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One can derive the appearance of Schengen area from the demand to eliminate the obstacles interfering with the movement of goods, persons, services and capital in the territory of European Union Member States. The principle of the free movement of goods, services and capital was realized, but the realization of the fourth freedom – principle of the free movement of persons which namely is the basis for appearance of Schengen area aroused the most discussion as that was related with the national security of the states. In 1985 the agreement signed in Schengen regarding gradual removal of checks at common borders was more of a declarative character, as neither specific process nor legal mechanism for the realization of the agreement aims was created. After the decision to realize the strive to refuse the control of persons crossing common borders and ease the movement of transport and goods expressed in the Agreement in 1990 the Agreement was supplemented by Schengen Convention. In 1997 by the Treaty of Amsterdam Schengen acquis was incorporated in the European Community legal system.
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