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National Enforcement Of International Judgements Essay

1217 words - 5 pages


National Enforcement of foreign Judgments

International trade disputes in national courts

The essential questions

There is no World court for international trade disputes. Such disputes are carried through by national courts. The essential questions that arise are as follows:

-International competencies of courts?

- Which is the applied law for the juridical proceedings?

-Acceptance and Enforcement of foreign judgments?

International Civil procedural law is national law. It follows the lex fori.

The sources of law for international civil procedural law

There are no globally valid agreements concerning the procedural law for international trade disputes.

The valid source of law for the EU is the EuGVVO also known as the Brussels-I-Agreement.

Additionally there are many other agreements regulating the decision making in civil and commercial matters even further f.e. Luganer Agreement

Neither competencies of courts nor recognition of judgements between the EU and the USA are regulated yet. An agreement on court jurisdiction has been ratified but has not yet become effective, the Hague Convention.

In addition, there are several bilateral contracts regarding trade.

If there are no international agreements, the ZPO (civil procedural law) is applied.

The international competency

Each state decides for itself if it is has competency for a cross-border statement of affairs. If it accepts competency the court of jurisdiction is given.

Different motivations for approaching a court of certain jurisdictions and countries:

Language barriers

Knowledge of the law system

Travel costs

Expensive translation costs

Corruption and bribing


Plaintiff friendly rulings

Within EU, the argument is carried through by those courts which they are most closely connected to f.e. place of execution and residency of defendant.

For the US, the matter of court competency is part of the economic policy, they will always rule in favor of the US company. Furthermore, the usage of Forum non conveniens is in common practice. Forum non conveniens implies the denial of competency if there is a foreign court which will rule more favorably for the plaintiff. Due to the high flexibility of the regulations, acceptance of competency of a US court in an international dispute is unpredictable.

The essential regulations of EuGVVO (Verordnung des Rates �ber die gerichtliche Zust�ndigkeit und die Anerkennung und Vollstreckung von Entscheidungen in Zivil- und Handelssachen)

The most important regulations of international competency of the courts and contracting states are contained in Article 2-24 of EuGVVO.

The general standing of court of jurisdiction

The general standing of court is at the residency of the defendant. For corporate bodies and companies it is at their headquarters. The standing of court always favors the defendant.

The court of jurisdiction of the place of fulfillment

In case...

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