{"id":12451,"date":"2022-07-30T16:30:08","date_gmt":"2022-07-30T16:30:08","guid":{"rendered":"http:\/\/legalblog.ie\/?p=12451"},"modified":"2024-03-02T14:54:01","modified_gmt":"2024-03-02T14:54:01","slug":"contracts-applicable-law-eu","status":"publish","type":"post","link":"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/","title":{"rendered":"Contracts Applicable Law EU"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_63 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Convention_on_the_law_applicable_to_contractual_obligations_Rome_Convention\" title=\"Convention on the law applicable to contractual obligations (Rome Convention)\">Convention on the law applicable to contractual obligations (Rome Convention)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Scope\" title=\"Scope\">Scope<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Exceptions_from_Scope\" title=\"Exceptions from Scope\">Exceptions from Scope<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Special_Cases\" title=\"Special Cases\">Special Cases<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Documents\" title=\"Documents\">Documents<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Contractual_obligations_in_the_EU_%E2%80%93_determining_which_national_law_applies\" title=\"Contractual obligations in the EU &#8211; determining which national law applies\">Contractual obligations in the EU &#8211; determining which national law applies<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#General\" title=\"General\">General<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Scope_of_the_applicable_law\" title=\"Scope of the applicable law\">Scope of the applicable law<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Choice_of_law\" title=\"Choice of law\">Choice of law<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Applicable_law_in_the_absence_of_a_choice_being_made\" title=\"Applicable law in the absence of a choice being made\">Applicable law in the absence of a choice being made<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Specific_contracts\" title=\"Specific contracts\">Specific contracts<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Acts\" title=\"Acts\">Acts<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Legal_certainty_in_international_trade_for_EU_businesses_using_choice_of_court_agreements\" title=\"Legal certainty in international trade for EU businesses using choice of court agreements\">Legal certainty in international trade for EU businesses using choice of court agreements<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Scope_of_the_convention\" title=\"Scope of the convention\">Scope of the convention<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Ensuring_the_respect_of_the_choice_of_the_court\" title=\"Ensuring the respect of the choice of the court\">Ensuring the respect of the choice of the court<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Backgound\" title=\"Backgound\">Backgound<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Documents-2\" title=\"Documents\">Documents<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Legal_certainty_in_international_trade_for_EU_businesses_using_choice_of_court_agreements-2\" title=\"Legal certainty in international trade for EU businesses using choice of court agreements\">Legal certainty in international trade for EU businesses using choice of court agreements<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Scope_of_the_convention-2\" title=\"Scope of the convention\">Scope of the convention<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-20\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Ensuring_the_respect_of_the_choice_of_the_court-2\" title=\"Ensuring the respect of the choice of the court\">Ensuring the respect of the choice of the court<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-21\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Background\" title=\"Background\">Background<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-22\" href=\"https:\/\/legalblog.ie\/contracts-applicable-law-eu\/#Documents-3\" title=\"Documents\">Documents<\/a><\/li><\/ul><\/nav><\/div>\n<h3><span class=\"ez-toc-section\" id=\"Convention_on_the_law_applicable_to_contractual_obligations_Rome_Convention\"><\/span>Convention on the law applicable to contractual obligations (Rome Convention)<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Convention 80\/934\/EEC on the law applicable to contractual obligations opened for signature in Rome on 19 June 1980<\/p>\n<p>The convention establishes uniform rules concerning the law applicable to contractual obligations in the EU.It has applied since 1 January 1991.