Procedural Legal Update Archives

Climate Change Litigation in Italy: The First Judgment From the Court of Rome

by Fabio Cozzi and Giulio Marconcin | May 14, 2024 | ESG, Procedural Legal Update, Italy

The total number of climate change court cases has more than doubled since 2017 and is growing worldwide, according to the UN Environment Program (UNEP) and the Sabin Center for Climate Change Law at Columbia University. Most of the cases are pending in the US, however the EU and (even more significantly) developing countries are facing an increasing number of disputes, related to the purported inaction of the States in the fight against climate change. The Court of Rome recently decided the first climate change litigation brought in Italy, dismissing the case for lack of jurisdiction.

By writ of summons served on June 4, 2021, seventy nine private citizens and twenty four associations (the Plaintiffs) sued the Italian State for breach of its “climate obligations”. In particular, the Plaintiffs asked the Court of Rome to force the Italian State to implement appropriate regulatory measures to reduce greenhouse gas emissions (by 92%) and namely to review the current climate action enacted by the Italian State and to amend the National Integrated Energy and Climate Plan (the national energy and climate policy plan, issued in the compliance with EU Regulation 2018/1999 and providing for the goals set for 2030 in order to,

A Tale of Two Contracts: Reinsurance Dispute Ends in a New York State of Mind

by Campbell Herbert | Apr 22, 2024 | Arbitration, Procedural Legal Update, United Kingdom

In a battle of conflicting contracts, Tyson found itself on the losing end of a reinsurance dispute with Partner Re when the English Court of Appeal ruled [1] that a reinsurance contract on a Market Uniform Reinsurance Agreement (MURA) form superseded a prior contract on a Market Reform Contract (MRC) form, giving effect to the New York arbitration clause in the MURA.

The Duelling Documents

The saga began when Tyson International Company Limited (Tyson), captive insurer of poultry-giant Tyson Foods and the reinsured, and Partner Reinsurance Europe SE (Partner Re), a reinsurer, entered into a reinsurance contract on the MRC form, governed by English law and with an exclusive jurisdiction provision in favour of the English court. However, eight days later, at Tyson’s request, Partner Re issued another reinsurance contract on the MURA form, governed by New York law and containing a dispute resolution clause providing for arbitration in New York.

Flames and Feathers Fly

Following a fire at a poultry rendering facility in Alabama, Tyson sought to claim under the reinsurance. Partner Re purported to avoid the contract, citing misrepresentations in relation to the value of the insured properties. A dispute arose.

Tyson commenced proceedings in England,

New Reform Makes Italy Even More Attractive for Arbitration

by Fabio Cozzi, Francesco Bianchi, Stefano Mechelli and Massimiliano Moruzzi | Feb 9, 2024 | Arbitration, Procedural Legal Update, Italy

A significant and extensive reform of the Italian Code of Civil Procedure (ICCP) was recently enacted by the Italian Government. Legislative Decree No. 149/2022 (the Reform), became applicable as of February 28, 2023.

The Reform introduced material changes to the rules governing proceedings before State Courts, with the aim of increasing efficiency and cutting the time required to decide a case. Extremely relevant changes also impacted arbitration, making Italy an even more arbitration-friendly jurisdiction. Below the most significant features.

Reinforced Impartiality and Independence of Arbitrators

With a view to aligning Italian arbitration law with the practice of the main international arbitration institutions, the amendments impose on each arbitrator a duty to disclose, at the time of acceptance of their appointment, the existence or absence of any circumstances that could lead to a challenge pursuant to the relevant Italian law provision (Article 815, para. 1, ICCP).

Without this declaration, the arbitrator’s acceptance will be considered null and void.

Moreover, article 815 of the ICCP provides a list of grounds for challenging an arbitrator. Until now, such grounds were specific and mostly related to the arbitrator’s relationship with the parties. With a view to strengthening the guarantees of impartiality and independence of

The New Representative Action in Italy

by Fabio Cozzi, Francesco Bianchi, Stefano Mechelli and Massimiliano Moruzzi | Feb 7, 2024 | Procedural Legal Update, Italy

A new kind of class action has been introduced to the Italian legal system. Legislative Decree No 28 of March 10, 2023, transposing EU Directive No 1828/2020, has introduced the so-called “Representative Action”. The provisions applied as of June 25, 2023 with respect to violations occurring after application date.

The main features of this new class action are as follows:

Scope: the new representative action is intended to protect the collective interests of consumers, i.e., those arising from violations of EU regulations and directives expressly listed in Annex II-septies of the Decree and include product liability, unfair terms in consumer contracts, consumer price indications, e-commerce, personal data protection, unfair commercial practices, and misleading advertising.

Plaintiffs: the representative action can be brought only by EU representative associations included on the list held by the EU Commission, or domestic associations on the list held by the Ministry of Enterprises and Made in Italy and the independent public bodies named in EU Regulation 2017/2394.

Defendants: The representative action can be brought against any natural person or legal entity, public or private, including one acting through another entity, for purposes relating to its commercial, entrepreneurial, or professional business activity.

Territorial scope: for infringements of