No – but it could!

The SCM applies to international ‘commercial’ disputes, (Art.1).

Only an international commercial settlement agreement can be enforced under the SCM.

Settlement agreements relating to ‘family’ & ‘inheritance’ are expressly carved out of the scope of the SCM by Art 2(b).

However, this could change if the Labour Government is switched-on to the opportunity to make the UK a mecca of off-shore and cross-border trust mediation.

As my colleague Jacob Meagher wrote in commentary he contributed about the SCM to my article – ‘Mediating Probate and Trust Disputes – Process Challenges and Tools – Part 2, published by Oxford University Press in Trusts & Trustees in September 2023:

‘The author believes that when enacted, the UK position will be updated, such that almost all mediated civil settlement agreements will be directly enforceable (international or otherwise), this is notwithstanding that
Art 1(2)(b) provides that the convention does not apply to settlement agreements ‘Relating to family, inheritance or employment law’. It is recommended that the UK depart from this provision as the benefits from doing so would allow the UK to become a mecca of off-shore and cross-border trust mediation as well as reinforcing our domestic probate, trust, and employment settlements, and doing away with the need to apply for Tomlin orders and thus wasting precious court time.’

Google also – ‘Consultation on the United Nations Convention on International Settlement Agreements Resulting from Mediation (New York, 2018) – GOV.UK.’

This states:

‘The mediation sector in the UK has grown considerably in the last 15-20 years, with the sector estimated to be worth £17.5bn in 2020, as businesses look for more cost‑effective methods of resolving disputes outside of the traditional routes of court‑based litigation and arbitration. Mediation is an important means of resolving cross‑border disputes, by enabling the disputing parties to reach a suitable and mutually acceptable resolution themselves, without having to go to court, saving valuable time and money. It is a process which the Government considers ought to be integral to the Justice system, and it is estimated that mediation can save businesses around £4.6 billion per year in management time, relationships, productivity and legal fees.’

So, the opportunity for the Labour Government to grow the UK economy by applying the SCM to international trust and estate disputes is enormous. This morning the PM stated that his Government’s priority was ‘wealth creation.’ Mediation in the UK of international trust and estate disputes is a wealth creator. So, will the Labour Government maximise this opportunity or squander it? Do the PM and Chancellor actually know about it, i.e. is it on their ‘wealth creation’ radar, or was what the PM said just rhetoric lacking in vision, granular understanding, and substance?