Preparing for Brexit, part 3

After April Fools’ Day in the House of Commons, stepping up preparations for a no-deal Brexit has become more important than ever. Insofar, it should be noted that not only the EU Commission has been active in this regard (see our earlier posts here and here), but that national legislators are bracing for the fallout from a hard Brexit as well. On 29 March 2019, the German law on Brexit-related measures in the field of taxation entered into force. In spite of its bland title, this law goes far beyond tax law and includes transitory provisions in a number of important areas of business law, ranging from banking to insurance and securities law. Most articles provide that German authorities may order that British companies will be treated like EU companies for a transition period no longer than 21 months in case of a hard Brexit. By such an extension, the German legislature hopes to buffer the economic shocks that may arise in the absence of a withdrawal agreement.

Applicable Law and Jurisdictional Agreement in European Union International Family and Succession Law

Dr. Marlene Brosch (Senior Research Fellow at the Max Planck Institute Luxembourg for International, European and Regulatory Procedural Law) recently published a book on Choice of Law Agreements and Jurisdictional Agreements in EU International Family Law and Succession Law.

 

Here is a brief overview provided by the author:

 

Choice of Law Agreements and Choice of Court Agreements are fundamental legal instruments in Private International Law, expressing the parties’ autonomy to determine the applicable law and the competent court(s). In the field of Family Law and Succession Law, party autonomy has only recently taken root through the enactment of several EU Regulations that recognise limited party autonomy: Rome III, Brussels II-bis, Maintenance Regulation, Succession Regulation, as well as the Regulations on Matrimonial Property Regimes and Property Regimes of Registered Partnerships.

 

The book constitutes an in-depth comparison of the rules on party autonomy in the aforementioned legal instruments from a functional and systematic perspective. Special regard is given to the interrelations between applicable law and jurisdiction. This comparative analysis serves as the starting point for
assessing inconsistencies and deficiencies, which further lead to discussing reform proposals for a more coherent normative system.

 

More information can be found at https://www.mohrsiebeck.com/en/book/rechtswahl-und-gerichtsstandsvereinbarung-im-internationalen-familien-und-erbrecht-der-eu-9783161562730?no_cache=1 .

The United Kingdom: Suspension of the UK accession to the HCCH Choice of Court Convention and of the UK ratification to the HCCH Child Support Convention from 1 April 2019 until 13 April 2019 or until 23 May 2019

The UK has suspended its accession to the HCCH Convention of 30 June 2005 on Choice of Court Agreements (Choice of Court Convention) and its ratification to the HCCH Convention of 23 November 2007 on the International Recovery of Child Support and Other Forms of Family Maintenance (Child Support Convention) until 13 April 2019 or 23 May 2019 as the case may be in accordance with the European Council Decision. This takes effect as of 1 April 2019 (the scheduled date of their entry into force).

In the meantime, and as a Member State of the European Union,  European Union law, including the above-mentioned HCCH Conventions, will remain applicable to and in the United Kingdom.

Moreover, the UK adds with regard to the Choice of Court Convention: “As stated in the Note Verbale, in the event that the Withdrawal Agreement is signed, ratified and approved by the United Kingdom and the European Union, the United Kingdom will withdraw the Instrument of Accession which it deposited on 28 December 2018.”

And with respect to the Child Support Convention: “As stated in the Note Verbale, in the event that the Withdrawal Agreement is signed, ratified and approved by the United Kingdom and the European Union, the United Kingdom will withdraw the Instrument of Ratification which it deposited on 28 December 2018.”

Please note that a different set of declarations would apply if the UK instruments do enter into force. See here.

For more information, see here for the Choice of Court Convention and here for the Child Support Convention (Depositary’s website in both French and English).

Preparing for Brexit, part 2

The European Commission has just released some new factsheets and Q&A documents regarding the consequences of a no-deal Brexit here. Inter alia, the information given concerns the rights of consumers (including the applicable law and the enforcement of judgments), of EU citizens living in the UK, of UK citizens living in the EU, and the position of EU students enrolled at UK universities. However, the date for a hard Brexit mentioned in the documents is still 29 March 2019, which is in any event no longer accurate after last week’s summit (see our previous post here).

