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European Union

Understanding the insolvency exception under Lugano and the Hague Choice of Court Convention: scope, interplay with the EU Insolvency Regulation and Brussels I (recast), and leading CJEU decisions

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Practice notes
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The conventions/regulations

The insolvency exception appears in a range of conventions/regulations, including:

  • Lugano Convention — the convention on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters, between the European Community and the Republic of Iceland, the Kingdom of Norway, the Swiss Confederation and the Kingdom of Denmark, signed on behalf of the European Community on 30 October 2007 (the Lugano Convention), which governs disputes involving Switzerland, Norway or Iceland. For further information on this convention, see Practice Notes: Tracker—Lugano Convention 2007 [Archived] and Lugano Convention 2007—general provisions in relation to jurisdiction
  • Hague Convention — the Hague Convention on Choice of Court Agreements (the Hague Convention) (in force from 1 October 2015 onwards)

The insolvency exception

In cross-border insolvencies, deciding which court has jurisdiction often depends on identifying the governing cross-border convention or regulation and whether the various instruments are intended to dovetail, or whether some matters fall between two stools. Many cross-border conventions/regulations expressly carve out insolvency/bankruptcy because separate regulations were intended to address those situations. When cross-border frameworks were being developed, insolvency was seen as particularly difficult and the only way...

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Web page updated on 22/05/2026

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