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Scope\"><\/span>Scope<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The convention on the law applicable to contractual obligations was opened for signature in Rome on 19 June 1980 for the then 9 European Economic Community (EEC) countries now EU. It entered into force on 1 April 1991. In due course, all the new members of the EEC signed the convention. When the convention was signed by Austria, Finland and Sweden, a consolidated version was drawn up and published in the Official Journal in 1998. A further consolidated version was published in the Official Journal in 2005, following the accession of 10 new countries to the convention.<\/p>\n<p>The Convention was replaced, among all EU countries except Denmark, by Regulation (EC) No 593\/2008 of the European Parliament and of the Council of 17 June 2008 on the law applicable to contractual obligations (Rome I Regulation). The Rome Convention continues to apply to Denmark. It continues to apply to contractual obligations concluded before the entry into application of the Rome I Regulation.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Exceptions_from_Scope\"><\/span>Exceptions from Scope<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The convention applies to contractual obligations in situations involving a choice between national laws \u2014 even where the law it designates is that of a non-contracting country \u2014 with the exception of:<\/p>\n<ul>\n<li>questions involving the status or legal capacity of natural persons;<\/li>\n<li>contractual obligations relating to wills, matrimonial property rights or other family relationships;<\/li>\n<li>obligations arising under negotiable instruments (bills of exchange, cheques, promissory notes, etc.);<\/li>\n<li>arbitration agreements and agreements on the choice of court;<\/li>\n<li>questions governed by the law of companies and other corporate and unincorporated bodies;<\/li>\n<li>the question of whether an agent is able to bind a principal to a third party (or an organ to bind a company, or a corporate or unincorporated body);<\/li>\n<li>the constitution of trusts and questions relating to their organisation;<\/li>\n<li>evidence and procedure;<\/li>\n<li>contracts of insurance that cover risks in the territories of the EU countries (excluding reinsurance contracts).<\/li>\n<\/ul>\n<p>The signatories to a contract may choose the law applicable to the whole or a part of the contract, and select the court that will have jurisdiction over disputes. By mutual agreement, they may change the law applicable to the contract at any time (principle of freedom of choice).<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Special_Cases\"><\/span>Special Cases<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>If the parties have not made an explicit choice of applicable law, the contract is governed by the law of the country with which it is most closely connected, according to, for example, the place of habitual residence or place of central administration of the party performing the contract, or the principal place of business or another place of business of the party performing the contract.<\/p>\n<p>However:<\/p>\n<p>where the contract concerns immovable property, the law applicable by default is that of the country in which the property is situated;<br \/>\nwhere the contract concerns the transport of goods, the applicable law is determined according to the place of loading or unloading, or the principal place of business of the consignor.<\/p>\n<p>To protect the rights of the consumer, the supply of goods or services to a person is covered by special conditions, according to the principle of the protection of the weaker party. Unless the parties decide otherwise, such contracts are governed by the law of the consumer\u2019s country of residence. In no circumstances may the choice of law disadvantage the consumer or deprive him or her of the protection of more favourable law in his or her country of residence. These rules do not apply to contracts of carriage or contracts for the supply of services in a country other than the consumer\u2019s country of residence.<\/p>\n<p>In the case of employment contracts, one of the following will apply:<\/p>\n<p>the law of the country in which the employee habitually carries out his work;<br \/>\nthe law of the country in which the company that employed the worker has its place of business;<br \/>\nthe law of the country with which the employment contract is most closely associated.<br \/>\nIf the parties decide to select another law to apply to the contract, this choice may not be at the expense of the protection of the worker.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Documents\"><\/span>Documents<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Convention 80\/934\/EEC on the law applicable to contractual obligations opened for signature in Rome on 19 June 1980 (OJ L 266, 9.10.1980, pp. 1-19)<\/p>\n<p>Corrigendum to the Convention on the law applicable to contractual obligations opened for signature in Rome on 19 June 1980 (OJ L 58, 5.3.1983, p. 14)<\/p>\n<p>Regulation (EC) No 593\/2008 of the European Parliament and of the Council of 17 June 2008 on the law applicable to contractual obligations (Rome I) (OJ L 177, 4.7.2008, pp. 6-16)<\/p>\n<p>Successive amendments to Regulation (EC) No 593\/2008 have been incorporated in the original text. This consolidated version is of documentary value only.