Two new resolutions by the Institut de Droit International

In its session in The Hague on 31 August 2019, the Institut de Droit International/Institute of International Law passed two highly relevant resolutions:

Firstly, the resolution on “Internet and the Infringement of Privacy” adopted by the 8th Commission (Rapporteurs: Erik Jayme and Symeon Symeonides) focuses on numerous yet unresolved issues of jurisdiction, applicable law and the enforcement of foreign judgments. For example, the Commission rejects a ‘mosaic’ approach for internet-related tortious claims. Instead, it proposes a “holistic principle” that would allow a person to seek redress for injuries in a single state even if the injuries have occurred or may occur in another state. Moreover, the resolution puts forward a rather sophisticated choice of law rule:

In the absence of a choice-of-law agreement valid under Article 8, the applicable law shall be determined as follows:

  1. If the court’s jurisdiction is based on paragraph 1(a) of Article 5, the applicable law shall be the internal law of the forum State.

  2. If the court’s jurisdiction is based on paragraph 1(b) of Article 5, the applicable law shall be the internal law of the forum State. However, if, at the time of the injury, the defendant’s home is located in another state, the applicable law shall be the internal law of the state that, considering all the circumstances, has the closest and most significant connection.

  3. If the court’s jurisdiction is based on paragraph 1(c) of Article 5, the applicable law shall be the internal law of the forum State. However, if the aggrieved person proves that the critical conduct of the person claimed to be liable occurred in another State, the internal law of the latter State shall govern all substantive issues, provided that the aggrieved person formally requests the application of that law and, upon request by the court, establishes the content of that law.

  4. If the court’s jurisdiction is based on paragraph 1(d) of Article 5, the applicable law shall be the internal law of the forum State. However, if the person claimed to be liable proves that the most extensive injurious effects occurred in another State, the internal law of the latter State shall govern all substantive issues, provided that that person formally requests the application of that law and, upon request by the court, establishes the content of that law.

  5. If the court’s jurisdiction is based on a valid choice-of-court agreement and that court is located in a State referred to in Article 5, the applicable law is determined as provided in paragraphs 1–4 of Article 7, whichever is applicable. If the court is located in a State other than the States referred to in Article 5, the applicable law shall be the law of the State which, considering all circumstances, has the closest and most significant connection.

Finally, the recognition and enforcement of judgments in line with the resolution’s standards shall be subject to conditions identical to the ones introduced in the 2019 Hague Convention on the Recognition and Enforcement of Foreign Judgments in Civil or Commercial Matters.

Secondly, the 18th Commission’s (Rapporteur: Campbell McLachlan) resolution on “Equality of Parties before International Investment Tribunals” deals with one of the most fundamental elements of the rule of law that ensures a fair system of adjudication. The first part of the resolution tackles issues of party equality at the stage of the establishment of the arbitral tribunal (such as access to a tribunal, the indispensable requirement of impartiality, and the tribunal’s composition), the second part is devoted to equality during the proceedings (e.g., the treatment of multiple claims and counterclaims, rules on pleading and evidence, and costs).

The resolutions can be accessed here.

Out now: T.M.C. Asser: In Quest of Liberty, Justice, and Peace

Arthur Eyffinger, legal historian and former Head Librarian of the International Court of Justice, recently published T.M.C. Asser (18381913): In Quest of Liberty, Justice, and Peace (Brill 2019). As the name suggests, the two-volume biography retraces the life of Tobias Asser, who famously won the Nobel Peace Prize in 1911 for his contributions to the field of private international law, including the establishment of the Hague Conference on Private International Law, the initiative to found the Institut de Droit International, and his role in the subsequent creation of the Hague Academy of International Law.

A copy of the book was presented to the great-grandson of Tobias Asser, Professor Daan Asser, yesterday in the context of a mini-symposium co-hosted by the Royal Netherlands Society of International Law (KNVIR) and the Institut de Droit International, which is currently holding its 79th session in the Peace Palace in the Hague. The symposium featured contributions by Marta Pertegás Sender, Janne Nijman, Jean Salmon, Hans van Loon, and the author, Arthur Eyffinger, himself.