Preparing for Brexit

At the moment this note is written, it is unclear whether there will be another vote in the House of Commons concerning Theresa May’s deal with the EU-27 at all (see here for the latest developments). Already on 18 January 2019, the European Commission recognized that “[i]n view of the uncertainties surrounding the ratification of the Withdrawal Agreement, all interested parties are reminded of legal repercussions which need to be considered when the United Kingdom becomes a third country”. In order to clarify matters, the Commission has published a so-called Preparedness Notice which is meant to give guidance to stakeholders with regard to the implications of a no-deal Brexit in the field of judicial cooperation and private international law. The full text of this notice is available here.

Cuadernos de Derecho Transnacional, Vol. 11, No 1 (2019)

The latest issue of Cuadernos de Derecho Transnacional, an open-access online journal focusing on private international law, is out.

It features some sixty papers (in Spanish, English and Italian) covering a broad range of topics, such as matrimonial property regimes, trade names, the legal framework of drones, child abduction, international data transfers, successions upon death and antitrust torts.

The current issue, like previous ones, can be accessed here.

Guide on the Law Applicable to International Commercial Contracts in the Americas has been approved by OAS

The Organization of American States (OAS) has announced that the Inter-American Juridical Committee (CJI) has approved the Guide on the Law Applicable to International Commercial Contracts in the Americas. See the summarized recommendations on p. 6, the actual Guide starts on p. 16.

The Rapporteur of the Guide is Dr José Antonio Moreno Rodríguez.

Importantly, one of the recommendations of the Guide is that “OAS Member States, regardless of whether they have or have not ratified, or do or do not intend to ratify the Mexico Convention, are encouraged to consider its solutions for their own domestic legislation, whether by material incorporation, incorporation by reference, or other mechanisms as applicable to their own domestic legal regimes, taking into consideration subsequent developments in the law applicable to international commercial contracts as expressed in the Hague Principles and as described in this Guide.”

Unfortunately, only two States are parties to the Mexico Convention: Mexico and Venezuela. See here.

While the OAS Guide takes into consideration and examines both instruments, it should be noted that the official article-by-article Commentary on the Hague Principles is available here.

The OAS news item is available here (Spanish version of the Guide is not yet available).

Book Launch: A Conceptual Analysis of European Private International Law

Dr. Felix M. Wilke (University of Bayreuth, Germany) recently published a new book titled “A Conceptual Analysis of European Private International Law”.

Read more

The 31st annual conference on private international law at the Swiss Institute of Comparative Law

This year’s Journée de droit international privé of the Swiss Institute of Comparative Law will be devoted to Interim Measures in International Commercial Litigation, and will take place on 23 May 2019, in Lausanne.

Speakers include George A. Bermann, Andrea Bonomi, Lawrence Boo, Sabine Corneloup, Gilles Cuniberti, Karim El Chazli, Sandrine Giroud, Laurent Hirsch, Alexander Layton, Ilaria Pretelli, and Gian Paolo Romano.

The detailed program, with further information on registration and fees, can be found here.

Alan Uzelac on the current challenges to investor-state arbitration in Europe

Prof. Uzelac has published recently an article on the current challenges to investor-state arbitration in Europe. The article comes almost as a birthday present, to celebrate one year after the CJEU published its famous Achmea ruling. The summary of the article reads as follows:

This paper addresses the current challenges to investor-state arbitration in Europe. Two parallel developments are outlined: the current change in the EU policy towards arbitration provisions in multilateral and bilateral investment treaties, and the consequences of the Achmea case decided by the Court of Justice of the European Union in March 2018. The author analyses the critical arguments behind the current European anti-arbitration stance and concludes that while some of them (but not all) may have some foundation, a sufficient number of reasons speak against the radical dismantling of the system of international investment arbitration. An analysis of the proposed alternatives shows that they fail to deliver viable solutions for diagnosed problems. In particular, the replacement of ad hoc tribunals by a multilateral investment court (MIC) seems to be a step in the wrong direction. The ISDS has played an important role in the global fostering of international investment by securing a basically fair system of dispute resolution in a very specific field. Its deficiencies are not beyond repair; on the other hand, the alternatives offered suffer from flaws that are the same or much more troubling. The author concludes that the consequences of the ‘change of tide’ in the approach to investor-state dispute resolution are likely to be detrimental to the very goals of those who advocate the abandoning of investment arbitration.

The article was published in the journal Access to Justice in Eastern Europe (AJEE), and is available in full text here.