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Enforcement of Foreign Judgments in Cyprus
May be enforced under European Union Regulations, Statute and Common Law.
– The foreign judgment has been issued by a court which has jurisdiction in accordance with Cypriot rules on conflict of laws.
– The enforcement of foreign judgments is not contrary to Cypriot Public policy.
– The foreign judgment has been made on merit and not according to procedure.
– The foreign judgment has not been obtained by fraud and
– The proceedings which led to the issuance of the foreign judgment were not contrary to the laws of natural justice.
Enforcement and execution of foreign judgments in Cyprus, Law No. 121(1)/2000 in relation to the Recognition, Enforcement and Execution of Foreign Judgments applying to all cases in which recognition, registration and enforcement of decisions of foreign courts is requested.
Section 5, requires an application by summons accompanied by an affidavit to be filed at the District Court and in accordance with the applicable Civil Procedure Rules in Cyprus.
Enforcement of EU Judgments
EC Regulation No. 805/2004 – EC Regulation No. 44/2001.
The main source of law is EC Regulation No. 44/2001 on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters.
Grounds for Refusal of recognition and enforcement of judgment under Article 34 of EC Regulation No. 44/2001:
– If contrary to the pubic policy of Cyprus.
– If given in default of appearance and the Defendant was not served with the document instituting proceedings in good time or in a manner as to enable him to prepare his defense.
– If inconsistent with earlier judgment of the Cypriot Courts between the same parties.
– If recognition is inconsistent with earlier judgment given in another Member State or in a third State between the same parties regarding the same cause of action.
Application of Law No. 121(1)/2000 and in the Foreign Judgment (Reciprocal Enforcement) Law.
Enforcement of non-EU Judgments
Cyprus is signatory to a number of multilateral conventions relating to the recognition and enforcement of foreign judgments including:
– The Convention on the Recognition and Enforcement of Foreign Judgments in Civil and Commercial Matters and Supplementary Protocol (Hague Convention).
– Hague Convention on the service abroad of Judicial an Extrajudicial Documents in Civil or Commercial Matters 1965.
Article 5 of Hague Convention 1965.
The Central Authority of the State addressed shall itself serve the document or shall arrange to have it served by an appropriate agency e.g. Ministry of Justice of Ukraine, either:
– By a method prescribed by its internal law for the service of documents in domestic actions.
– By a particular method requested by the applicant, unless such a method is incompatible with the law of the State addressed.
- Subject to sub-paragraph (b) of the first paragraph of Article 5, the document may always be served by delivery to an addressee who accepts it voluntarily.
- Cyprus is party to a number of bilateral treaties in relation to the recognition and enforcement of foreign judgments. Ukraine (Rat. Law 172/86 and 8/2005), Russia (Rat. Law 172/86), Belarus (Rat. Law172/86), Georgia (Rat. Law 172/86).
Enforcement of Foreign Arbitral Awards
Foreign arbitral awards can be enforced in Cyprus
– By virtue of provisions stated in the Cyprus International Commercial Arbitration Law No.101/1987 and
– The New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards of 1958 which was ratified by Law No. 84/1979.
Enforcement of Foreign Arbitral Awards under the 1958 New York Convention
It is obliged to enforce awards made in foreign states that are signatories to the Convention, since Convention imposes an obligation on all contracting states to recognise arbitral awards as binding and to enforce them.
Refusal for recognition and enforcement
Reasons for refusal of recognition and enforcement of foreign arbitral award under the New York Convention:
– If Arbitration agreement is invalid under the laws of Cyprus or the laws of the country which it was made,
– or the parties were incapable of entering into an arbitration agreement,
– if the party against whom the award was made was not given proper notice of the appointment of the arbitrator or the proceedings,
– or was not able to present his case,
– if the foreign award was outside of the arbitration agreement,
– if the composition of the authority was not in line with the agreement of the parties or the applicable law where the arbitration took place,
– if the award has not yet become binding on the parties or has been set aside or suspended.
Recognition and enforcement of an arbitral award may also be refused by Cypriot courts if the subject matter of the arbitration is not capable for settlement under Cypriot law or if the subject matter violates the public policy of Cyprus.
Enforcement procedure of arbitral award
Party seeking enforcement to submit an application by summons accompanied by an affidavit to be filed at the District Court and in accordance with the applicable Civil Procedure Rules in Cyprus.
Must also produce a duly authenticated original award with the original agreement or certified copies of aforementioned. Official translation in Greek language also supplemented.
Application fixed within 4 weeks from filing will give the opportunity to the other party to contest application by filing written objection.
Foreign Claims Registration in Cyprus
Claim can be registered in Cyprus if the subject matter of the agreement involves the jurisdiction of Cyprus Courts.
Claim Registration Procedure
a. Filing of an application for permission to the Court supported by an affidavit which could establish a Prima Facie Case of Claimant.
b. Permission given if the application for summons is eligible to be delivered outside Cyprus.
c. In Court Claimant submits a request as to whether the process shall be made through the Embassy of the foreign judicial authority with two copes official certified translations in the language the notice is intended to be given.
d. The Court Registrar will submit copy of application and certified translation into the Foreign Office of Cyprus which then assumes responsibility to notify the relevant party through contacting the respective Foreign Office of the Relevant Country.
When the relevant party receives notice of proceedings then the claim can be adjudicated in Cyprus.
Application of Hague Convention on the service abroad of Judicial an Extrajudicial Documents in Civil or Commercial Matters 1965.
Application of Article 5 is also possible if country has ratified Hague Convention on the service abroad of Judicial an
Extrajudicial Documents in Civil or Commercial Matters 1965.
Article 5 of Hague Convention 1965.
The Central Authority of the State addressed shall itself serve the document or shall arrange to have it served by an
appropriate agency e.g. Ministry of Justice of Ukraine.