Enforcement of Foreign Judgments in Germany

The German Code of Civil Procedure (ZPO) serves as the cornerstone of enforcement procedures in Germany. Our team at Schlun & Elseven Rechtsanwälte possesses a keen understanding of the ZPO’s provisions, allowing us to guide our clients through each stage of the enforcement process with precision and expertise. We work closely with our clients to analyse the requirements outlined in the ZPO for recognising and enforcing foreign judgments. This includes advising on procedural rules, jurisdictional considerations, and the criteria for determining the authenticity and finality of foreign judgments. By leveraging our extensive knowledge of the ZPO, we ensure that our clients’ enforcement proceedings adhere to the procedural standards set forth by German law. Our goal is to provide clarity and predictability, minimising the risk of procedural errors and delays that could impede the enforcement process.

In addition to domestic legislation, international agreements play a crucial role in shaping the legal landscape for enforcing foreign judgments in Germany. Our legal team recognises these agreements’ significance and impact on our clients’ enforcement efforts. As a signatory to the New York Convention, Germany is committed to facilitating the recognition and enforcement of arbitral awards issued in other contracting states. Our team is well-versed in the provisions of the New York Convention, enabling us to guide our clients through the nuances of enforcing arbitral awards in Germany with efficiency and effectiveness.

Furthermore, Germany’s membership in the Lugano Convention provides a framework for cooperation in civil and commercial matters among European countries.

Due to the European Regulation on Jurisdiction and the Recognition and Enforcement of Judgments in Civil and Commercial Matters (the CFI Regulation), the process by which EU member states recognise each other’s judgments is a much less arduous process than it is for those from non-EU jurisdictions. § 36 CFI regulation states, “a judgment given in a Member State shall be recognised in the other Member States without any special procedure being required.”

In cases involving judgments made in the courts of EU Member States, it is vital to have a copy of the decision on hand, and it may also be required to have the judgment translated. A professional translator should perform this translation. § 328 German Code of Civil Procedure (ZPO) determines the criteria for recognising the judgments from foreign jurisdictions.

§ 328 ZPO states that one of its requirements is the reciprocity of recognition. This reciprocity points to the fact that if the other jurisdiction does not recognise German judgments, they are unlikely to be recognised in German courts. This is not a straightforward question and can be difficult to prove. As establishing reciprocity can be challenging, you should have a legal professional in your corner when pursuing this information. In particular, it is necessary to avail of the services of a well-versed lawyer with experience in foreign jurisdictions.

If the German court has recognised the court judgment, then in most cases, the German court does not seek to change the decision given. Recognition of the case will not allow that judgment to be challenged in German courts. The exception to this view on the enforcement of the ruling is where the judgment itself goes against the fundamental principles of German law. In this case, the decision will not be recognised. However, even if the German court would have ruled differently in the case, the judgment by the foreign court would be respected in Germany.

It is crucial to examine the relationship between Germany and the foreign jurisdiction as there is no general obligation that countries recognise the judgments made in foreign courts. Many international conventions in specific fields promote multilateral recognition of foreign judgments, but these are restricted to the particular areas in which they apply. If there is a relationship between the two jurisdictions that recognise legal judgments, your legal professional will apply to enforce the foreign judgment with a regional court.

However, if it is not from a jurisdiction with such a relationship, then your lawyer can bring an exequatur procedure to have the judgment recognised. These exequatur procedures will likely be required when dealing with judgments originating outside of the European Union. For example, cases from the USA, China and Turkey have no set agreement with Germany in many areas.

When conducting the exequatur procedure, the German judges will determine whether the case was done under general legal principles of fairness and without fraud. A judgment provided in a foreign court would not be deemed enforceable if it was given against the fundamental principles of German law. Our legal experts will examine whether the jurisdiction that has provided the judgment has a bilateral arrangement with Germany regarding the recognition of legal rulings.

