Private International Law (Implementation of Agreements) Bill [HL]

Virtual Committee

The proceedings were conducted in a Virtual Committee via video call.

My Lords, this Virtual Committee will now begin. I remind Members that these proceedings are subject to parliamentary privilege and what we say is available to the public both in Hansard and to those listening and watching.

I shall begin by setting out how these proceedings will work. This Virtual Committee will operate as far as possible like a Grand Committee. A participants’ list for today’s proceedings has been published. I also have lists of Members who have put their names to the amendments, or expressed an interest in speaking, in each group. I will call Members to speak in the order listed in my brief, which Members should have received. Members’ microphones will be muted by the broadcasters except when I call a Member to speak and whenever a Question is put, so interventions during speeches are not possible and uncalled speakers will not be heard.

During the debate on each group I will invite Members to email the clerk if they wish to speak after the Minister. I will call Members to speak in order of request and will call the Minister to reply each time. Debate will take place on the lead amendment in each group only; the groupings are binding and it will not be possible to degroup an amendment for separate debate. Leave should be given to withdraw amendments. Whenever I put the Question, all Members’ microphones will be opened until I give the result. Members should be aware that any sound made at that point may be broadcast. If a Member intends to say “Not content” to an amendment, it will greatly assist the Chair if they make this clear when speaking on the group. As in Grand Committee, it takes unanimity to amend the Bill, so if a single voice says “Not content”, an amendment is negatived, and if a single voice says “Content”, a clause stands part.

I shall now put the Question that Clause 1 stand part of the Bill. All microphones will be open until I give the result.

Clause 1 agreed.

We now come to the group beginning with Amendment 1. I remind noble Lords that anyone wishing to speak after the Minister should email the clerk during the debate. It would be helpful if anyone intending to say “Not content” when the Question is put made that clear in debate. It takes unanimity to amend the Bill in this Committee; this Committee cannot divide.

Clause 2: Implementation of other agreements on private international law

Amendment 1

1: Clause 2, page 2, line 27, leave out subsection (1) and insert— “( ) The appropriate national authority may make regulations for the purpose of, or in connection with, implementing the Convention on Jurisdiction and the Enforcement of Judgments in Civil and Commercial Matters signed at Lugano on 30th October 2007 (the “2007 Lugano Convention”), in the event that the United Kingdom becomes a party to the Convention in its own right.”

My Lords, the effect of the three amendments in this group—Amendments 1, 4 and 5—is that the power in Clause 2 which allows a Minister by regulations to change the law of the United Kingdom to reflect an international treaty on private international law that the country has entered into would be restricted to the Lugano convention only.

It is perhaps sensible if, in addressing the three amendments in this first group, I set out the context, in effect, of most of my amendments in Committee. Clause 1 introduces into the domestic law of the UK the content of three private international law treaties: one dealing with the abduction of children from one country to another; one dealing with the enforcement of child support and family maintenance orders; and one dealing with commercial agreements where a choice of court clause is specified in the agreement. The effect of bringing these three conventions into UK law is that the terms of those conventions become part of our domestic law and are what our courts then give effect to as part of the law. For example, the Hague abduction treaty means that where a couple bring up a child in one country, where there is custody with one parent, and that child is abducted by the other parent to another country—for example, the UK—then, according to that convention, the UK courts, as a matter of domestic law, should return the child to its normal place of residence and should refuse to do so only if there is fear for the child’s safety.

These private international law agreements change the law of the country as a result of agreements that the Executive have entered into. We on these Benches have no objection to those three treaties being brought into domestic law—this is a piece of primary legislation—but we have very considerable objections to Clause 2, and our primary position is that it should not stand part of the Bill. It allows the Government to change the law of the country by delegated legislation, even by changing primary legislation, to give effect to agreements that they have entered into in private international law.

My Lords, I support the observations so powerfully made by the noble and learned Lord, Lord Falconer of Thoroton. I too am concerned about the width of Clause 2. My concern arises from the discussions and conclusions of your Lordships’ Constitution Committee, of which I am a member, serving under the distinguished chairmanship of the noble Baroness, Lady Taylor of Bolton.

