Cross-Border Litigation in the Post-Brexit World: A View from London and Brussels
Following the UK’s exit from the EU on 31 January 2020 and the end of the transition period under the Withdrawal Agreement, unless proceedings were issued on or before 31 December 2020, the Brussels Recast Regulation no longer applies to questions of jurisdiction and the enforcement of court judgments between the UK and EU Member States. Nothing in the EU-UK Trade and Co-operation Agreement (EU-UK TCA) changes this position.
Since the UK has not yet acceded to the 2007 Lugano Convention, issues relating to jurisdiction and the enforcement of judgments as between the UK and EU Member States will be governed by the 2005 Hague Convention on Choice of Court Agreements or, where not applicable, by domestic law (including any relevant bilateral conventions which have been incorporated into domestic law).
This Client Alert provides an overview of the new rules applicable to post Brexit cross-border litigation with a particular focus on the impact of such changes in England and in Belgium. It also raises some practical considerations for clients to consider in thinking about cross-border litigation involving the UK and EU Member States. For the benefit of certainty, arbitration may be an attractive option for clients concerned about potential cross-border litigation as between UK and EU parties.