The issue in this case was the Merchant Shipping Act 1988, which provided that 75% of shareholders in companies operating fishing boats in UK waters had to be British. Spain argued that this was contrary to the Treaty of Rome. It would take two years to get a ruling. Spanish boat owners asked the English courts to suspend the 1988 Act until the issue had been decided. The House of Lords referred the matter to the European Court of Justice which decided that EU law must take priority over domestic (national) law, even where there may be a conflict. The case was referred back to the House of Lords, which was obliged to suspend the relevant part of the 1988 Act.
The importance of Factortame (1991) is thus that ir shows that, if the British Parliament passes a new law which arguably conflicts with European Law, the British courts have power in some cases to grant a temporary injunction to prevent the UK authorities from enforcing that UK law while the matter is being sorted out.
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