Brexit: UK’s Positive steps towards EFTA, many questions remain – Deutsche Bank

The UK government released a position paper on judicial arrangements after Brexit yesterday and the paper confirmed the UK will leave the direct jurisdiction of the CJEU after Brexit, but has proposed a new dispute-resolution mechanism to govern the transitional agreement and any disputes arising from the future partnership, explains the analysis team at Deutsche Bank.

Key Quotes

“The mechanism is conceptually very similar to the EFTA court that guarantees the EEA agreement. In previous research we argued that a compromise based on the EFTA court was the only realistic way of meeting Brexit demands for UK judicial independence and EU27 demands to respect the integrity of the Single Market. As such, yesterday’s paper is a positive step, particularly as the question of legal enforceability is probably the largest sticking point in upcoming negotiations.”