Taking counsel

  • 2004-06-10
How can a foreign judgment be enforced in Latvia?

The enforcement of foreign judgments is regulated by the Latvian Civil Procedure Law and international treaties ratified by the country.
New amendments to the Civil Procedure Law (in force from May 1, 2004) have entirely changed part F - namely, "recognition and execution of foreign court judgments." Now it defines "foreign court judgments" as any ruling given by a foreign court, whatever this ruling may be called. Further amendments cover in detail the process of the recognition - the application process and the reasons when the ruling shall not be recognized.
There are a few new principles introduced in this law: (1) a three-level appeal system of the decision on the recognition of the foreign court's judgment; (2) an option to request the court for interim measures in the process of recognition of the foreign court's judgment; (3) recognition and enforcement shall be possible not only when such procedure is set out in the international treaties Latvia has acceded to or in European law.
These changes in the Latvian Civil Procedure Law are harmonized with European Union law, and as from May 1, 2004, EU Council Regulation No. 44/2001 of Dec. 22, 2000 on jurisdiction and recognition and enforcement of judgments in civil and commercial matters is directly applied, thus any ruling rendered by an EU member state's court is enforceable in Latvia and vice versa.
Previously, foreign judgments were not enforceable in Latvia unless there were bilateral agreements on judicial cooperation signed with Latvia. For example, judgment rendered by the courts of the United States of America was not enforceable in Latvia.
Will it be possible to enforce a Latvian court's judgment in non-EU countries, for example, in the United States? Probably yes, if the foreign country's law recognizes the international law principle of the reciprocity and comity.
In relation to the recognition and enforcement of the foreign arbitral awards there are no substantive changes because since March 11, 1992, Latvia has adopted the Law on Accession of the 1958 New York Convention On the Recognition and Enforcement of Foreign Arbitral Awards. Essential amendments in these provisions are on interim measures - they are available after application is submitted to the court where the recognition is sought.
Finally, it is fair to say that the new amendments in the civil procedure significantly improve and expand Latvia's abilities in this area and strengthen Latvia's role in the area of international judicial cooperation.