Recognition and Enforcement of Foreign Titles in Италия

There are various ways of obtaining information about a judgement debtor. Firstly, the creditor can consult (usually for a modest fee) public databases and registers: the most common are the company register (Camera di Commercio), the land registers (Catasto, Ufficio Tavolare and Conservatoria Immobiliare) and the vehicles register (PRA).

In this way, the creditor can find out about the debtor's financial situation and identify the debtor's real estate or movable registered assets (e.g. a car) that can be attached.

Secondly, once the creditor has obtained an enforcement title, he can make use of another useful tool provided for by Article 492-bis of the Italian Code of Civil Procedure. According to this provision, the creditor can request (to the bailiff or to the president of the court, depending on the case) that the bailiff searches by telematic means for the debtor's assets to be attached. This tool is particularly effective because the bailiff has access to databases and public registers that the creditor cannot consult alone (e.g. the Revenue Agency and the National Social Security Agency).

Finally, it is possible to hire private investigators.

Yes, foreign judgments need to be recognized and declared enforceable before enforcement steps or other securing measures can be initiated against the debtor.

The process differs substantially depending on whether the foreign judgment is European or non-European.

EU judgments

The recognition and enforcement of civil or commercial judgments rendered by courts of EU Member States are governed by Regulation (EU) No. 1215/2012 (the "Brussels I bis Regulation"). As long as the judgment does not fall under any of the refusal grounds outlined in Article 45 of the Regulation (such as violation of public policy or rendition of a default judgment due to lack of proper service), it is automatically recognized and enforced in Italy without requiring a special procedure or declaration of enforceability.

Non-EU judgments

When dealing with judgments from non-EU countries, the party seeking enforcement must submit a request to the Court of Appeal – so-called exequatur – that verifies compliance of the foreign judgment with the requirements set by the Italian Private International Law or any applicable international convention.

While the Brussels I bis Regulation provides for the automatic recognition and enforcement within a Member State of a judgment issued in another Member State, certain formal requirements outlined in Articles 42 and 53 must still be met.

Firstly, the interested party must obtain a certificate from the court of origin confirming that the judgment is enforceable. This certificate should include an extract of the judgment and, where applicable, relevant information regarding recoverable costs and the calculation of interest. A facsimile of this certificate can be found in Annex I of the Brussels I bis Regulation.

Secondly, the interested party must notify the certificate (and the judgment, if not already done) to the party against whom enforcement is sought before any enforcement measures are initiated.

Although foreign judgments are automatically recognized in Italy under law No. 218/1995, according to Article 67, the party seeking enforcement must still initiate the exequatur procedure before the Court of Appeal to obtain an enforceable title. Upon the party's request, the Court of Appeal, competent for the district where enforcement is sought, will verify compliance with the conditions in Article 64 of the national law. The foreign judgment and the court’s decision granting the request form the legal basis for enforcement and compulsory enforcement.

There is no fixed time frame; typically, the proceedings take a few months unless the party against whom enforcement is sought files an opposition, which may extend the process.

Court fees and service expenses amount to a few hundred euros. Legal fees may vary based on the case's complexity and whether an opposition exists, but they are generally relatively low compared to international standards.

The person against whom enforcement is sought may challenge an EU judgment on grounds listed in Article 45 of Brussels I bis Regulation, namely:

• if recognition of the judgment is manifestly contrary to Italy’s public policy;
• when the respondent's right to a defense was violated since the documents instituting the proceedings were not served in sufficient time, resulting in a default judgment, unless the respondent failed to commence proceedings to challenge the judgment when he could do so;
• if the judgment is irreconcilable with a judgment given between the same parties in Italy;
• if the judgment is irreconcilable with an earlier judgment given in another Member State or in a third State involving the same cause of action and between the same parties, provided that the earlier judgment fulfills the conditions necessary for its recognition in Italy;
• if the judgment conflicts with rules established by the Regulation regarding jurisdiction in matters of insurance, consumer contracts, individual contracts of employment, or exclusive jurisdiction.

Anyone with a legitimate interest may challenge a non-EU judgment on the grounds established by Article 64 of Italian Law No. 218/1995, precisely when:

• the court that rendered the judgment did not have jurisdiction over the case according to the principles of jurisdiction established by the Italian legal system;
• the document initiating the proceedings was not correctly served on the defendant under the law of the place where the trial took place or the essential rights of defense were violated;
• the parties did not appear before the court according to the law of the place where the trial took place, or default judgment was not declared under that law;
• the judgment has not become final and binding according to the law of the place where it was rendered;
• the judgment conflicts with another judgment rendered by an Italian court that has become final;
• legal proceedings are pending before an Italian court involving the same subject matter and the same parties, which were initiated before the foreign proceedings;
• the provisions of the judgment produce effects contrary to public policy.

Italian law does not impose any time limit for the exequatur procedure.

Yes, the creditor, in addition to the amount set out in the foreign judgment, may claim all out-of-pocket expenses incurred in recognition and enforcement, as well as a reimbursement of legal fees, as quantified by the Judge.

The Italian Code of Civil Procedure governs the enforcement process. It provides, for the recovery of sums of money, that the creditor may attach movable or immovable property of the debtor, as well as any assets or claims held by third parties against the debtor. In addition, there are specific forms of enforcement for the release of real estate, the compulsory delivery of specific movable property, and the compulsory performance of obligations to do or not to do a particular activity.

The enforcement process always begins with the service of a writ of execution (Atto di precetto), consisting of a formal notice to comply within ten days. After this term, the creditor can request the bailiff to implement one of the measures just seen, which are subsequently confirmed by the Enforcement Judge (i.e., a specific section of the Civil Court).

Insolvency and crisis procedures are regulated in Italy by the Business Crisis and Insolvency Code (Codice della Crisi d’Impresa e dell’insolvenza, in short CCII). Depending on the specific procedure to which the debtor is subject, the CCII regulates the relationship between that procedure and prior claims:

• if the debtor undergoes a crisis or pre-insolvency procedure (i.e. the negotiated crisis resolution, the turnaround plan, the restructuring agreements, the composition with creditors and the restructuring plan subject to court approval), the creditor may proceed with enforcement, unless the debtor has obtained the protective measures provided for in the CCII, which paralyze any enforcement proceeding until they last (i.e. for one year maximum). During these procedures, the debtor will try to settle the creditors’ claims; if the procedure expires without an agreement being reached, the creditor may act to recover its claim;
• if the debtor undergoes an insolvency procedure (i.e. the judicial liquidation, the extraordinary administration of big corporates and the compulsory administrative liquidation - liquidazione coatta amministrativa), any enforcement action is automatically paralyzed and the creditor must pursue its claim within the insolvency proceedings.

If the creditor believes that its debtor is in crisis, it should interact with the debtor to understand how it intends to deal with the crisis situation and assess how to proceed accordingly.

The 1958 UN Convention on the Recognition and Enforcement of Foreign Arbitral Awards (the "New York Convention") governs the recognition and enforcement of foreign arbitral awards in Italy.

To obtain recognition and enforcement of an arbitral award in Italy, the interested party must apply to the President of the Court of Appeal in the district where the party against whom recognition is sought resides. This application must be accompanied by the duly authenticated original award or a certified translated copy, as well as the original arbitration agreement or a certified copy of it.

An opposition may be filed within 30 days of the notification of the decree granting recognition. However, the Court of Appeal may grant provisional enforcement of the award while the opposition is pending. Recognition and enforcement of the award may be refused only on the grounds specified in Article V of the New York Convention.