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EU ministers agree contractual dispute jurisdiction rules for Rome I.

EUROPEAN Union (EU) ministers have ordered a clarification of the Rome I convention choosing jurisdictions for cross-border contractual disputes. In a review, the EU Council of Ministers has focused especially on where parties cannot agree a jurisdiction. Then, the country where a contract was to be fulfilled is the first choice, but, said a council decision, "to achieve more legal certainty, some of the most typical contracts should be explicitly mentioned" as covered by this rule. However, ministers also sought additional flexibility for trickier cases by ordering an "escape clause (for where) it is clear from all the circumstances ... that the contract is manifestly more closely connected with another country." Meanwhile, the council and the European Parliament will create a conciliation committee to resolve differences over the draft Rome II convention regarding cross-border non-contractual disputes.
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Author:Nuthall, Keith
Publication:International News
Date:Apr 1, 2007
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