JUDGMENT OF THE COURT
17 November 1998 (1)
(Brussels Convention - Arbitration clause - Interim payment - Meaning of 'provisional measures')
In Case C-391/95,
REFERENCE to the Court under the Protocol of 3 June 1971 on the interpretation by the Court of Justice of the Convention of 27 September 1968 on Jurisdiction and the Enforcement of Judgments in Civil and Commercial Matters by the Hoge Raad der Nederlanden for a preliminary ruling in the proceedings pending before that court between
Van Uden Maritime BV, trading as Van Uden Africa Line,
and
Kommanditgesellschaft in Firma Deco-Line and Another
on the interpretation of Article 1, second paragraph, point 4, Article 3, Article 5, point 1, and Article 24 of the Convention of 27 September 1968, cited above (OJ 1978 L 304, p. 36), as amended by the Convention of 9 October 1978 on the accession of the Kingdom of Denmark, Ireland and the United Kingdom of Great Britain and Northern Ireland (OJ 1978 L 304, p. 1, and - amended text - p. 77), and by the Convention of 25 October 1982 on the accession of the Hellenic Republic (OJ 1982 L 388, p. 1),
THE COURT,
composed of: G.C. Rodríguez Iglesias, President, P.J.G. Kapteyn, J.-P. Puissochet, G. Hirsch, P. Jann (Presidents of Chambers), G.F. Mancini, J.C. Moitinho de Almeida, C. Gulmann, J.L. Murray, D.A.O. Edward, H. Ragnemalm (Rapporteur), L. Sevón and M. Wathelet, Judges,
Advocate General: P. Léger,
Registrar: D. Louterman-Hubeau, Principal Administrator,
after considering the written observations submitted on behalf of:
- Van Uden Maritime BV, trading as Van Uden Africa Line, by L. Ebbekink, of the Hague Bar,
- Kommanditgesellschaft in Firma Deco-Line and Another, by J.L. de Wijkerslooth, of the Hague Bar,
- the German Government, by J. Pirrung, Ministerialrat in the Federal Ministry of Justice, acting as Agent,
- the United Kingdom Government, by L. Nicoll, of the Treasury Solicitor's Department, acting as Agent, and by V.V. Veeder QC, and
- the Commission of the European Communities, by B.J. Drijber, of its Legal Service, acting as Agent,
having regard to the Report for the Hearing,
after hearing the oral observations of the German Government, the United Kingdom Government and the Commission at the hearing on 22 April 1997,
after hearing the Opinion of the Advocate General at the sitting on 10 June 1997,
gives the following
eight questions on the interpretation of Article 1, second paragraph, point 4, Article 3, Article 5, point 1, and Article 24 of the Convention of 27 September 1968, cited above (OJ 1978 L 304, p. 36), as amended by the Convention of 9 October 1978 on the accession of the Kingdom of Denmark, Ireland and the United Kingdom of Great Britain and Northern Ireland (OJ 1978 L 304, p. 1, and - amended text - p. 77), and by the Convention of 25 October 1982 on the accession of the Hellenic Republic (OJ 1982 L 388, p. 1) (hereinafter 'the Convention').
'Application may be made to the courts of a Contracting State for such provisional, including protective, measures as may be available under the law of that State, even if, under this Convention, the courts of another Contracting State have jurisdiction as to the substance of the matter.'
in association with other shipping lines, on a liner service between northern or western parts of Europe and west Africa. In return, Deco-Line was to pay charter hire in accordance with the rates agreed between the parties.
enforced in the Netherlands. The mere fact that Deco-Line could acquire assets there in the future was, it considered, insufficient for that purpose.
'(1) Where an obligation to pay a sum or sums due under a contract must be performed in a Contracting State - so that, under Article 5, point 1, of the Brussels Convention, the creditor is entitled to sue his defaulting debtor in the courts of that State with a view to obtaining performance, even though the debtor is domiciled in another Contracting State - do the courts of the first-mentioned State (for that same reason) have jurisdiction also to hear and determine a claim brought by the creditor against his debtor in interim [kort geding] proceedings for an order requiring the debtor, by provisionally enforceable judgment, to pay a sum which, in the view of the court hearing the interim application, is very probably due to the creditor, or do additional conditions apply in relation to the jurisdiction of the court hearing the interim application, for example the condition that the relief sought from that court must take effect (or be capable of taking effect) in the Contracting State concerned?
(2) Does it make any difference to the answer to Question 1 whether the contract between the parties contains an arbitration clause and, if so, what the place of arbitration is according to that clause?
(3) If the answer to Question 1 is that, in order for the court hearing the interim application to have jurisdiction, the relief sought from it must also take effect (or be capable of taking effect) in the Contracting State concerned, does that mean that the order applied for must be capable of enforcement in that State, and is it then necessary for this condition to be fulfilled when the interim application is made, or is it sufficient that it can be reasonably expected to be fulfilled in the future?
(4) Does the possibility, provided for in Article 289 et seq. of the Netherlands Code of Civil Procedure, of applying on grounds of pressing urgency to the President of the Arrondissementsrechtbank for a provisionally enforceable judgment constitute a "provisional" or "protective" measure within the meaning of Article 24 of the Brussels Convention?
(5) Does it make any difference to the answer to Question 4 whether substantive proceedings on the main issue are, or may become, pending and, if so, is it material that arbitration proceedings had started in the same case?
(6) Does it make any difference to the answer to Question 4 that the interim relief sought is an order requiring performance of an obligation of payment, as referred to in Question 1?
