The Law Applicable to Contractual Obligations and Non-Contractual Obligations (Amendment etc.) (EU Exit) Regulations 2019

PART 2U.K.Amendment of primary legislation

Amendment of the Prescription and Limitation (Scotland) Act 1973U.K.

[F12.  For section 23A(5) of the Prescription and Limitation (Scotland) Act 1973 (application of the Rome I and II Regulations) substitute—

“(5) In subsection (4)—

(a)“the Rome I Regulation” means Regulation (EC) No. 593/2008 of the European Parliament and of the Council on the law applicable to contractual obligations (Rome I) as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 4 of the Law Applicable to Contractual Obligations (Scotland) Regulations 2009), unless the proceedings are ones in respect of which Regulation (EC) No. 593/2008 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article; and

(b)“the Rome II Regulation” means Regulation (EC) No. 864/2007 of the European Parliament and of the Council on the law applicable to non-contractual obligations (Rome II) as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 4 of the Law Applicable to Non-Contractual Obligations (Scotland) Regulations 2008), unless the proceedings are ones in respect of which Regulation (EC) No. 864/2007 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.”..]

[F2Amendment of the Foreign Limitation Periods Act 1984U.K.

2A.—(1) In section 8 of the Foreign Limitation Periods Act 1984 (disapplication of sections 1, 2 and 4 where the law applicable to limitation is determined by other instruments), for subsections (1A) and (2) substitute—

“(1A) In subsection (1) the “Rome I Regulation” means Regulation (EC) No. 593/2008 of the European Parliament and of the Council on the law applicable to contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 5 of the Law Applicable to Contractual Obligations (England and Wales and Northern Ireland) Regulations 2009), unless the proceedings are ones in respect of which Regulation (EC) No. 593/2008 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.

(2) In subsection (1) the “Rome II Regulation” means Regulation (EC) No. 864/2007 of the European Parliament and of the Council on the law applicable to non-contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 6 of the Law Applicable to Non-Contractual Obligations (England and Wales and Northern Ireland) Regulations 2008), unless the proceedings are ones in respect of which Regulation (EC) No. 864/2007 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.”.]

Amendment of the Contracts (Applicable Law) Act 1990U.K.

3.—(1) The Contracts (Applicable Law) Act 1990 M1 is amended as follows.

(2) For section 1 (meaning of “the Conventions”) M2 substitute—

“1.    Meaning of “the Rome Convention”

In this Act, a reference to the Rome Convention is a reference to the provisions contained in Schedule 1 (which is derived from the Convention on the law applicable to contractual obligations opened for signature in Rome on 19th June 1980).”.

(3) In section 2 (Conventions to have force of law) M3—

(a)for the heading substitute “ Application of the Rome Convention ”;

(b)for subsection (1) substitute—

“(1) The Rome Convention applies to contracts made on or after 1st April 1991.”;

(c)omit subsections (1A), (2) and (4);

(d)in subsection (3), for the words from “Notwithstanding” to “Conventions” substitute “ The Rome Convention ”.

(4) In section 3 (interpretation of Conventions)—

(a)in the heading, for “Conventions” substitute “ the Rome Convention ”;

(b)for subsection (1) substitute—

“(1) Any question as to the meaning or effect of any provision of the Rome Convention is to be decided in accordance with section 6 of the European Union (Withdrawal) Act 2018 (interpretation of retained EU law).”;

(c)omit subsection (2);

(d)in subsection (3)(a)—

(i)for “Rome Convention” substitute “ Convention on the law applicable to contractual obligations ”M4 ; and

(ii)for “that Convention” substitute “ the Rome Convention ”;

(e)omit subsection (3)(b) and the “and” before it.

(5) Omit section 4 (revision of Conventions).

[F3(6) In section 4A (disapplication where the rules in the Rome I Regulation apply: England and Wales and Northern Ireland), for subsection (2) substitute—

“(2) In this section “the Rome I Regulation” means Regulation (EC) No. 593/2008 of the European Parliament and of the Council on the law applicable to contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 5 of the Law Applicable to Contractual Obligations (England and Wales and Northern Ireland) Regulations 2009), unless the issues are ones in respect of which Regulation (EC) No. 593/2008 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.”;]

[F4(7) In section 4B (disapplication where the rules in the Rome I Regulation apply: Scotland), for subsection (2) substitute—

“(2) In this section—

“the Rome I Regulation” means Regulation (EC) No. 593/2008 of the European Parliament and of the Council on the law applicable to contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 4 of the Law Applicable to Contractual Obligations (Scotland) Regulations 2009), unless the issues are ones in respect of which Regulation (EC) No. 593/2008 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.”.]

(8) Omit section 8(2) and (3) (power to extend or modify the Act in relation to territories).

