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Recognition of Judgments in commercial matters

In today’s global market, commercial disputes frequently cross borders. It is vital for businesses and individuals to know whether a court decision or judgment issued in one country can be recognised and enforced in another.

The rules for recognition and enforcement have changed significantly since the United Kingdom left the European Union, which makes informed guidance more important than ever.

Before 31 December 2020, recognition and enforcement of commercial judgments between the UK and EU Member States were largely governed by the Brussels Ia Regulation (Regulation (EU) No 1215/2012).

This regime simplified enforcement and allowed, for example, a judgment from a court in one Member State to be recognised and enforced in another with limited additional steps.

Proceedings started before the end of the transition period can, in many cases, still benefit from those simplified mechanisms.

For proceedings begun after 31 December 2020, the position is different.

Recognition and enforcement of judgments between the UK and EU states now depend on a combination of instruments, including the 2005 Hague Convention on Choice of Court Agreements (for certain exclusive jurisdiction clauses), the 2019 Hague Judgments Convention where it applies, and the domestic law of the relevant countries.

Where there is no applicable convention or agreement, national rules and any bilateral arrangements govern how a foreign judgment can be recognised and enforced.

 

If a judgment arises from a contract that contains an exclusive choice‑of‑court clause in favour of a particular court, there may be streamlined routes to recognition and enforcement, provided the requirements of the relevant convention are met.

Situations without a clear jurisdiction clause, or involving non‑exclusive or asymmetric clauses, can be more complex and may require a closer look at domestic rules and current international instruments.
 

As the UK is no longer part of the Lugano Convention, some claims relating to business or contract disputes may now involve additional procedural steps and a closer analysis of which regime applies.

Future developments – including wider take‑up of the Hague Judgments Convention and any new arrangements between the UK and other states – may further shape how judgments are recognised and enforced.

Polit Law LTD provides guidance and practical support in relation to recognition of commercial judgments, including:

  • Identifying whether a particular judgment or claim is likely to fall under the Brussels Ia Regulation (based on when proceedings commenced), the 2005 Hague Convention, the 2019 Hague Judgments Convention or domestic law.
     

  • Explaining the procedures for enforcing UK judgments abroad or foreign judgments in the UK in commercial, contractual and tort matters.
     

  • Assisting with the preparation of documentation, supporting evidence and applications required for recognition and enforcement.
     

  • Helping navigate more complex scenarios, such as enforcement involving non‑EU countries or where questions about the appropriate forum arise.
     

  • Liaising with regulated lawyers and foreign legal professionals who can take the necessary steps before the courts in the states where recognition or enforcement is sought.

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