On 1 July 2025, the Hague Convention of 2 July 2019 on the Recognition and Enforcement of Foreign Judgments in Civil or Commercial Matters (the “Hague 2019 Convention”) will enter into force in the United Kingdom. The Contracting States include all EU Member States (except Denmark), Ukraine, Uruguay, and the United Kingdom. This marks a significant step in the re-establishment of a coherent framework for the cross-border recognition and enforcement of UK court judgments in the post-Brexit landscape.
The post-Brexit landscape left UK judgments facing fragmented and often challenging enforcement prospects within the European Union, primarily due to the UK's departure from the comprehensive framework of the Brussels I Recast Regulation and its non-accession to the Lugano Convention. Although the UK Government sought to mitigate these post-Brexit enforcement gaps by re-joining the Hague Convention on Choice of Court Agreements 2005 (the “Hague 2005 Convention”), a significant void persisted, as the Hague 2005 Convention applies only to exclusive jurisdiction clauses and the recognition of judgments arising specifically from such clauses. This left a wide array of UK judgments, particularly those not based on such clauses, without a clear and consistent pathway for recognition and enforcement across the EU.
Impact on Recognition and Enforcement: A Complement to the Hague 2005 Convention
The Hague 2019 Convention helps to bridge this gap by complementing the Hague 2005 Convention with a broader enforceability regime. Notably for commercial parties, the Hague 2019 Convention covers judgments based on non-exclusive jurisdiction clauses as well as asymmetric jurisdiction clauses. Asymmetric jurisdiction clauses - commonly found in English law-governed, LMA-style facility agreements and other finance documents - allow one party (usually the lender) to choose between multiple courts, while the other party is restricted to a specific forum. Such clauses were outside the scope of the Hague 2005 Convention, which raised uncertainty regarding the enforceability of UK judgments issued pursuant to asymmetric or non-exclusive clauses in EU Member State courts. The Hague 2019 Convention now provides much-needed clarity and a pathway for the recognition and enforcement of these judgments. Of course, the Convention also operates in the reverse, establishing a similar framework for the enforcement of judgments from other Contracting States, including EU Member States, in the United Kingdom, thereby offering a more streamlined and predictable route for obtaining recognition and enforcement of EU judgments in the UK.
Luxembourg’s Integration of the Hague 2019 Convention
In anticipation of the entry into force of the Hague 2019 Convention, Draft Law No. 8550 ("Draft Law") was submitted on 10 June 2025 to the Luxembourg Parliament (Chambre des Députés). The Draft Law proposes to amend article 679 of the New Code of Civil Procedure (“NCPC”) in order to explicitly include the Hague 2019 Convention into the non-exhaustive list of international treaties under this article. This legislative initiative aims to ensure clarity and provide adequate visibility of the Hague 2019 Convention for Luxembourgish courts, thereby facilitating the application of the streamlined exequatur procedure for the recognition and enforcement of judgments falling under the Convention, as opposed to the more general and often lengthier domestic regime.
A streamlined exequatur procedure offers a notable advantage over the general regime applicable in the absence of an international instrument like the Hague 2019 Convention. Under the streamlined exequatur procedure, the requesting party may submit an application for recognition or enforcement directly to the President of the District Court, who may issue an ex parte order within a matter of weeks. While the opposing party retains the right to contest the decision by filing an appeal with the Court of Appeals, doing so triggers adversarial proceedings under the regular written procedure - potentially lengthening the timeline but only at a secondary stage and skipping one degree of jurisdiction.
By contrast, under the general exequatur regime, proceedings are adversarial from the outset since the first instance. The case follows the standard civil written procedure, which may extend over several years, particularly where the judgment debtor actively resists enforcement. The judgment can then be appealed in front of the Court of Appeals
The streamlined route also significantly limits the Luxembourg court’s discretion: no review on the merits of the foreign judgment is permitted, and enforcement can only be refused on the limited grounds exhaustively listed under the relevant international instrument.
The Takeaway
The entry into force of the Hague 2019 Convention in the United Kingdom marks a pivotal development, significantly restoring legal certainty for the post-Brexit recognition and enforcement of UK judgments across the European Union. This is particularly impactful for the financial sector, as it provides a robust and predictable legal pathway to enforce judgments arising from English law financing agreements, including those incorporating complex asymmetrical jurisdiction clauses.
Luxembourg's proactive legislative response, through the proposed explicit inclusion of the Hague 2019 Convention in Article 679 of its New Code of Civil Procedure, while potentially not strictly necessary given the non-exhaustive nature of the existing list, is nonetheless a welcome development. This amendment provides heightened clarity and visibility, ensuring that qualifying UK judgments will benefit from a streamlined and efficient exequatur procedure within Luxembourg. Such a forward-looking approach not only bolsters Luxembourg's appeal as a jurisdiction for seamless cross-border enforcement but also underscores its steadfast commitment to procedural efficiency and international legal cooperation.
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