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Author:
Juan Jose Cigarrán. 

Embassies to the court

The principle of sovereign immunity has been a pillar of international law for centuries. Under this concept, states cannot be tried by the courts of another country without its consent.

This extends to their diplomatic missions, which has generated the perception that embassies cannot be sued in national courts. However, in Spain, the reality in the labor field has shown that this immunity is not absolute.

The difference between immunity from jurisdiction and immunity from execution

Traditionally, sovereign immunity was considered to preclude any national court from hearing claims against a foreign State, including its embassies and consulates.

However, the evolution of international law has led to a more nuanced interpretation, distinguishing between two types of immunity:

  1. Immunity of jurisdiction: This refers to the protection that prevents a foreign state from being sued in the courts of another state. However, in labor matters, Spanish courts have taken the position that this immunity is not absolute and may be limited when it comes to labor relations between an embassy and local employees.
  2. Immunity of execution: Even if a court of law rules against an embassy, it cannot be enforced through coercive measures such as seizure of bank accounts or assets of the diplomatic mission, due to the enhanced protection afforded by international norms.

Why embassies can be sued in Spain?

In practice, labor courts in Spain have recognized the right of local employees of embassies to file claims for labor issues, such as unfair dismissals or non-payment of wages.

This is because judges have adopted the restrictive theory of immunity, according to which the commercial and labor activities of a foreign state in Spanish territory can be judged without affecting its sovereignty.

In various rulings, the Supreme Court has held that immunity from jurisdiction does not cover the private acts of an embassy, such as the hiring and management of local employees, as these are not considered sovereign activities. Therefore, Spanish courts may admit labor claims against embassies.

What happens when embassies lose a labor lawsuit?

Although a local employee may win a labor judgment against an embassy, immunity from execution prevents diplomatic assets from being seized to satisfy the judgment. This means that:

  • No liens may be placed on embassy buildings or vehicles.
  • Bank accounts of the diplomatic mission cannot be blocked.
  • No executive sanctions may be imposed on the embassy to force compliance with the judgment.

Thus, in practice, even if an employee obtains a favorable judgment, compliance will depend on the embassy’s willingness to abide by the court’s ruling.

International law has evolved from absolute immunity to a differentiation between immunity from jurisdiction and immunity from execution.

In Spain, labor courts have chosen to allow suits against embassies in labor cases, recognizing that the hiring of local personnel is not a sovereign act. However, immunity from execution remains an obstacle to the effectiveness of these judgments.

This leaves employees in a complex situation: they can sue and win, but enforcement of the judgment depends on the goodwill of the embassy.

Therefore, any litigation against a diplomatic mission must be approached with a clear understanding of these legal limits and the potential practical consequences.

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