 

Collective Actions in Europe – A Comparative, Economic and Transsystemic Analysis, C Nagy.

Given that the UK Supreme Court has given permission to hear a third appeal concerning collective actions – two of which have direct cross-border relevance (Merricks v MasterCard Inc [2019] EWCA Civ 674; Okpabi and others v Royal Dutch Shell Plc and Shell Petroleum Development Company of Nigeria Ltd [2018] EWCA Civ 191; and Wm Morrisons Supermarkets Plc v Various Claimants [2018] EWCA Civ 2339) – it may be timely to also reflect on the development of border-crossing collective actions considered in a European context.

To this end, Csongor István Nagy (of University of Szeged’s Faculty of Law) has just published an interesting open access monograph with Springer on collective actions in Europe. It is called Collective Actions in Europe – A Comparative, Economic and Transsystemic Analysis and is available at https://ssrn.com/abstract=3440551 .

Preview: Zeitschrift für Vergleichende Rechtswissenschaft – Abstracts

The upcoming issue of the Zeitschrift für Vergleichende Rechtswissenschaft (German Journal of Comparative Law; Vol. 118 [2019], No. 3) features the following contributions:

40 Years Convention on the International Sale of Goods (CISG) – Even More Important Today than 40 Years Ago to Encourage Trade?

Petra Butler[1]

ZVglRWiss 118 (2019) 231–256

Taking note of the United Nations Convention on Contracts for the International Sale of Good’s (CISG) upcoming 40-year anniversary the article discusses its success in light of empirical research into the contractual behaviour of small and medium-sized enterprises. The article argues that given the way small and medium-sized businesses manage their dispute resolution risk when contracting cross-border, the CISG is needed today more than ever before.

Anbahnung, Abschluss und Durchführung von Smart Contracts im Rechtsvergleich

Francesco A. Schurr

ZVglRWiss 118 (2019) 257–284

In Germany and worldwide the Smart Contract is a legitimate form that can be used to conclude and to exercise contracts. Due to the enormous relevance in all the world, it seems to be essential to use the method of legal comparison in this field. This seems to be important in order to distinguish the Smart Contract from the Distributed Ledger Technology (DLT) in general and more specifically the Blockchain. The comparative analysis of the paper shows, that the fundamental aspects of the Smart Contract, therefore the immutability, the self-enforcement and the unlimitedness, are understood differently in the various legal cultures. Still there seem to be good reasons to assume, that software algorithms will change the contractual landscape in the future: maybe one day a contractual link will be feasible without law and this link will be allocated in a global space without national boundaries. The paper shows that the national law of the respective applicable jurisdiction, that is expressed in a natural language and not in a Code, is still essential. Without that, the features of a contractual relationship and the resulting rights cannot be determined. The most recent legislative initiatives in Italy and Liechtenstein can serve as examples for the future legal development in Europe.

Is the Law Ready to Face the Progressing Digital Revolution? – General Policy Issues and Selected Aspects in the Realm of Financial Markets from the International, European Union and German Perspective

Gudula Deipenbrock[2]

ZVglRWiss 118 (2019) 285–313

The progressing digital revolution is in full swing. It dramatically transforms economies, societies and law. To financial markets, cross-border business, opaque interconnections and rapid transformation are nothing new. It is however the accelerated high-speed growth of technical complexity and advanced levels of digitalisation that force financial markets actors in an unprecedented way to adjust to it. But is the law or – more specifically – are policy makers, legislators, and particularly regulators and supervisors ready to face the manifestations of the progressing digital revolution particularly in financial markets? Such readiness to respond entails at the outset to generally define and critically assess which policies are suitable and shall be pursued in finding adequate legal answers. This paper aims to contribute to this discussion. The paper concludes that the law plays a core part in framing, channelling, structuring and monitoring the progressing digital revolution in financial markets.

