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What is direct effect? Explain its limitations and discuss what measures were taken to correct those limitations.

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According to ordinary international law principles, treaties are only binding on the states which are party to the agreement. Therefore, a law student may be forgiven for assuming that the authors of the EC Treaty intended that directives bind MS as to outcome, requiring implementation in national law by the national legislature. Nevertheless, the ECJ has been able to divine a more surprising intention. That directives might have direct effect was first recognised in Van Duyn 1  as otherwise the effectiveness of EU law would be undermined. Later cases ( Ratti 2 ) have also adopted an estoppel argument, reasoning that the state should not be able to rely on its failure to implement a directive (or implement it correctly) as a reason for its breach of EU law. The limits to directives are that unlike regulations, they might only have direct effect after the date of implementation has passed and only in vertical situations i.e. against MS, not individuals ( Faccini Dori 3 ). Yet the Court