Administrative and judicial review of EU supervisory decisions in the banking sector
After the financial and economic crisis, the EU institutions have been granted supervisory powers in the banking sector. Supervisory authorities enjoy a wide discretion in carrying out their tasks. In this context, establishing independent administrative bodies of review may be a useful tool to control supervisory decisions and to protect the interests of stakeholders. Supervisory measures are subject to judicial review, to protect the stakeholders’ rights. However, courts cannot substitute their own discretion for that of the legislator or administrative authority. In case an EU institution fails to comply with their supervisory duties, it becomes responsible for any damages caused to third parties. According to case-law, non-contractual liability is recognised in a restrictive way in relation to acts which imply complex economic analysis.