Britain joins the 2019 Hague Convention – What does this mean for international civil and commercial disputes?
On January 12, 2024, the UK government signed the Hague Convention of July 2, 2019, on the Recognition and Enforcement of Foreign Judgments in Civil and Commercial Matters (the “Convention”).
The act establishes rules that facilitate the recognition and enforcement of civil and commercial judgments between states parties. The United Kingdom has already ratified the Convention, which will come into force on July 1, 2025. However, it is worth remembering that these provisions will only be applied from judgments issued after the entry into force of the Convention.
The legal situation of the UK before the signing of the Convention – What has changed after Brexit?
Before Brexit, until December 31, 2020, the UK was a party to EU Regulation 1215/2012 (Brussels I bis) and the Lugano Convention of December 21, 2007. These pieces of legislation regulated the recognition and enforcement of judgments in the EU and Iceland, Norway and Switzerland. After Brexit, these regimes ceased to apply, creating a gap in the enforcement of judgments.
In response to this situation, the UK rejoined the Hague Convention of June 30, 2005 on Choice of Court Agreements in its own right. This convention, like Brussels I bis, applies to civil and commercial disputes, but is limited to exclusive jurisdiction clauses. This has allowed the UK to maintain the enforceability of civil judgments of English courts arising from exclusive jurisdiction clauses in the EU, despite Brexit.
What are the implications of the UK’s accession to the Convention?
The UK’s accession to the 2019 Hague Convention will have positive consequences for both the British and the states parties to the Convention (including all EU member states, except Denmark, as well as Ukraine and Uruguay).
The key benefits of the UK’s accession to the Convention are:
- British entities will be able to recognize and enforce judgments of the courts of the European Union and other states parties to the Convention on their territory, without the need for additional procedures.
- Judgments of British courts will be recognized and enforced in the territories of countries that have adopted the Convention, also without the need for additional formalities.
Increased legal certainty, reduced litigation costs and simplified enforcement of judgments will translate into faster and more efficient resolution of cross-border disputes. It is also worth noting that accession to the Hague Convention supports the development of legal and commercial interests with the UK after Brexit.
Need more information? Get in touch with us!
Our law firm has experience in the field of recognition and enforcement of judgments abroad, so if you have specific questions about the Convention or other issues, we invite you to contact the specialists in our firm’s litigation department at: [email protected].