<\/p>\n<p>Convention on the law applicable to contractual obligations (Consolidated version) \u2014 First protocol on the interpretation of the 1980 convention by the Court of Justice (Consolidated version) \u2014 Second protocol conferring on the Court of Justice powers to interpret the 1980 convention (Consolidated version) (OJ C 334, 30.12.2005, pp. 1-27)<\/p>\n<p>Corrigendum to the Convention on the law applicable to contractual obligations (Consolidated version) (OJ C 61, 6.3.2008, p. 20)<\/p>\n<p>Convention on the accession of the Republic of Austria, the Republic of Finland and the Kingdom of Sweden to the Convention on the Law applicable to Contractual Obligations, opened for signature in Rome on 19 June 1980, and to the First and Second Protocols on its interpretation by the Court of Justice (OJ C 15, 15.1.1997, pp. 10-16)<\/p>\n<p>Convention 92\/529\/EEC on the accession of the Kingdom of Spain and the Portuguese Republic to the Convention on the Law applicable to Contractual Obligations, opened for signature in Rome on 19 June 1980 (OJ L 333, 18.11.1992, pp. 1-26)<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Contractual_obligations_in_the_EU_%E2%80%93_determining_which_national_law_applies\"><\/span>Contractual obligations in the EU &#8211; determining which national law applies<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Regulation (EC) No 593\/2008 -The regulation applies to contracts concluded after 17 December 2009.<\/p>\n<p>the law applicable to contractual obligations<\/p>\n<p>It sets out EU-wide rules for determining which national law should apply to contractual obligations in civil and commercial matters involving more than one country.<br \/>\nThis regulation, known as Rome I, works alongside two other regulations, Rome II (non-contractual obligations) and Rome III (divorce and legal separation) to determine the applicable law in different types of civil and commercial matters.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"General\"><\/span>General<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The regulation does not apply to revenue, customs or administrative matters, or to issues of evidence and procedure during legal proceedings. It also does not apply to obligations including those relating to:<\/p>\n<p>a person\u2019s status or legal capacity<br \/>\nfamily relationships<br \/>\nmatrimonial property regimes<br \/>\ndocuments guaranteeing the payment of a specific amount of money such as bills of exchange, cheques and promissory notes<br \/>\narbitration and choice of court agreements<br \/>\nlaw of companies and other corporate or unincorporated bodies<br \/>\ntrusts<br \/>\ndealings that occur before a contract is signed.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Scope_of_the_applicable_law\"><\/span>Scope of the applicable law<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The regulation determines the applicable national law on different aspects of contracts, including:<\/p>\n<p>how a contract is interpreted and what must be done to fulfil its terms<br \/>\nthe consequences of breaching a contract&#8217;s obligations, including the assessment of damages<br \/>\nthe various ways of putting an end to contractual obligations (e.g. payment, compensation, annulling the contract), prescription* and the time limits on bringing legal action<br \/>\nthe consequences of a contract being legally void.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Choice_of_law\"><\/span>Choice of law<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The parties to a contract can choose the governing law.<br \/>\nIt may be applied to only a part or the whole of the contract.<br \/>\nThe applicable law can be changed at any time as long as all parties agree.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Applicable_law_in_the_absence_of_a_choice_being_made\"><\/span>Applicable law in the absence of a choice being made<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Where the parties have not chosen the applicable law, the type of contract determines the rules:<\/p>\n<p>For contracts for the sale of goods, provision of services, franchises or distribution, the law of the country of residence of the seller, service provider or franchisee applies.<br \/>\nFor contracts concerning immovable property, the law of the country where the property is located applies, except in the cases of temporary and private tenancy (maximum 6 consecutive months). In such cases, the applicable law is that of the landlord\u2019s country of residence.<br \/>\nIn the case of sale of goods by auction, the law of the country of the auction applies.