Businessmen like to regard law as a matter of background and, perhaps understandably, go out of their way to keep it there. Involvement means usually the loss of a good connection, or expense, or both. More often than not there is a settlement of a dispute, but frequently only after either a loss of goodwill or expenditure. Those engaged in international trade are no doubt aware, if only in a general rather than a specific sense, that their activities may involve them in proceedings in other countries and with foreign law, but in many instances this contingency is regarded either as a risk, associated with the greater percentage of profit of international as against domestic activity, or, often, perhaps rightly, an aspect against which they are commercially insulated by reason of a long and honourable association with the particular party with whom business is done.

Insofar as trading causes those concerned to advert to foreign legal aspects, the matter considered is foreign law, whereas in fact the most immediately practical question for the trader is where effective decision is likely to be given, or even more realistically, as to where a judgment may be enforced. It is true that the EEC has achieved already, for example in the sphere of company law, a measure of harmony among the laws of the respective member States; more is being achieved currently in other areas, such as banking regulation, and more is to be accomplished in the future, perhaps regarding insolvency. In fact, it is the policy of the Treaty of Rome to harmonise.

It is, however, in the field of jurisdiction that change is likely to be more evident, yet certainly—one thinks—more confused. Let us look at the existing position. It is appreciated by those in business that assets held abroad are subject to local courts and vulnerable to local judgments. In fact, that is an illustration of the risk presumed. If one is involved in litigation abroad the thought is as to the place of enforceability if the case is lost, it being recognised in certain instances, to which we shall advert later, that this may eventually be the United Kingdom through a degree of reciprocal enforcement.