Ratification of The Choice of Court Agreements Convention

(Many thanks to François Mailhé, Associate Professor Paris 2, Panthéon-Assas, for the tip)

Last Friday (10.10.2014) the EU Justice Ministers approved a decision ratifying the Choice of Court Agreements Convention, 2005 (the Convention has been signed by the US, 19.1.2009, and by the EU, 1.4.2009; and ratified by Mexico, 26.9.2007). For those who are not familiar with it: The Convention is aimed at ensuring the effectiveness of choice of court agreements (“forum selection clauses”) between parties to international commercial transactions. By doing so, the Convention provides greater certainty to businesses engaging in cross-border activities and therefore creates a legal environment more amenable to international trade and investment. In practice, ratifying the Convention will ensure that EU companies have more legal certainty when doing business with firms outside the EU: they will be able to trust that their choice of court to deal with a dispute will be respected by the courts of the countries that have ratified the Convention, and that the judgment given by the chosen court will be recognised and enforced in the countries which apply it.

Next steps: Following approval by Member States, the consent of the European Parliament will be asked. Once it gives its accord, the decision will be finally adopted by the Council and enter into force in the European Union.

Comments on this entry are closed.

  • Maciej Lewandowski October 14, 2014, 7:09 am

    The EU Council asked for the European Parliament consent already in September (see doc. 13241/14 in the EU Council registry of documents). EP Legal Affairs committee considered the draft report on its 13th of October meeting.

  • Marta Requejo October 14, 2014, 7:14 am

    Thanks for this quick reply, Maciej. Funny that The Hague Conference has not updated the website with this piece of news . Maybe you could provide us with the link to the document? Would be great!

    Marta

  • Giacomo Pailli October 14, 2014, 1:34 pm

    …..and eventually this Convention will enter into force!
    I wrote my very first article on this convention and was wondering if it would ever enter into force.

    Well, this appears to be a very good news for the business community: it means that choice of court agreements between EU and Mexico will be safer…..

  • Maciej Lewandowski October 15, 2014, 10:05 am
  • Geert van Calster October 16, 2014, 4:40 pm

    I am not so sure this is a welcome development all-round. See my earleir analysis on http://wp.me/p289fR-gb . Geert.