The Netherlands v Azeta BV

• Jurisdiction: Holanda
• Judgment Date: 14 May 1998
• Court: District Court (Netherlands)
• Date: 14 May 1998

The Netherlands, District Court of Rotterdam.

Netherlands

and

Azeta BV

State immunity Immunity from attachment Embassy bank account Whether funds in use for performance of sovereign functions of foreign State Funds intended for maintaining and running embassy Statement to this effect by foreign State Whether further enquiry into intended use of funds constituting unreasonable interference in diplomatic mission The law of the Netherlands

Summary: The facts:On 24 April 1998, Azeta arranged for the credit balances of the Chilean Embassy in an account at ABN-AMRO Bank in Amsterdam to be attached by way of execution of a judgment against Chile. The attachment involved the execution of a judgment given by the District Court of Rotterdam on 5 December 1984 under which Chile was ordered to pay an amount of 15 million guilders. The Bank informed the Chilean Ambassador of the attachment and he lodged a protest with the Dutch Ministry of Foreign Affairs. The Ambassador demanded that the Minister take steps to arrange for termination of the attachment on the ground of the Netherlands' obligation under international law to maintain the immunity of the diplomatic mission of Chile from attachment. As the Ministry did not respond immediately, Chile applied to the District Court on 6 May for an interim injunction ordering termination of the attachment. Only after the Netherlands had indicated on 11 May that it would apply for an interim injunction to secure termination of the attachment did Chile withdraw its own application for an interim injunction.

Held:Chile was entitled to immunity from execution. The attachment should be vacated.

(1) Establishing...