Alan Sheeley forecasts the future of cross-border litigation
The European Commission published a proposal in July to create a Regulation to facilitate cross-border debt recovery in civil and commercial matters. The proposed instrument is known as a European Account Preservation Order (EAPO). It is intended to provide an alternative to existing domestic freezing orders in cross-border cases.
The Lisbon Treaty allows the UK to opt in to matters that affect UK civil law. If the UK does not opt in, then the Regulation will not affect the UK. The Ministry of Justice held a public consultation on whether the UK should opt in to the proposal, which closed in September. On 31 October the UK decided not to opt in. It will still be able to participate in the discussions to determine the final draft Regulation. If the Regulation is formally adopted then all member states apart from the UK and Denmark will be bound by it. Despite its profound concerns, the government continues to welcome the objectives of introducing the EAPO and is supportive of procedures for easier debt recovery