The principles behind the recognition and enforcement of foreign judgments are outlined in greater detail through § 328 German Code of Civil Procedure (ZPO). Although this law does not state what is permitted as the nature of the case decides, it guides what is not allowed under German law. This article states the following: Recognition of a judgment handed down by a foreign court shall be ruled out if:

• The courts of the state to which the foreign court belongs do not have jurisdiction according to German law;
• The defendant, who has not entered an appearance in the proceedings and who takes recourse to this fact, has not duly been served the document by which the proceedings were initiated or not in such time to allow him to defend himself;
• The judgment is incompatible with a judgment delivered in Germany, or with an earlier decision handed down abroad that is to be recognised, or if the proceedings on which such decision is based are incompatible with proceedings that have become pending earlier in Germany;
• The recognition of the judgment will lead to a result that is obviously incompatible with essential principles of German law, in particular, if the recognition is not compatible with fundamental rights;
• Reciprocity has not been granted.

As can be seen, the legal status of foreign judgments’ enforceability depends on several factors. Countries without a stable democratic process and a non-independent judiciary will have difficulty reaching the requirements of German law’s recognition of fundamental rights.

At Schlun & Elseven Rechtsanwälte, we understand the complexities involved in enforcing foreign judgments in Germany, and we provide comprehensive assistance to our clients throughout the enforcement process. Our experienced team is dedicated to ensuring that our clients’ interests are protected and their objectives are achieved efficiently and effectively. This process involves assisting clients in preparing and filing applications to recognise and enforce foreign judgments in German courts. Our lawyers meticulously review all relevant documentation and ensure that the application meets the procedural requirements set forth by German law. With our expertise in the German legal system, we streamline the application process, expediting the commencement of enforcement proceedings.

Moreover, Schlun & Elseven Rechtsanwälte represent clients in enforcement proceedings before German courts. Our skilled attorneys advocate on behalf of our clients, presenting compelling arguments and evidence to support the enforcement of foreign judgments. We handle all aspects of the enforcement process, from attending hearings to addressing procedural matters, ensuring that our clients receive personalised and dedicated representation at every stage. Our team also recognises the value of efficient dispute resolution and is ready to advise clients regarding negotiations and settlement discussions with counterparties to facilitate enforcement without prolonged litigation. Our firm adopts a proactive approach to resolving disputes. We strive to achieve favourable outcomes for our clients through skilled negotiation and strategic advocacy.

At Schlun & Elseven Rechtsanwälte, we are widely experienced in supporting foreign companies and individuals seeking to enforce judgments under German law. We have worked with clients worldwide in dealing with the complexities of the German legal system. Please do not hesitate to contact us directly for specialised legal guidance.

When enforcing foreign judgments involving debt collection in Germany, our lawyers support clients in dealing with jurisdictional issues, recognition procedures, and enforcement actions with precision and efficiency. We assist clients in preparing and filing applications for the recognition of foreign judgments in German courts, ensuring compliance with procedural requirements and maximising the enforceability of judgments. Our debt collection law team advises clients on debt collection procedures and enforcement mechanisms under German law. We guide clients through every stage of the debt collection process, from initial assessment to enforcement actions, ensuring compliance with legal requirements and maximising recovery.

Our firm provides representation in enforcement proceedings before German courts, advocating for our clients’ interests and addressing procedural matters with diligence and expertise. We leverage negotiation skills to facilitate settlement discussions with counterparties, minimising the need for prolonged litigation while prioritising our clients’ enforcement objectives.

Schlun & Elseven Rechtsanwälte’s insolvency specialists offer comprehensive support with enforcement proceedings involving insolvent debtors. With a deep understanding of German insolvency law, our team ensures clients receive extensive guidance and representation. We employ creative asset recovery strategies, advocating for creditors’ rights at every stage, from filing claims to challenging insolvency plans.

Leveraging our expertise, we tailor enforcement strategies to align with clients’ objectives through negotiation, litigation, or alternative dispute resolution methods. Additionally, our cross-border insolvency expertise facilitates seamless enforcement of foreign judgments, including recognition and cooperation with foreign insolvency representatives, ensuring clients’ rights are protected and their enforcement goals are achieved efficiently.