Germany wants to strengthen its centre of justice

Will international commercial proceedings before German courts soon be possible in English?

In July 2024, the German Bundestag received a draft of the "Act to strengthen Germany as a centre of justice by introducing commercial courts and English as a court language in civil jurisdiction". The aim of the law is to increase Germany's international competitiveness. Germany is to be made more attractive as a centre of justice, in particular through the introduction of the English language in court. To this end, so-called "commercial courts" are to be established. 

Germany is (partially) lagging behind 

In view of the ever-increasing international economic interdependencies, the introduction of international German jurisdiction appears to be urgently required. To date, negotiations have only been possible in German; judgements, pleadings and documents must also be drawn up in German. This is seen as a decisive reason why the attractiveness of German courts for hearing international commercial disputes is very low in international comparison. The new law aims to change this. In the future Commercial Courts, all court hearings are to be held in English, as is already possible in the federal states of Hamburg, Hesse and Baden-Württemberg. 
Specialised chambers of commerce and commercial courts

In particular, the draft law provides for the introduction of special commercial chambers at the regional courts, before which - with the consent of the litigants - commercial disputes can be conducted entirely in English. For more extensive proceedings with higher amounts in dispute (from € 1 million), corresponding commercial courts are to be set up at the higher regional courts, before which proceedings can be held in English and by video conference. It is also planned that it will be possible to appeal against the first-instance decisions of the Commercial Courts to the Federal Court of Justice (BGH). There, too, it should then be possible to conduct comprehensive proceedings "in English". Other proposed regulations concern the exclusion of the public in order to protect business secrets.

When will the time come?

On 6 September 2024, the German Bundestag forwarded its legislative resolution to the Bundesrat for consultation, which decided on 27 September 2024 not to call on the Mediation Committee. The law will therefore be passed shortly.

(BGBl. 2024 I Nr. 302)