The General Court (“GC”) annulled the Commission’s decision approving the state aid paid to the Danish incumbent railway company Danske Statsbaner (“DSB”) between 2004 and 2008 under public service contracts. The GC held that the Commission had erred in law in assessing the aid under Regulation 1370/2007 on public passenger transport services by rail and road. According to the GC, the Commission should have assessed the aid under the predecessor of the above-mentioned Regulation, that is, Regulation 1191/69. The GC considered that a distinction must be made in relation to applicable substantive state aid rules regarding aid which has been notified but not paid and the aid which has been paid without being notified. The GC stated that since the aid in question had been paid without giving notice to the Commission, the applicable rules are those in force at the time when the aid was paid and not those in force at the time of the Commission’s decision. Further, the GC pointed out that there was no provision in Regulation 1370/2007 which would confer a retroactive effect on it. Therefore, the GC held that the Commission’s decision must be overruled as a result of error in law. Source: Case T 92/11 - Jørgen Andersen v European Commission, judgment of 20/3/2013