Party Autonomy in International Property Law - Peace Palace Library
Party Autonomy in International Property Law - Peace Palace Library
Party Autonomy in International Property Law - Peace Palace Library
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7. Article 14 Rome I: A Political Perspective<br />
The pass<strong>in</strong>g of title between the assignor and the assignee is an example<br />
of this. Under French substantive law, the conclusion of a contract of sale<br />
between a seller and a buyer has the immediate effect of pass<strong>in</strong>g of title<br />
(l’effet translatif du contrat). 19 Thus, French substantive law regards the<br />
pass<strong>in</strong>g of title between the parties as a contractual matter, be<strong>in</strong>g part<br />
of the law of obligations. Only the effect of an assignment aga<strong>in</strong>st third<br />
parties is treated as a separate matter. 20 When it comes to Private <strong>International</strong><br />
<strong>Law</strong>, this qualification as a contractual matter is applied <strong>in</strong> the<br />
same way. However, Dutch and German substantive law would qualify the<br />
transfer of title between assignor and assignee as a proprietary aspect of<br />
an assignment, be<strong>in</strong>g part of their respective property laws. Under Dutch<br />
substantive law, one could not separate from the erga omnes effect of the<br />
assignment this pass<strong>in</strong>g of title under the assignment between the parties.<br />
Save for a clear provision stat<strong>in</strong>g otherwise, the pass<strong>in</strong>g of title between<br />
the assignor and the assignee would be qualified as a proprietary aspect<br />
of the assignment and not as a contractual matter, also for the purpose of<br />
Private <strong>International</strong> <strong>Law</strong>. If this issue had to be treated differently for the<br />
purpose of Article 14 Rome I, it would be necessary to clarify the word<strong>in</strong>g<br />
of this Article.<br />
Given these differences <strong>in</strong> legal concepts, how could we arrive at a uniform<br />
autonomous mean<strong>in</strong>g of Article 14 paragraph 1? The Netherlands<br />
thought it should be clarified that Article 14 paragraph 1 Rome I governed<br />
the relationship between assignor assignee as a whole, <strong>in</strong>clud<strong>in</strong>g the proprietary<br />
aspects of the assignment between them. This is why, contrary to<br />
our own substantive law concepts, the Netherlands, Germany, and Au s-<br />
tria all proposed to amend the word<strong>in</strong>g of Article 14 paragraph 1 Rome I.<br />
The proposal was to refer to the relationship between assignor and assignee<br />
rather than the obligations between them.<br />
The proposed word<strong>in</strong>g of Article 14 paragraph 1 Rome I would lead to<br />
the same result as Article 12 paragraph 1 of the Rome Convention for<br />
the Member States whose law regarded the validity between assignor and<br />
assignee to be a contractual matter. However, it took months of negotiat<strong>in</strong>g<br />
before these Member States accepted the arguments put forward by<br />
the German and Dutch delegations. We had to expla<strong>in</strong> why the difference<br />
<strong>in</strong> legal concept <strong>in</strong> the various substantive laws on assignment required<br />
19<br />
Article 1583 French Civil Code.<br />
20<br />
Thus, referred to as ‘third party effects of an assignment’ rather than ‘proprietary<br />
aspects of an assignment’.<br />
Paulien M. M. van der Gr<strong>in</strong>ten<br />
153<br />
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