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Choice of Court (Hague Convention) Bill 2015 [Seanad]

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Choice of Court (Hague Convention) Bill 2015 [Seanad]\Second Stage
Bills\Choice of Court (Hague Convention) Bill 2015 [Seanad]\Second Stage

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Choice of Court (Hague Convention) Bill 2015 [Seanad]

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Niall Collins

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Snippet Contents:

Fianna Fáil supports the Bill, which implements a Government decision to agree to the proposals contained in the convention in 2005. The Bill will clarify the rules surrounding international agreements which outline within them which court shall hear a case in the instance of a dispute. Acceding to this convention will promote greater legal certainty for cross-border business and create a climate more favourable to international trade and investment. The increasing codification of international dispute resolution provides the Irish legal sector with an excellent opportunity to become a world centre for the hearing of legal disputes. Given that Ireland is an English-speaking, common law and stable eurozone jurisdiction with strong international relations, the Government should be exploring ways of increasing the commercial opportunities in this sector. The Minister should examine whether it would be possible to create the legal equivalent of the IFSC in Ireland for international legal disputes.
The Hague Convention on Choice of Court Agreements of 30 June 2005, also knowns as the choice of court convention, aims to ensure the effectiveness of choice of court agreements, also known as forum selection clauses or jurisdiction clauses, between parties to international commercial transactions. In order to manage risk, parties often seek to agree in advance on how disputes arising out of transactions between them will be resolved. In some cases, the parties will refer the dispute to arbitration. In others, they will agree to litigate before a designated court. While arbitration agreements in international cases are almost universally recognised pursuant to the rules established by the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards 1958, choice of court agreements are not always respected under divergent national rules, particularly when cases are brought before a court other than the one designated by the parties.