As the noble and learned Lord, Lord Falconer, said, the committee concluded that Clause 2 raises matters of considerable constitutional concern. The concern is that, with the exception of EU law—from which we are in the process of extracting ourselves—it is a fundamental principle of our constitution that international agreements can change the content of our domestic law only if and when they are given force by an Act of Parliament. The Constitution Committee saw no justification for the change that Clause 2 would introduce—that is, to confer on Ministers a power to achieve such a result by statutory instrument.

We recognise that many of the international agreements to which Clause 2 would apply are technical in nature and that their text cannot be changed after negotiations have concluded; nevertheless, we think there is no justification for allowing our law to be changed by statutory instrument without the need for full parliamentary debate. Clause 2 will allow not just for the implementation of the text of the international agreement but for “consequential, supplementary, incidental” provisions. It will allow Ministers to create new criminal offences by statutory instrument. These are matters requiring detailed scrutiny of a Bill through the various stages of the parliamentary process, during which amendments can be debated and, if necessary, divided on. Members of the Constitution Committee are concerned to maintain ministerial accountability to Parliament. This is not emergency legislation; it is a proposal for a permanent shift in power to the Executive.

The question raised by these amendments is whether there is a case for making an exception in relation to the Lugano Convention. The noble and learned Lord, Lord Falconer, indicated that his preference is for removing Clause 2 altogether, but there may be a case for Lugano as an exception. Lugano provides a large measure of certainty on which countries’ courts may hear a civil or commercial cross-border dispute and ensures that the resulting judgment can be recognised and enforced across borders. It is far from perfect, as the noble and learned Lord, Lord Mance, indicated during a powerful speech at Second Reading. However, it provides a large measure of certainty—though not complete certainty because, happily for lawyers, disputes arise. I declare an interest as a practising barrister. Last July, I argued a case in the Court of Appeal for four days on the meaning of two of the Lugano Convention provisions.

The United Kingdom cannot accede to Lugano at the end of the transition period without the agreement of the EU and the other signatory states: Denmark, Iceland, Norway and Switzerland. My understanding is that, in the Bill, we cannot implement Lugano into domestic law for the period after the transition period. A delegated power may be needed in this case because there may be an urgent requirement to address the matter for commercial certainty. It seems that a delegated power to implement Lugano is much less objectionable than the current content of Clause 2 because Lugano has been part of our law for more than 10 years and serves a valuable function.

Finally, if the Minister wishes to proceed with Clause 2 in its current form—notwithstanding the objections that he has heard and will hear during the debate—I hope and expect that the noble and learned Lord, Lord Falconer, would want to test the opinion of the House on Report. I therefore ask the Minister for an assurance that there is no question of a Report stage on this Bill that includes Clause 2, at least in its current form, until arrangements can be made to ensure a vote by remote access for all Peers.

My Lords, I am sympathetic to the context set out so eloquently by the noble and learned Lord, Lord Falconer of Thoroton, and supported by the noble Lord, Lord Pannick.

At the outset, I seek clarification on a question similar to that put by the noble Lord, Lord Pannick. As the Deputy Speaker set out, it appears that we can debate only those amendments that form the first amendment of each group and that we are unable to have clause stand part debates. If my understanding is correct, does that mean that we cannot debate and subsequently vote on a clause stand part debate, as the thrust of Amendment 1 seemingly seeks the ability to do? It would be helpful to have that clarification.

As has been expressed so far, it appears that the purpose behind Clause 2 relates to the Lugano convention. Does it have implications for the Brussels II recast, if not also for the Brussels I recast convention? I entirely endorse the comments that have already been made about the importance of the Lugano convention, particularly to those in the UK who wish to obtain judgments and orders in the UK but also to those across the EU 27. This gives individual citizens and businesses the right to make concrete their desire to ensure that judgments obtained anywhere in Europe will remain readily enforceable in the UK and the EU 27. It facilitates trade and a level playing field and affects inward investment in the whole of Europe. It avoids competing jurisdictions, which I think we all want to avoid, and is central to protecting workers’ rights and consumer protection under insurance policies, which I hope we are all signed up to.

I have some short questions for my noble and learned friend in the context of Amendment 1 and the original Clause 2. What steps is he taking to enforce the terms that are similar to the Brussels II recast convention to give them effect? Have they been set in motion? What stage are we at with the EU 27 regarding matrimonial matters?