<br \/>\nIf none, or more than one of the above rules apply to a contract, the applicable law is determined based on the country of residence of the party carrying out the principal part of the contract.<br \/>\nIf, however, the contract is related more closely to another country than provided by these rules, the law of that country applies. The same applies when no applicable law can be determined.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Specific_contracts\"><\/span>Specific contracts<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>For certain specific types of contract, the regulation also sets outs the options for choice of law and determines the applicable choice where no choice has been made. These include:<\/p>\n<p>contracts for the carriage of goods<br \/>\ncontracts for the carriage of passengers<br \/>\nconsumer contracts between consumers and professionals<br \/>\ninsurance contracts<br \/>\nindividual employment contracts.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Acts\"><\/span>Acts<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Regulation (EC) No 593\/2008 of the European Parliament and of the Council of 17 June 2008 on the law applicable to contractual obligations (Rome I) (OJ L 177, 4.7.2008, pp. 6\u201316)<\/p>\n<p>Successive amendments to Regulation (EC) No 593\/2008 have been incorporated into the original text. This consolidated version is of documentary value only.<\/p>\n<p>Regulation (EC) No 864\/2007 of the European Parliament and of the Council of 11 July 2007 on the law applicable to non-contractual obligations (Rome II) (OJ L 199, 31.7.2007, pp. 40\u201349)<\/p>\n<p>Council Regulation (EU) No 1259\/2010 of 20 December 2010 implementing enhanced cooperation in the area of the law applicable to divorce and legal separation (OJ L 343, 29.12.2010, pp. 10\u201316)<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Legal_certainty_in_international_trade_for_EU_businesses_using_choice_of_court_agreements\"><\/span>Legal certainty in international trade for EU businesses using choice of court agreements<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>SUMMARY OF:<\/p>\n<p>Decision 2009\/397\/EC on the signing of the Convention on Choice of Court Agreements<\/p>\n<p>Decision 2014\/887\/EU approving the Hague Convention on Choice of Court Agreements between parties to international transactions.Following Decision 2014\/887\/EU, the EU ratified the convention on 15 June 2015, making it binding for all EU countries (except Denmark) and the other countries that have ratified it from the moment of its entry into force on 1 December 2015.<\/p>\n<p>On behalf of the European Union (EU), they sign and approve the Hague Convention of 30 June 2005 on Choice of Court Agreements.<br \/>\nThe convention clarifies the rules governing international trade disputes, where the parties have chosen a court to be exclusively competent.<br \/>\nThe convention brings more legal certainty for EU companies doing business with firms outside the EU by ensuring that their choice of a court to deal with a dispute is respected.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Scope_of_the_convention\"><\/span>Scope of the convention<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The convention applies to exclusive choice of court agreements in international civil and commercial matters involving countries which apply the convention.<br \/>\nA choice of court agreement is considered to be exclusive, unless otherwise specified by the parties.<br \/>\nSeveral issues are excluded. Examples of these include:<br \/>\nconsumer and employment contracts,<br \/>\nthe legal capacity of (natural) persons,<br \/>\nthe validity of legal persons and of intellectual property rights and family law matters,<br \/>\nalternate dispute resolution* proceedings.<\/p>\n<p>Moreover, the parties to the convention may exclude certain other issues from its scope of application. On that basis, the EU made a declaration that it will not apply the convention to certain insurance matters.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ensuring_the_respect_of_the_choice_of_the_court\"><\/span>Ensuring the respect of the choice of the court<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Will of the parties \u2014 the parties to a contract may conclude an exclusive choice of court agreement to designate the court of one of the countries applying the convention as competent to deal with a dispute. The agreement must be made in writing or by other means that allow the information to be subsequently accessed.