The EU just got a new legal weapon against governments that undermine its values. Europe’s top court ruled today that Hungary’s anti-LGBTQI+ law breaches Article 2, the founding values clause, for the first time ever. Nine days after Orbán’s electoral defeat, it falls to his successor Péter Magyar to comply and unlock €500m in frozen EU funds.
The Court of Justice of the European Union delivered its judgment today. It comes more than four years after the European Commission launched infringement proceedings against Budapest. Sitting as a full court of all 27 judges, a formation reserved for cases of exceptional importance, it found Hungary in breach of EU law on multiple counts. Sixteen member states and the European Parliament backed the Commission’s case.
The law at issue was officially presented as a measure against paedophilia. In practice, it bundled in sweeping restrictions on LGBTQI+ content in education, media, and advertising. The court found it violated internal market rules, fundamental rights, and, crucially, Article 2 of the Treaty on European Union as a standalone provision. That last finding is unprecedented. “Words heard, action must follow,” the Commission said after the ruling.
Magyar’s first test
Article 2 of the Treaty on European Union lists the values every member state must uphold: human dignity, freedom, democracy, equality, and the rule of law. Until today, no court had ever found a country in breach of it as a standalone legal basis. The ruling sets a precedent that goes far beyond Hungary. “Hungary cannot use national identity to justify legislation that contravenes fundamental values,” the court stated, describing the law as “manifest and particularly severe.”
Around €500m in EU funds remain frozen as a direct result of Hungary’s non-compliance. They form part of a broader €17bn that Brussels has withheld over years of democratic backsliding. To unlock them, the Magyar government must meet 27 reform benchmarks covering the judiciary and anti-corruption. It must also repeal or substantially amend the 2021 law.
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The law had a troubled birth. Opposition politicians boycotted the final vote after a last-minute amendment targeting LGBTQI+ people was bundled into an anti-paedophilia bill. Budapest’s Pride march was banned in 2025 under the same legislation. Today’s ruling undermines the legal basis for that ban. Magyar has already signalled a cooperative approach with Brussels. Von der Leyen called him on election night and he met Commission officials on 15 April.
The bigger picture
The ruling also revives a question that has haunted Brussels for years. The Article 7 procedure against Hungary, the EU’s political mechanism for value breaches, has been deadlocked since 2018. Today’s judgment gives it new legal grounding. “This is the first time the court has found such a violation of the EU’s founding values,” Commission spokesperson Paula Pinho said on Tuesday.
This is the first time the court has found such a violation of the EU’s founding values.
—Paula Pinho, European Commission chief spokesperson
Magyar’s government takes office in May. It inherits a country that owes the EU compliance, €17bn in frozen funds, and a banned Pride march. Whether Budapest becomes a test case for EU values enforcement or a story of democratic recovery now depends on what happens next.