It may help the noble Baroness if I answer the procedural question she put at the beginning of her speech. It is possible for the Virtual Committee to debate every clause stand part question—indeed, each clause has to be stood part in this procedure—but it is not possible to vote on that at this stage. If that will be required at a later stage, voting can take place. I hope that she finds that helpful.

My Lords, as I understand it, the amendments in this group have two aims: to curb the overbroad power to implement relevant international agreements by regulation, and to signal in primary legislation that there is no objection to giving the force of law to the Lugano convention. I support the first, which is furthered by other groups of amendments, and am sympathetic to the second. However, for the reasons given by my noble and learned friend Lord Mance at Second Reading on the interrelationship between Lugano and the 2019 Hague Convention, there seems to be a question of whether we should sign up immediately to Lugano, even if the EU gives its consent, which is perhaps not a given. I would welcome the Minister’s considered comments on that.

It was good to hear the Minister say at Second Reading that the United Kingdom, should we become a party to Lugano, could drive for its amendment so as to incorporate into it the material improvements that as an EU member state we did so much to help deliver in the form of the recast Brussels regulation. Speaking as a practitioner—I declare an interest as a practising barrister—and as a former member of the EU Justice Sub-Committee, with some awareness in both capacities of the defects of the Lugano convention, I suggest that we not only could do so but should do so.

My Lords, the arguments put forward by my noble and learned friend Lord Falconer seem utterly compelling and are supported not only by every speaker in this debate so far but also by the Constitution Committee, chaired, as he said, by my noble friend Lady Taylor.

My aim in speaking is not to contribute to the specific discussion on the amendment, though I think it is overwhelming, but to comment on the Virtual Proceedings, because understanding what happens in this Committee will be hugely important to how we take forward both the Virtual Proceedings and hybrid proceedings afterwards. I hope that I can be permitted to comment on what is happening, as I will at later stages of our discussions, because this will be so important to the Procedure Committee in deciding how to take forward our proceedings hereafter. Of course, the noble Lords and the officials doing that will read the record; it is important to have in Hansard what is happening at these key stages.

I want to make three points that have occurred to me already. First, it is not clear to people taking part in these proceedings who exactly is in the Committee. At the moment I can see only a handful of faces. After the Deputy Speaker calls people to speak, they suddenly appear from nowhere on my screen. It is very pleasant to see them appearing but it is not at all clear who will appear next. I cannot see the Minister at all; I assume that he is in the Committee, but that is not evident on the screen. My second key point is that it is a bit haphazard as to whether people can be followed, depending on the quality of audio and visual equipment.

Thirdly, I flag up the point made by the noble Lord, Lord Pannick, about Report. My understanding is that it will be possible to table amendments exactly as tabled in Committee on Report, because we cannot vote in Committee—a hugely important point. In the discussion in the Chamber last week about how Report would be handled, the Leader of the House and my noble friend the Leader of the Opposition gave an almost categorical undertaking that we would not have Report until we had a hybrid House, so that it is possible for Members to participate in the Chamber and we can have the usual cut and thrust that we have in the Chamber, particularly when we are dealing with legislation and technical points.

My Lords, I support the observations of the noble and learned Lord, Lord Falconer, and of the noble Lord, Lord Pannick. At Second Reading, I described this Bill as, by its own lights, a sensible measure, but said that its lights were rather dimmer than the halogen welcome given to it by the Explanatory Notes. I took some issue with Clause 2. The reality is that we are grasping in the half-light for whatever instruments we can find to replace the full toolkit of the Brussels regulations—including I and II, to which the noble Baroness, Lady McIntosh, referred—which were in existence when we were members of the EU. This has been apparent ever since the House of Lords European Union Committee’s 17th Report of Session 2016-17, Brexit: Justice for Families, Individuals and Businesses?

In some areas, such as divorce jurisdiction, there seems to be simply no substitute in sight. In others, Clause 1 identifies three limited instruments, each in its own right very sensible. The second, the Hague choice of court convention, would protect the exclusive choice of court clauses in favour of UK courts, which are so important to the United Kingdom’s financial and business markets. The protection would be increased if the UK also signed up to the 2019 Hague Convention, which my noble friend Lord Anderson referred to and the Explanatory Notes mention as a possibility.