<\/p>\n<p>Court competence \u2014 the designated court is the only court that is competent to hear disputes covered by the choice of court agreement, unless it decides that the agreement is not valid under its national law. Any non-chosen court must suspend or dismiss proceedings brought in violation of the choice of court agreement, except where:<br \/>\nthe agreement is null and void under the law of the state of the chosen court;<br \/>\nthe party lacked the capacity to conclude the agreement under the national law of the court seized;<br \/>\nimplementation of the agreement contravenes the public policy of the state of the non-chosen court;<br \/>\nthe agreement cannot be performed; or<br \/>\nthe designated court decides against hearing the case.<\/p>\n<p>Recognition and enforcement \u2014 the other states applying the convention must recognise and enforce a judgment given by the chosen court. However, they may postpone enforcement if the judgment is still under review in the state of origin or if the deadline for seeking ordinary review has not yet expired. The convention also sets out a number of other situations where recognition and enforcement may be refused (for instance, when a judgment was obtained by fraud). The text also lists the documents required to request recognition and enforcement.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Backgound\"><\/span>Backgound<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The Choice of Court Convention was concluded under the auspices of the Hague Conference on Private International Law on 30 June 2005. The convention was signed by the EU in 2009. Parties to the convention include EU countries as well as countries outside the EU.<br \/>\nThe EU\u2019s internal rules on recognition and enforcement of judgments in civil and commercial cases (Regulation (EU) No 1215\/2012) were reformed to ensure coherence with the convention.<br \/>\nFor more information, see:<br \/>\n\u2018Choice of Court Convention: EU businesses receive a major boost for international trade\u2019 \u2014 press release (European Commission)<br \/>\nCivil and commercial matters (European Commission).<br \/>\nChoice of court agreement: agreement between parties to designate which court (one or more specific courts) is competent in disputes relating to a particular legal relationship.<br \/>\nAlternative dispute resolution: resolving disputes without going to court.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Documents-2\"><\/span>Documents<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Council Decision 2009\/397\/EC of 26 February 2009 on the signing on behalf of the European Community of the Convention on Choice of Court Agreements (OJ L 133, 29.5.2009, pp. 1-13).<\/p>\n<p>Council Decision 2014\/887\/EU of 4 December 2014 on the approval, on behalf of the European Union, of the Hague Convention of 30 June 2005 on Choice of Court Agreements (OJ L 353, 10.12.2014, pp. 5-8).<\/p>\n<p>Regulation (EU) No 1215\/2012 of the European Parliament and of the Council of 12 December 2012 on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters (recast) (OJ L 351, 20.12.2012, pp. 1-32).<\/p>\n<p>Successive amendments to Regulation (EU) No 1215\/2012 have been incorporated into the original text. This consolidated version is of documentary value only.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Legal_certainty_in_international_trade_for_EU_businesses_using_choice_of_court_agreements-2\"><\/span>Legal certainty in international trade for EU businesses using choice of court agreements<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Decision 2009\/397\/EC on the signing of the Convention on Choice of Court Agreements<\/p>\n<p>Decision 2014\/887\/EU approving the Hague Convention on Choice of Court Agreements between parties to international transactions<\/p>\n<p>On behalf of the European Union (EU), they sign and approve the Hague Convention of 30 June 2005 on Choice of Court Agreements*.<br \/>\nThe convention clarifies the rules governing international trade disputes, where the parties have chosen a court to be exclusively competent.<br \/>\nThe convention brings more legal certainty for EU companies doing business with firms outside the EU by ensuring that their choice of a court to deal with a dispute is respected.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Scope_of_the_convention-2\"><\/span>Scope of the convention<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The convention applies to exclusive choice of court agreements in international civil and commercial matters involving countries which apply the convention.<br \/>\nA choice of court agreement is considered to be exclusive, unless otherwise specified by the parties.<\/p>\n<p>Several issues are excluded. Examples of these include:<br \/>\nconsumer and employment contracts,<br \/>\nthe legal capacity of (natural) persons,<br \/>\nthe validity of legal persons and of intellectual property rights and family law matters,<br \/>\nalternate dispute resolution* proceedings.<\/p>\n<p>Moreover, the parties to the convention may exclude certain other issues from its scope of application. On that basis, the EU made a declaration that it will not apply the convention to certain insurance matters.