Businesses will save time and money on repetitive legal action thanks to new international rules coming into force across the UK on 1 July.
- Agreement will cut delays and costs for UK businesses
- UK judgments against foreign suppliers will be recognised by participating countries overseas
- This will boost the UK legal sector and drive economic growth, part of the government's Plan for Change
The UK Government has signed up to the Hague 2019 Convention, which means other countries will more easily recognise and enforce UK court judgments in cross-border disputes - sparing firms from costly and repetitive court battles.
Currently, if a UK business wins a case in a UK court against a company based in another country, business leaders face the threat of time-consuming enforcement processes or even identical legal action overseas for the same dispute - causing delays, increasing costs and creating confusion to the consumer.
The new rules will provide a simpler enforcement route to existing complex systems, giving one clear consistent set of shared rules - that the UK helped shape - making the process easier for everyone.
Streamlining the process will save businesses time and money, encourage foreign companies to use the UK's world-class lawyers and courts to settle their disputes and grow the economy overall.
Justice Minister, Lord Ponsonby, said:
This Convention delivers real benefits for British businesses dealing with international disputes.
As part of our Plan for Change we're boosting UK firms' confidence to trade by minimising legal costs and ensuring justice across borders, all while cementing Britain's role as a global legal powerhouse committed to the rule of law.
The Convention will enhance international legal collaboration. It will apply to judgments in civil and commercial matters, strengthening the UK's position as a global hub for dispute resolution.
The 2019 Hague Convention is already being applied by 29 parties, from Ukraine to EU countries, with Uruguay joining last year. This means UK civil and commercial judgments will be recognised and enforced in these nations and that the UK will recognise judgments made in their courts.
With 91 members of the Hague Conference on Private International Law (HCCH), a major multilateral forum for private international law rules which has produced numerous conventions including the 2019 Hague Convention, Hague 2019 has a potentially global reach.
The Convention will apply to judgments given in proceedings that commence on or after 1 July 2025 across the entire United Kingdom or in other participating countries.
