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The Public Law-Private Law Divide and Access to Frozen Russian Assets

By Csongor István Nagy, Professor of Law at the University of Galway, Ireland, and at the University of Szeged, Hungary, and research professor at the HUN-REN Center for Social Sciences, Hungary.

The overwhelming majority of the international community condemned Russia’s war against Ukraine as a gross violation of international law and several countries introduced unilateral measures freezing Russian assets. It has been argued that countries should go beyond that and use these assets for the indemnification of Ukrainian war damages. Confiscation would, however, be unprecedented and raise serious international law concerns. While states have, with good reason, been reluctant to react to one wrongful act with another, this question has given rise to intensive debate. Recently, the EU authorized the use of net profits from the frozen assets but not the assets themselves to support Ukraine.

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Tesseract: Don’t Over-React! The High Court of Australia, Proportionate Liability, Arbitration, and Private International Law

By Dr Benjamin Hayward
Associate Professor, Department of Business Law and Taxation, Monash Business School
X: @LawGuyPI, @MonashITICL

On 7 August 2024, the High Court of Australia handed down its long-awaited decision in Tesseract International Pty Ltd v Pascale Construction Pty Ltd [2024] HCA 24. The dispute arose out of a domestic commercial arbitration seated in South Australia, where the Commercial Arbitration Act 2011 (SA) is the relevant lex arbitri. That Act is a domestically focused adaptation of the UNCITRAL Model Law on International Commercial Arbitration (with its 2006 amendments).

The respondent to the arbitration sought to rely upon proportionate liability legislation found in the Law Reform (Contributory Negligence and Apportionment of Liability) Act 2001 (SA) and in the Competition and Consumer Act 2010 (Cth). The High Court was asked to determine whether those proportionate liability regimes could be applied in the arbitration. A very practical difficulty arose here, reflected in Steward J noting (in dissent) that the High Court was ‘faced with an invidious choice’: see [228]. Were the proportionate liability laws not to apply in the arbitration, the respondent might find themselves liable for 100% of the applicant’s loss, when they would not be liable to that same extent in court proceedings applying the same body of South Australian law. But were the proportionate liability laws to apply, the applicant might find themselves able to recover only a portion of their loss in the arbitration, and might then have to then pursue court proceedings against another third party wrongdoer to recover the rest: given that joinder is not possible in arbitration without consent. Read more

News

HCCH Monthly Update: June 2025

Conventions & Instruments

On 17 June 2025, the Republic of Korea deposited its instrument of ratification of the 1993 Adoption Convention. With the ratification of the Republic of Korea, the 1993 Adoption Convention now has 107 Contracting Parties. It will enter into force for the Republic of Korea on 1 October 2025. More information is available here.

On 30 June 2025, Denmark signed the 2007 Child Support Convention and deposited its instrument of approval of the Convention. With the approval of Denmark, 55 States and the European Union are bound by the 2007 Child Support Convention. It will enter into force for Denmark on 1 October 2025. More information is available here.

 

Meetings & Events

On 5 June 2025, the first meeting of the Working Group established to finalise the Good Practices document relevant to the 1965 Service, 1970 Evidence, and 1980 Access to Justice Conventions was held online, hosted by the Permanent Bureau. More information is available here.

On 13 June 2025, the Working Party on Cross-Border Family Mediation in the Context of the Malta Process met online. More information is available here.

From 16 to 18 June 2025, the Experts’ Group on Digital Tokens met for the first time. More information is available here.

From 25 to 27June 2025, HCCH Asia Pacific Week 2025 was held in Seoul, co-hosted by the Republic of Korea and the HCCH. The conference brought together over 400 participants from across Asia and the Pacific and beyond for wide-ranging discussions on the most recent developments relating to the HCCH’s key Conventions and instruments, ongoing normative projects, and possible future work. More information is available here.

Other Developments

On 2 June 2025, the Host Seat Agreement between Morocco and the HCCH was signed in Rabat, establishing the Regional Office for Africa of the HCCH. More information is available here.

 

These monthly updates are published by the Permanent Bureau of the Hague Conference on Private International Law (HCCH), providing an overview of the latest developments. More information and materials are available on the HCCH website.

Call for Applications: Fellowships on ‘Complexity as an Issue of Law’

Professor Mareike Schmidt (Max Planck Institute for Social Anthropology) has kindly shared the attached  Call for Applications with us.

She is seeking to fellows working on ‘Complexity as an Issue of Law’ within the framework of her larger project on Change in and through Law: Digital Transformation and Climate Change

The Establishment of the International Organization for Mediation (IOMed)

On 30 May 2025, the signing of the Convention on the Establishment of the International Organization for Mediation (IOMed)  in Hong Kong marked an advancement in the field of international dispute resolution. Attended by representatives from over 85 countries and 20 international organisations – including the United Nations – the event introduced a treaty-based institutional framework dedicated specifically to mediation.

The IOMed Convention – with equally authentic texts in Arabic, Chinese, English, French, Russian, and Spanish – outlines a structured, treaty-based model of mediation whose scope is deliberately broad, encompassing disputes between States, between a State and nationals of other States, as well as disputes between private parties involved in international commercial relationships (Article 24).

A defining feature of the IOMed Convention is its treatment of the legal effect and enforceability of mediated outcomes. Articles 40 and 41 affirm both the binding nature of settlement agreements resulting from IOMed-facilitated mediation and their enforceability within the domestic legal systems of contracting States. This model of consensual yet normatively binding dispute resolution finds a compelling parallel in – and complements – the United Nations Convention on International Settlement Agreements Resulting from Mediation (the Singapore Convention). The Singapore Convention – which, as of 3 July 2025, counts 58 signatories and 18 parties – reinforces party autonomy while requiring the good faith implementation of mediated settlements. Particularly significant is Article 3 of the Convention, which obliges courts in contracting States to recognise international commercial settlement agreements and to enforce them in accordance with domestic procedures, provided the agreement satisfies the Convention’s requirements. While the Singapore Convention offers a uniform and efficient framework for the enforcement and “invocation” (see Art. 3(2)) of international settlement agreements resulting from mediation, the IOMed Convention contributes by establishing the institutional and procedural framework necessary for the conduct of mediation itself. Together, these instruments enhance both the normative foundation and the practical viability of cross-border mediation, thereby reinforcing its legitimacy in complex international commercial contexts.

Beyond its dispute resolution functions, IOMed also assumes a broader mandate to promote mediation (Art. 5). This includes fostering best practices (Art. 5(b)), organising conferences and training initiatives (Art. 5(c)), and implementing targeted capacity-building programmes (Art. 5(d)). A dedicated Mediation Fund (Art. 44), financed through voluntary contributions, is intended to promote equitable access to services, while a Capacity Building Committee (Art. 43) provides strategic oversight in this domain.

Ultimately, the IOMed Convention does not seek to alter the fundamental character of mediation. Rather, it aims to provide a coherent legal and institutional foundation at the international level. By anchoring mediation within a treaty-based framework, the IOMed Convention offers States and other actors a structured yet flexible environment in which to pursue dialogue-based resolution, with greater predictability, neutrality, and institutional support – while preserving the essential consensual nature that distinguishes mediation from adjudication. While its practical impact will depend on how States and other actors engage with its mechanisms over time, the Convention offers a new platform for exploring the potential of mediation in a variety of international contexts.