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Ensuring_the_respect_of_the_choice_of_the_court-2\"><\/span>Ensuring the respect of the choice of the court<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Will of the parties \u2014 the parties to a contract may conclude an exclusive choice of court agreement to designate the court of one of the countries applying the convention as competent to deal with a dispute. The agreement must be made in writing or by other means that allow the information to be subsequently accessed.<\/p>\n<p>Court competence \u2014 the designated court is the only court that is competent to hear disputes covered by the choice of court agreement, unless it decides that the agreement is not valid under its national law. Any non-chosen court must suspend or dismiss proceedings brought in violation of the choice of court agreement, except where:<br \/>\nthe agreement is null and void under the law of the state of the chosen court;<br \/>\nthe party lacked the capacity to conclude the agreement under the national law of the court seized;<br \/>\nimplementation of the agreement contravenes the public policy of the state of the non-chosen court;<br \/>\nthe agreement cannot be performed; or<br \/>\nthe designated court decides against hearing the case.<\/p>\n<p>Recognition and enforcement \u2014 the other states applying the convention must recognise and enforce a judgment given by the chosen court. However, they may postpone enforcement if the judgment is still under review in the state of origin or if the deadline for seeking ordinary review has not yet expired. The convention also sets out a number of other situations where recognition and enforcement may be refused (for instance, when a judgment was obtained by fraud). The text also lists the documents required to request recognition and enforcement.<\/p>\n<p>Following Decision 2014\/887\/EU, the EU ratified the convention on 15 June 2015, making it binding for all EU countries (except Denmark) and the other countries that have ratified it from the moment of its entry into force on 1 December 2015.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Background\"><\/span>Background<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The Choice of Court Convention was concluded under the auspices of the Hague Conference on Private International Law on 30 June 2005. The convention was signed by the EU in 2009. Parties to the convention include EU countries as well as countries outside the EU.<br \/>\nThe EU\u2019s internal rules on recognition and enforcement of judgments in civil and commercial cases (Regulation (EU) No 1215\/2012) were reformed to ensure coherence with the convention.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Documents-3\"><\/span>Documents<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Council Decision 2009\/397\/EC of 26 February 2009 on the signing on behalf of the European Community of the Convention on Choice of Court Agreements (OJ L 133, 29.5.2009, pp. 1-13).<\/p>\n<p>Council Decision 2014\/887\/EU of 4 December 2014 on the approval, on behalf of the European Union, of the Hague Convention of 30 June 2005 on Choice of Court Agreements (OJ L 353, 10.12.2014, pp. 5-8).<\/p>\n<p>Regulation (EU) No 1215\/2012 of the European Parliament and of the Council of 12 December 2012 on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters (recast) (OJ L 351, 20.12.2012, pp. 1-32).<\/p>\n<p>Successive amendments to Regulation (EU) No 1215\/2012 have been incorporated into the original text.<\/p>\n<!--themify_builder_content-->\n<div id=\"themify_builder_content-12451\" data-postid=\"12451\" class=\"themify_builder_content themify_builder_content-12451 themify_builder tf_clear\">\n    <\/div>\n<!--\/themify_builder_content-->\n","protected":false},"excerpt":{"rendered":"<p>Convention on the law applicable to contractual obligations (Rome Convention) Convention 80\/934\/EEC on the law applicable to contractual obligations opened for signature in Rome on 19 June 1980 The convention establishes uniform rules concerning the law applicable to contractual obligations in the EU.It has applied since 1 January 1991. Scope The convention on the law [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[153,150],"tags":[],"_links":{"self":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/12451"}],"collection":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/comments?post=12451"}],"version-history":[{"count":1,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/12451\/revisions"}],"predecessor-version":[{"id":12452,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/12451\/revisions\/12452"}],"wp:attachment":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/media?parent=12451"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/categories?post=12451"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/tags?post=12451"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}