Choice of law
The general rule that applies in Kosovo is that the parties are free to choose the governing law to their contract unless other is provided by law or an international agreement. If the parties have not selected a governing law, the law of the state with which the contract is in closest relationship shall be applied. Exceptionally, for contracts related to real estate, the law of the state in whose territory the real estate is located is exclusively applicable.
Choice of dispute resolution forum
Party autonomy is also a criteria for determination of the dispute resolution forum. The parties can explicitly or implicitly agree that the dispute between them shall be resolved by a competent court (choice of court agreement) or an arbitration tribunal (arbitration agreement). The parties can enter into this type of agreements before the dispute has arisen in the form of a contract provision, or after its appearance.