German Federal Court of Justice refers Brexit jurisdiction questions to ECJ

The German Federal Court of Justice (BGH) has referred two questions to the European Court of Justice (ECJ) regarding the validity of jurisdiction clauses in antitrust damage claims following Brexit.

The case involves a dispute where German savings banks, acting as members of a registered association, are suing VISA. The plaintiffs allege that certain restrictions imposed by the defendants—one based in the United Kingdom and the other in the United States—violate EU competition laws, specifically Articles 101 and 102 of the Treaty on the Functioning of the European Union (TFEU).

A central legal issue is whether jurisdiction clauses favoring English courts, established in membership agreements governed by English law, remain applicable and enforceable in these antitrust proceedings now that the Brexit transition period has ended. The outcome of this referral is expected to have significant implications for companies operating with cross-border contracts.