizen’s rights, the Court refers the Court of Justice of European Union to make a ruling on the
best resolution. The CJEU binds both parties using the arbitrators while making the judgement.
The decision made during the arbitration process is legally binding and is to be complied with by
both sides. In arbitration dispute resolution, the court has given the winning party to go back to
the arbitrators if they are unsatisfied with what the losing party has done in compliance with the
ruling.
If the court realises that the winning party presentation over losing party failure to comply, the
losing party may be required to pay a penalty or a lump sum. The seriousness of non-compliance
must be considered by arbitrators as a matter underlying under breach of obligation and the
duration of non-compliance when deciding the financial penalty.
The losing party who fails to pay the penalty after one month from confirmation of non-
compliance or refuses to comply with the ruling after six months from the date of ruling, further
sanctions are imposed against the losing party. Upon sanctions, the winning party may withdraw
part of the obligations using withdrawal agreement provided the citizens part is not suspended or
parts that are under other treaties agreed between the two sides.

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