(9) In Schedule 1 (the Rome Convention)—

(a)in the words before Article 1 (statement as to the establishment of the Convention), omit the words from “The High Contracting Parties” to “Have agreed as follows:”;

(b)in Article 1(3) (Convention to not apply to contracts of insurance covering risks in Member States)—

(i)for “Member States” substitute “ United Kingdom or any Member State ”;

(ii)omit the words from “In order” to the end;

(c)in Article 2 (application of law of non-contracting states)—

(i)for the heading substitute “ Application of law of a country outside of the United Kingdom ”;

(ii)for “a Contracting State” substitute “ the United Kingdom or a part of the United Kingdom ”;

(d)omit Article 7(1) (application of mandatory rules of the law of another country);

(e)omit Article 10(1)(e) (applicable law shall govern the consequences of nullity of the contract);

(f)omit Article 17 (no retrospective effect);

(g)omit Article 19(2) (states with more than one legal system not bound to apply convention to internal disputes);

(h)in Article 20 (precedence of Community law)—

(i)in the heading, for “Community” substitute “ retained EU ”;

(ii)for the words from “or will be contained” to the end substitute “ contained in retained EU law ”;

(i)in Article 21 (relationship with other conventions), for “a Contracting State” substitute “ the United Kingdom ”;

(j)omit from Article 22 to the end.

(10) Omit Schedules 2 to 3B (the Luxembourg Convention, the Brussels Protocol, the Funchal Convention and the Accession Convention).

Amendment of the Private International Law (Miscellaneous Provisions) Act 1995U.K.

[F54.—(1) The Private International (Miscellaneous Provisions) Act 1995 is amended as follows.

(2) In section 15A (disapplication of Part III where the rules in the Rome II Regulation apply), for subsection (2) substitute—

“(2) In this section “the Rome II Regulation” means Regulation (EC) No. 864/2007 of the European Parliament and of the Council on the law applicable to non-contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 6 of the Law Applicable to Non-Contractual Obligations (England and Wales and Northern Ireland) Regulations 2008), unless the issues are ones in respect of which Regulation (EC) No. 864/2007 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.”.

(3) In section 15B (disapplication of Part III where the rules in the Rome II Regulation apply: Scotland), for subsection (2) substitute—

“(2) In this section “the Rome II Regulation” means Regulation (EC) No. 864/2007 of the European Parliament and of the Council on the law applicable to non-contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 4 of the Law Applicable to Non-Contractual Obligations (Scotland) Regulations 2008), unless the issues are ones in respect of which Regulation (EC) No. 864/2007 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.”.]

[F6Amendment of the Consumer Rights Act 2015U.K.

4A.—(1) The Consumer Rights Act 2015 is amended as follows.

(2) In section 32 (contracts applying law of non-EEA State) at the end of subsection (3) insert “as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 5 of the Law Applicable to Contractual Obligations (England and Wales and Northern Ireland) Regulations 2009 and regulation 4 of the Law Applicable to Contractual Obligations (Scotland) Regulations 2009), unless the case is one in respect of which Regulation (EC) No. 593/2008 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case see that Regulation as it has effect by virtue of that Article.”.

(3) In section 74 (contracts applying law of non-EEA State) at the end of subsection (2) insert “as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 5 of the Law Applicable to Contractual Obligations (England and Wales and Northern Ireland) Regulations 2009 and regulation 4 of the Law Applicable to Contractual Obligations (Scotland) Regulations 2009), unless the case is one in respect of which Regulation (EC) No. 593/2008 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case see that Regulation as it has effect by virtue of that Article.

Amendment of the Foreign Limitation Periods (Northern Ireland) Order 1985U.K.

4B.  In Article 9 of the Foreign Limitation Periods (Northern Ireland) Order 1985 (disapplication where the law applicable to limitation is determined by other instruments), for paragraphs (1A) and (2) substitute—

“(1A) In paragraph (1) the “Rome I Regulation” means Regulation (EC) No. 593/2008 of the European Parliament and of the Council on the law applicable to contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 5 of the Law Applicable to Contractual Obligations (England and Wales and Northern Ireland) Regulations 2009), unless the proceedings are ones in respect of which Regulation (EC) No. 593/2008 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.

(2) In paragraph (1) the “Rome II Regulation” means Regulation (EC) No. 864/2007 of the European Parliament and of the Council on the law applicable to non-contractual obligations as that Regulation has effect as retained direct EU legislation (including that Regulation as applied by regulation 6 of the Law Applicable to Non-Contractual Obligations (England and Wales and Northern Ireland) Regulations 2008), unless the proceedings are ones in respect of which Regulation (EC) No. 864/2007 has effect by virtue of Article 66 of the EU withdrawal agreement, in which case it means that Regulation as it has effect by virtue of that Article.”.]