Germany’s attempted challenge to the latest Tobacco Advertising Directive (“Directive”) has failed (C-380/03). The Directive regulates advertising in the form of printed press, radio and events sponsorship in respect of tobacco products. Germany’s argument that the basis for adopting the Directive was to harmonise public health provisions and not aid the internal market was dismissed. The European Court of Justice ruled that the measures laid down by the Directive are designed to eliminate obstacles to the free movement of goods or services resulting from Member States’ national laws whilst ensuring a high level of public health protection. This decision is supported by case law confirming that Community legislature cannot be prevented from relying on free movement as a legal basis on the ground that public health is a decisive factor. The Court took the view that, given the current inconsistencies in national laws and the likelihood of these inconsistencies increasing following the accession of new States, any measure to aid the functioning of the internal market was justified.