Grenzüberschreitende Musterfeststellungsklagen

Simon Horn

ZVglRWiss 118 (2019) 314–340

The paper discusses under which conditions the German Model Declaratory Action allows international participation. The interaction of Sec. 606 et seqq. of the German Code of Civil Procedure and the Brussels Ibis Regulation (Regulation (EU) No 1215/ 2012) provides various possibilities for cross-border Model Declaratory Actions and generally allows international participation in all roles. However, as the Brussels Ibis Regulation is not suited for collective redress mechanisms and the Model Declaratory Action has been drafted from a strictly national perspective without sufficiently considering the problems arising from international participation, cross-border Model Declaratory Actions are a challenge for both German civil procedure and European conflict of jurisdiction rules.

 

[1] Professor Dr. Petra Butler, Victoria University of Wellington and Director Institute of Small and Micro States. – I am indebted to Chris Nixon, senior analyst (NZIER), Hanneke van Oeveren and Georgia Whelan (both former students at Victoria University Faculty of Law) for the vital empirical research they have done underlying this paper and my enthusiastic colleagues and fellow MSME researchers in Spain, Canada, Singapore, Hong Kong, Belgium, Australia, and the UK (see www.msmejustice.com). I would also like to thank my colleagues at the Max-Planck-Institute for International, European, and Regulatory Procedural Law for providing me with a stimulating and supportive research environment. The article is partly based on a paper delivered at the “The CISG as Middle Age” conference at the University of Pittsburgh in March 2019.

[2] Prof. Dr. iur. Gudula Deipenbrock, Professorin für Wirtschaftsrecht, HTW Berlin, University of Applied Sciences, Germany, and Associate Research Fellow 2018/2019 at Institute of Advanced Legal Studies (IALS), University of London, UK. The author gave talks on selected aspects of preliminary versions of this paper at HTW Berlin, University of Applied Sciences, Germany, on 16 November 2018, and at Institute of Advanced Legal Studies (IALS), University of London, UK, on 26 February 2019.

Programme now available: Inaugural global conference on the Judgments Convention

The Permanent Bureau of the HCCH has just announced that the programme for the first global conference on the newly adopted HCCH Judgments Convention is now available via: <http://www.hcchjudgmentshk.org/programme.php> with registrations are now also open.

As previously posted, the conference will take place on 9 September 2019 in Hong Kong SAR, People’s Republic of China. It is open to interested experts with participation free of charge. However, advance registration is required as the number of participants is limited. Registrations are handled on a first come, first served basis.

The deadline for registration is Saturday 31 August 2019.

Additional information relating to the Conference (incl. venue, accommodation, transportation, visa requirements, and other practical information) is also now available on the Conference website. Interested experts may consult this site regularly for more updates as they become available.

 

Use of Blockchain Technology in Cross-Border Legal Cooperation

Written by Jan von Hein

Dr Burcu Yüksel (University of Aberdeen, Scotland) and Dr Florian Heindler (Sigmund Freud University, Austria) have written a post for the Aberdeen Law School’s blog exploring what blockchain/distributed ledger technology can offer to enhance cross-border legal cooperation, particularly in the context of the Hague conventions. The full text is available here.

The Role of Academia in Latin American Private International Law – September 10

A half-day Conference at the Max Planck Institute in Hamburg, jointly convened by Ralf Michaels (Max Planck) and Verónica Ruiz Abou-Nigm (Edinburgh) will look at the (renewed) role of academia in Latin American Private International Law. Participants will come from several Latin American countries, as well as from the Institute.
More information and the program are here. The conference takes place on September 10, 13:00-17:30. Registrations by email at veranstaltungen@mpipriv.de

Vacancy at the Permanent Bureau of the HCCH: Administrative Assistant (Legal)

The Permanent Bureau of the Hague Conference on Private International Law (HCCH) is seeking a qualified person to fill a full-time position (40 hours) as Administrative Assistant (legal). For more information, see here.