(7) If Question 4 must be answered in the affirmative, and "the courts of another Contracting State have jurisdiction as to the substance of the matter", must Article 24, and in particular the reference therein to "such provisional ... measures as may be available under the law of [a Contracting] State", be interpreted as meaning that the court hearing the application for interim measures has (for that same reason) jurisdiction if it has jurisdiction under provisions of its national law, even where those provisions are referred to in the second paragraph of Article 3 of the Brussels Convention, or is its jurisdiction in the latter case conditional on the fulfilment of additional conditions, for example that the interim relief sought from that court must take effect, or be capable of taking effect, in the Contracting State concerned?
(8) If the answer to Question 7 must be that, in order for the court hearing the application for interim relief to have jurisdiction, it is also required that the relief sought from it must take effect (or be capable of taking effect) in the Contracting State concerned, does that mean that the order applied for must be capable of enforcement in that State, and is it then necessary for this condition to be fulfilled when the application for interim relief is made, or is it sufficient that it can reasonably be expected to be fulfilled in the future?'
- first, the relevance of the fact that the dispute in question is subject, under the terms of the contract, to arbitration,
- next, whether the jurisdiction of the court hearing the application for interim relief is subject to the condition that the measure sought must take effect or be capable of taking effect in the State of that court, in particular that it must be enforceable there, and whether it is necessary that such a condition should be met at the time when the application is made, and
- finally, the relevance of the fact that the case relates to a claim for interim payment of a contractual consideration.
measures from the scope of the Convention. The Commission points out that the subject-matter of the dispute is decisive and that the issue underlying the interim proceedings concerns the performance of a contractual obligation - a matter which falls within the scope of the Convention.
- on a proper construction of Article 5, point 1, of the Convention, the court which has jurisdiction by virtue of that provision also has jurisdiction to order provisional or protective measures, without that jurisdiction being subject to any further conditions, and
- where the parties have validly excluded the jurisdiction of the courts in a dispute arising under a contract and have referred that dispute to arbitration, no provisional or protective measures may be ordered on the basis of Article 5, point 1, of the Convention.
The answer to the fifth question must be that
- where the subject-matter of an application for provisional measures relates to a question falling within the scope ratione materiae of the Convention, the Convention is applicable and Article 24 thereof may confer jurisdiction on the court hearing that application even where proceedings have already been, or may be, commenced on the substance of the case and even where those proceedings are to be conducted before arbitrators.
Finally, the answer to the fourth, sixth, seventh and eighth questions must be that
- on a proper construction, the granting of provisional or protective measures on the basis of Article 24 of the Convention is conditional on, inter alia, the existence of a real connecting link between the subject-matter of the measures sought and the territorial jurisdiction of the Contracting State of the court before which those measures are sought, and
- interim payment of a contractual consideration does not constitute a provisional measure within the meaning of Article 24 of the Convention unless, first, repayment to the defendant of the sum awarded is guaranteed if the plaintiff is unsuccessful as regards the substance of his claim and, second, the measure sought relates only to specific assets of the defendant located or to be located within the confines of the territorial jurisdiction of the court to which application is made.
Costs
49. The costs incurred by the German and United Kingdom Governments and by the Commission, which have submitted observations to the Court, are not recoverable. Since these proceedings are, for the parties to the main proceedings, a step in the proceedings pending before the national court, the decision on costs is a matter for that court.
On those grounds,
THE COURT,
in answer to the questions referred to it by the Hoge Raad der Nederlanden by judgment of 8 December 1995, hereby rules:
1. On a proper construction of Article 5, point 1, of the Convention of 27 September 1968 on Jurisdiction and the Enforcement of Judgments in Civil and Commercial Matters, as amended by the Convention of 9 October 1978 on the accession of the Kingdom of Denmark, Ireland and the United Kingdom of Great Britain and Northern Ireland, and by the Convention of 25 October 1982 on the accession of the Hellenic Republic, the court which has jurisdiction by virtue of that provision also has jurisdiction to order provisional or protective measures, without that jurisdiction being subject to any further conditions.
2. Where the parties have validly excluded the jurisdiction of the courts in a dispute arising under a contract and have referred that dispute to arbitration, no provisional or protective measures may be ordered on the basis of Article 5, point 1, of the Convention of 27 September 1968.
3. Where the subject-matter of an application for provisional measures relates to a question falling within the scope ratione materiae of the Convention of 27 September 1968, that Convention is applicable and Article 24 thereof may confer jurisdiction on the court hearing that application even where proceedings have already been, or may be, commenced on the substance of
the case and even where those proceedings are to be conducted before arbitrators.
4. On a proper construction, the granting of provisional or protective measures on the basis of Article 24 of the Convention of 27 September 1968 is conditional on, inter alia, the existence of a real connecting link between the subject-matter of the measures sought and the territorial jurisdiction of the Contracting State of the court before which those measures are sought.
5. Interim payment of a contractual consideration does not constitute a provisional measure within the meaning of Article 24 of the Convention of 27 September 1968 unless, first, repayment to the defendant of the sum awarded is guaranteed if the plaintiff is unsuccessful as regards the substance of his claim and, second, the measure sought relates only to specific assets of the defendant located or to be located within the confines of the territorial jurisdiction of the court to which application is made.
Rodríguez Iglesias
Hirsch Jann
Mancini
Murray Edward
Ragnemalm
|
Delivered in open court in Luxembourg on 17 November 1998.
R. Grass G.C. Rodríguez Iglesias
Registrar President
1: Language of the case: Dutch.