"Exclusive Jurisdiction Clauses – A New Zealand Perspective on the Hague Convention on Choice of Court Agreements"
G Shapira and R Lazarovitch, 2008
Exclusive jurisdiction clauses are a frequently used tool in transnational contracts. The parties agree on a forum that would hear any potential dispute. This should ensure certainty and predictability for all parties. However, the complexity of the New Zealand rules and the jurisdictional discretion of the courts lead to often unpredictable results when exclusive jurisdiction clauses are encountered. The 2005 Hague Convention on Choice of Court Agreements aims to address such problems with clear rules that promote certainty in commercial dealings and validate party autonomy. Even though the Convention is not free from criticism, the authors conclude that New Zealand should nonetheless adopt it.