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Where do you bring a claim if you have an accident in another European country or if you have other cross border problems which are not contract related?
The Rome 2 Regulations, (EC) Number 864/2007, which provide rules known as Conflict of Law Rules to determine the laws applicable to non-contractual disputes in Civil and Commercial matters, came into force on the 11th January 2009.
The rules in effect lay down the criteria for deciding in which European jurisdiction proceeding arising out of non contractual disputes should be taken.
The Rules were signed by all 26 member States, excluding Denmark.
It should be noted, however, that priority is given to existing international conventions to which one or more member States are parties.
Rome 2 applies to non-contractual obligations only. It does not apply to revenue, customs or administrative matters or to the liability of the State. Additionally the Regulations do not cover non-contractual disputes relating to family matters, matrimonial property, bills of exchange, cheques, the law of companies, trust law information or nuclear damage.
The general rule is that proceedings should be taken in the country in which the damage occurs and the law of that country is the applicable law, unless the person claimed to be liable, and the person sustaining the damage, both have their habitual residence in the same country.
This rule does not apply if the tort, or non-contractual obligation, is manifestly more closely connected with another country. The definition of “more closely connected” is likely to be interpreted over the years by the Court of Justice of the European Community.
Notwithstanding the general rule, there are special rules governing product liability (Article 5), Unfair Competition and Acts restricting free competition (Article 6), Environmental Damage (Article 7), Infringement of Intellectual Property Rights (Article 8), Industrial Action (Article 9).
The regulations also lay down rules for the jurisdiction in which proceedings can be pursued for non-contractual damages which arise out of or concern a pre-existing relationship between the parties, such as one arising out of Contract or Tort.
The Regulations makes provision allowing parties engaged in commercial activity to agree in advance, the law of to which they will submit any disputes, should they arise. This option is not open to lay people, but by agreement entered into after the even giving rise to a clam for damages, the parties may agree a law of choice.
These regulations apply from the 11th January 2009.