Enforcement of foreign judgments in cyprus

Enforcement of foreign judgments in Cyprus

The domestic legislation on the recognition and enforcement of foreign judgments are:

  • the Foreign Courts Judgments (Recognition, Registration and Enforcement) Law (121(I)/2000), which enables judgment creditors to pursue recognition and enforcement of foreign judgments governed by any of the bilateral or multilateral treaties and conventions between Cyprus and third (non-EU) countries; and
  • the Certain Judgments of Courts of Commonwealth Countries (Reciprocal Enforcement) Law, which is based on the English Foreign Judgments (Reciprocal Enforcement) Act 1933 and may be used by judgment creditors having obtained judgments by the superior courts of the United Kingdom.

Whether recognition and enforcement of a foreign judgment is to be pursued on the basis of the relevant domestic legislation, the supranational EU framework or the international conventions or bilateral treaties cited elsewhere in this document largely depends on the location of the courts of origin.

Foreign judgments originating from the courts of EU member states may be recognized and enforced in Cyprus pursuant to the relevant EU regulations in force, depending on their context. The Brussels Recast Regulation (1215/2012) applies to EU judgments issued on or after January 10 2015 and remains – along with its predecessor the Brussels Regulation (44/2001), which applies to EU judgments issued before January 10 2015 – particularly relevant in this respect, alongside the European Enforcement Order Regulation (805/2004), which provides a streamlined enforcement procedure for uncontested claims.

Foreign judgments originating from Switzerland, Norway and Iceland may be recognized and enforced pursuant to the framework provided under the Lugano Convention on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters of October 30, 2007.

Notably, before its accession to the European Union, Cyprus had signed bilateral treaties (which remain in force) on, among other things, the recognition and enforcement of court judgments with Greece, Poland, Hungary, Slovenia and Slovakia.

Foreign judgments not originating from EU member state courts may be recognized and enforced in Cyprus pursuant to the framework provided under the Foreign Court Judgments Law and the relevant bilateral treaties concluded between Cyprus and third countries – namely, Belarus, Bulgaria, China, Czech Republic, Egypt, Georgia, Russia, Serbia, Syria and Ukraine.

The judgment creditor may have the foreign judgment registered either:

  • in the court of the district in which the judgment debtor resides or carries on his or her profession; or
  • if the subject matter of a judgment is immovable property in Cyprus, in the court of the district where that property is situated.

Recognition and enforcement are legally distinct in the sense that, depending on the legal framework governing a particular foreign judgment:

  • recognition is usually a prerequisite for enforcement ( a foreign judgment will attain the status of a Cypriot judgment only after recognition);
  • the procedural requirements for recognition and enforcement differ; and
  • not all judgments which are recognized can or must be enforced.

In the case of foreign judgments falling within the ambit of either the Brussels Regulation or the Brussels Recast Regulation, the judgment creditor must, as a first step, apply to have the judgment recognized in Cyprus before either seeking a declaration of enforceability in Cyprus (Brussels Regulation) or proceeding with the appropriate measures of execution (Brussels Recast Regulation).

In the case of foreign judgments falling within the ambit of any of the above-mentioned bilateral treaties between Cyprus and third (non-EU) countries, recognition may or may not be a prerequisite and enforcement may be achievable automatically.