Definition and Purpose of the Lugano Convention
The Lugano Convention (abbreviated as LugC or Lugano II) is an international treaty that regulates judicial jurisdiction as well as the recognition and enforcement of decisions in civil and commercial matters between certain European states. Its aim is to facilitate international legal transactions, ensure legal certainty, and create parallel solutions to internal EU law. The Convention was signed in Lugano on October 30, 2007, and entered into force on January 1, 2010.
Historical Development and Scope of Application
Background and Relationship to the Brussels I Regulation
The Lugano Convention is the successor instrument to the first Lugano Convention of 1988. In content, it is based on the Brussels I Regulation (EU Regulation No. 44/2001), a central European legal act in the field of international civil procedure law. The LugC serves in particular to extend the rules of the Brussels I Regulation to states of the European Economic Area (EEA) and EFTA that are not members of the European Union.
Contracting Parties and Scope
The Convention is applied by the Member States of the European Union, Iceland, Norway, and Switzerland. It regulates judicial jurisdiction and the recognition and enforcement of court judgments, provided that they concern civil and commercial matters. Excluded, among others, are tax and customs matters, administrative disputes, and insolvency law.
Regulatory Content of the Lugano Convention
Jurisdictional Provisions
The Lugano Convention contains extensive rules on jurisdiction, specifying which court within the area of application is competent for cross-border legal disputes.
General Jurisdiction
The core provision is general jurisdiction at the defendant’s domicile (Art. 2 LugC). In addition, there are special jurisdictions, for example, for contractual or tort disputes.
Special and Exclusive Jurisdictions
Certain matters are subject to special rules on jurisdiction. These include, for example, the right to bring an action at the place of performance in contractual disputes or claimant-friendly rules in cases of tort. Exclusive jurisdiction applies, among other things, to disputes over rights in rem in immovable property.
Jurisdiction Agreements
The parties are free to determine the jurisdiction of a particular court by an agreement on jurisdiction, provided that no exclusive jurisdictions are affected (Art. 23 LugC).
Recognition and Enforcement of Decisions
Basic Recognition Requirement
Judicial decisions from one contracting state are generally recognized automatically in the other contracting states (Art. 33 LugC).
Enforceability and Procedure
The declaration of enforceability of a decision requires a simplified procedure, restricting national examination to a minimum. Enforcement orders are generally issued without a renewed substantive review of the dispute.
Grounds for Refusal
Recognition or enforcement can only be refused in exceptional cases, particularly in the event of ordre public violations or if the defendant’s right to be heard was violated.
Relationship to Other Legal Instruments and Special Features
Relationship to the Brussels I Regulation
The Lugano Convention largely corresponds to the Brussels I Regulation (now Brussels Ia Regulation, EU Regulation No. 1215/2012). However, there are differences regarding individual jurisdiction rules as well as the procedures for recognition and enforcement.
Relationship to National Laws
The Convention takes precedence over national provisions of the participating states within its scope and conclusively regulates cross-border cases to the extent they are covered.
Priority of Other Conventions
In certain areas, the Lugano Convention may be superseded by other international agreements, such as the Hague Conventions on specific legal matters like child abduction, maintenance, or adoption.
Significance in Practice and Recent Developments
Wide Fields of Application
The Lugano Convention is of considerable practical importance, particularly for international business transactions, cross-border private client services, and trade throughout Europe, with a focus on legal relationships between the EU and EFTA states.
Aftermath of Brexit
The United Kingdom’s withdrawal from the EU has raised the question of further participation in the Lugano Convention. As of June 2024, the United Kingdom is no longer a party to the LugC; corresponding accession applications are currently under discussion.
Case Law and Interpretation
The interpretation of the Lugano Convention takes into account the case law of the Court of Justice of the European Union (CJEU) insofar as identical or similar provisions to those in the Brussels I Regulation are concerned. The aim is maximum harmonization and uniformity of law.
Literature and Further Information
For further in-depth information, various specialist articles, explanatory works, and the official website of the Swiss Confederation as well as the EU Commission offer additional sources.
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This article combines the essential elements and offers a detailed, structured overview of the legal framework and practical significance of the Lugano Convention in European legal transactions.
Frequently Asked Questions
When does the Lugano Convention apply in international civil procedural law?
The Lugano Convention applies when judicial jurisdiction as well as the recognition and enforcement of civil and commercial judgments arise between contracting states that are either members of the European Union, EFTA (except Liechtenstein), the United Kingdom (if applicable), or Switzerland. It becomes relevant whenever at least one party has their domicile or seat in a Lugano state and cross-border disputes with reference to these states arise. The Convention primarily applies to monetary claims, compensation claims, or other obligations-related disputes in the field of private international law, and thus determines which national court in which state has jurisdiction over a civil law dispute and how a foreign judgment can be recognized and enforced.
What requirements must be met for the recognition of foreign judgments under the Lugano Convention?
According to the Lugano Convention, the judgments must have been issued by a court that had jurisdiction based on the jurisdiction rules provided for in the Convention. In addition, the judgment to be recognized must not violate the public policy (ordre public) of the recognizing state, must not be inconsistent with a judgment already issued or to be recognized in that state, and must not involve procedural violations, especially of fundamental procedural rights (such as the right to be heard). Furthermore, the judgment must be final or enforceable, which is decisive for the time of recognition.
What exceptions to the obligation to recognize and enforce does the Lugano Convention provide?
The Lugano Convention provides specific exceptions for recognition and enforcement. A judgment must not be recognized or enforced if any of the following conditions are met: a party was not granted the right to be heard (e.g., proper service of the summons was not effected), the judgment violates the public policy (“ordre public”) of the requested state, or the judgment is incompatible with an earlier judgment between the same parties regarding the same subject matter that has already been issued or recognized in the recognizing state. These exceptions serve to protect national legal systems and procedural safeguards.
How is the procedure for recognition and enforcement of a judgment under the Lugano Convention carried out?
The procedure for recognition and enforcement is relatively formalized: it generally involves an application by the interested party to the competent court of the requested state. Certain documents must be submitted, in particular an enforceable copy of the foreign judgment and a certificate pursuant to Art. 54 LugC, issued by the court of origin. The court formally examines the prerequisites and, upon request of the opposing party, may also review substantive objections, especially the exceptions described above. The final declaration of enforceability (exequatur) then enables the actual enforcement of the decision by national enforcement authorities.
How is international jurisdiction determined under the Lugano Convention?
International jurisdiction is governed by the principle that actions against persons domiciled in a contracting state must in principle be brought before the courts of that state. The Convention also provides for special fora, e.g., for contractual and tort claims, consumer and employment law matters, as well as exclusive jurisdiction for particular fields such as real property or company law. Party agreements (jurisdiction agreements) are also permissible under strict conditions and are recognized, provided they comply with the formal and substantive requirements of the Convention.
How does the Lugano Convention differ from the Brussels Ia Regulation?
The Lugano Convention is largely modeled on the system and provisions of the Brussels Ia Regulation. Nevertheless, there are differences, particularly regarding the up-to-dateness of the regulations (e.g., on jurisdiction in consumer matters or on provisional measures). The procedures for recognition and enforcement may also differ: for instance, the Brussels Ia Regulation abolishes the exequatur procedure, whereas the Lugano Convention still requires such a (albeit simplified) procedure. Moreover, the ongoing adaptation of EU instruments does not automatically affect the Convention, so that its provisions partially lag behind the European standard.
