On 8 June 2011, the European Parliament voted to back the introduction of an optional European Contract law for cross-border transactions. The proposal concerns an optional legal instrument or contractual code which could be chosen by businesses and consumers to apply to a contract law. It would not replace existing national contract laws but sit alongside them. The vote in Parliament followed a recent speech by Commissioner Reading announcing that she is considering formally proposing such an instrument in autumn 2011. An impact assessment on the proposal is due to be published shortly.
For a link to Commissioner Reading’s speech on the steps towards a European Contract law click here