New rules on assignment of claims to foster cross-border investment

Dražen Bošnjaković: The regulation will give businesses and consumers greater legal certainty

Photo: EU Dražen Bošnjaković.

A regulation that will set out uniform rules to designate which national law should determine the ownership of a claim after it has been assigned on a cross border basis was discussed during the videoconference of EU Justice Ministers on Thursday, convened by the Croatian Presidency.

Dražen Bošnjaković, Minister of Justice of Croatia, who led the meeting, underlined that for the single market to reach its full potential, practical obstacles to cross-border investment need to be reduced. According to him, the proposed legislation which was discussed by the ministers, will give businesses and consumers greater legal certainty, facilitating their access to finance.

The discussion provided political guidance on whether the retroactive application of the regulation should be excluded, should it contain rules on priority conflicts involving novation and whether the principle of universality should be upheld in the regulation. Ministers widely supported the non-retroactivity and universal application of the future instrument, providing as well their input on the topic of novation. Discussions on this proposal will now continue at technical level.

During the videoconference were also exchanged views on the issue of extradition of EU citizens to third countries. Following a series of judgements from the Court of Justice in the last years, including the judgement in the Petruhhin case, citizen of Estonia, living in Latvia, whose extradition Russia seeks because of attempted large-scale organised drug trafficking, some work remains to be done to address their practical implications. Ministers agreed to invite Eurojust and the European Judicial Network (EJN) to analyse how requests for the extradition of EU citizens by third countries are handled in practice, and to make suggestions in this regard.

The Fundamental Rights Agency, Eurojust, the European Judicial Network and the Commission provided an overview of the state of play as regards the impact of Covid-19 on the EU area of justice.

The Commission reported on the setting up of the European arrest warrant coordination group, following the justice ministers videoconference on 6 April. Relevant information on the impact of Covid-19 on judicial cooperation collected by the Commission, Eurojust and the European Judicial Network is made available through a dedicated page on the e-Justice portal. The Fundamental Rights Agency regularly elaborates reports on the fundamental rights implications of Covid-19.

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