As indicated in the announcement, “the successful applicant will provide administrative support in English and French, including drafting, formatting, and reviewing legal and other documents as well as day-to-day correspondence, assisting with the co-ordination and advancement of various HCCH projects, updating the HCCH’s databases, answering the telephone and door, and providing general assistance during international meetings held by the HCCH,” among other things.

The Permanent Bureau offers a two-year contract with the possibility of renewal.

The deadline for applications is 19 August 2019.

While this is not strictly a legal job, it may be of interest to some of our readers.

 

Singapore Convention on Mediation

Forty-six countries have signed up to the United Nations Convention on International Settlement Agreements Resulting from Mediation (“Singapore Convention on Mediation”) today. The signatory countries included Singapore, China, India, South Korea and the USA. The Convention, which was adopted by the UN General Assembly in December 2018, facilitates the cross-border enforcement of international commercial settlement agreements reached through mediation. It complements existing international dispute resolution enforcement frameworks in arbitration (the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards) and litigation (the Hague Convention on Choice of Court Agreements and the recently concluded Hague Convention on the Recognition and Enforcement of Foreign Judgments in Civil or Commercial Matters).  Article 1(3) of the Singapore Convention carves out settlement agreements which may fall within the scope of these other instruments to avoid an overlap. The Convention does not prescribe the mode of enforcement, but leaves it to each Contracting State to do so “in accordance with its rules of procedure and under the conditions laid down in this Convention” (Article 3(1)). Formal requirements to evidence the settlement agreement are specified although the competent authority in the state of enforcement is also granted flexibility to accept any other evidence acceptable to it (Article 4). The settlement agreement may only be refused enforcement under one of the grounds listed in Article 5. These grounds include the incapacity of a party to the settlement agreement, the settlement agreement is null and void under its applicable law and breaches of mediation standards. Only two reservations are permitted: one relating to settlement agreements to which a government entity is a party and the other relating to opt-in agreements whereby the Convention applies only to the extent that the parties to the settlement agreement have agreed to the application of the Convention (Article 8).

While mediation currently commands a much smaller slice of the international dispute resolution mode pie compared to arbitration or litigation, some countries are making concerted efforts to promote mediation. To that end, the Singapore Convention will assist to increase mediation’s popularity among litigants in international commercial disputes.

 

Some Brexit news: The UK has extended the Hague Child Support Convention and the Hague Choice of Court Convention to Gibraltar in the event the Withdrawal Agreement is not approved

On 31 July 2019, the United Kingdom of Great Britain and Northern Ireland (UK) extended the HCCH Convention of 23 November 2007 on the International Recovery of Child Support and Other Forms of Family Maintenance (Child Support Convention) and the HCCH Convention of 30 June 2005 on Choice of Court Agreements (Choice of Court Convention) to Gibraltar in the event the Withdrawal Agreement is not ratified and approved.

As indicated in the UK Notes: “[t]he United Kingdom is responsible for the international relations of Gibraltar and wishes to ensure that Gibraltar continues to be covered by the Agreement[s] in the event that the Withdrawal Agreement is not approved.” If the Withdrawal Agreement is indeed signed, ratified and approved by the UK and the European Union, the UK will withdraw its instrument of ratification to the Child Support Convention and its instrument of accession to the Choice of Court Convention and its declarations of territorial extent (incl. reservations) to Gibraltar. The Depositary of the HCCH Conventions is the Ministry of Foreign Affairs of the Netherlands.

The UK has made a number of declarations and reservations under these Conventions for Gibraltar. For more information, please click here (Child Support Convention) and here (Choice of Court Convention).

The European Union, as a Regional Economic Integration Organisation, approved both the Child Support Convention and the Choice of Court Convention on 9 April 2014 and 11 June 2015, respectively.