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Enforcement of foreign judgments

Recognition of court judgments in other jurisdictions

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  • 3 chapters

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Through Judgment (law), Multilateralism and Treaty

Definition of terms

The "recognition" of a foreign judgment occurs when the court of one country or jurisdiction accepts a judicial decision made by the courts of another "foreign" country or jurisdiction, and issues a judgment in substantially identical terms without rehearing the substance of the original lawsuit.

In English law, there is a clear distinction between recognition of foreign judgments, and enforcement of foreign judgments. Recognition means treating the claim as having been determined in favour of one of the litigating parties. This is an acknowledgment of foreign competence and of the settling of a dispute, known as res judicata. Enforcement, by contrast, is the implementation of the judgment.

In American legal terminology, a "foreign" judgment means a judgment from another state in the United States or from a foreign country. To differentiate between the two, more precise terminology used is "foreign-country judgment" (for judgments from another country) and "foreign sister-state judgment" (from a different state within the United States).

Once a foreign judgment is recognized, the party who was successful in the original case can then seek its enforcement in the recognizing country. If the foreign judgment is a money judgment and the debtor has assets in the recognizing jurisdiction, the judgment creditor has access to all the enforcement remedies as if the case had originated in the recognizing country, e.g. garnishment, judicial sale, etc. If some other form of judgment was obtained, e.g. affecting status, granting injunctive relief, etc., the recognizing court will make whatever orders are appropriate to make the original judgment effective.

Foreign judgments may be recognized either unilaterally or based on principles of comity, i.e. mutual deference between courts in different countries. In English courts, the basis of the enforcement of foreign judgments is not comity, but the doctrine of obligation.

Between two different States in the United States, enforcement is generally required under the Full Faith and Credit Clause (Article IV, Section 1) of the U.S. Constitution, which compels a State to give effect to another State's judgment as if it were local. This usually requires some sort of an abbreviated application on notice, or docketing. Between one State in the United States, and a foreign country, e.g. Canada, the prevailing concept is comity. The Court in the United States, in most cases, will unilaterally enforce the foreign judgment, without proof of diplomatic reciprocity, either under judge-made law or under specific statutes.

Recognition will generally be denied if the judgment is substantively incompatible with basic legal principles in the recognizing country. For example, U.S. courts, in accordance with the Securing the Protection of our Enduring and Established Constitutional Heritage Act, are prohibited from recognizing or enforcing foreign libel judgments against any United States person unless the foreign country in which the judgement was made protects freedom of speech to at least the same degree as the United States and the foreign court's conduct of the case in which the judgement was reached respected the due process guarantees of the U.S. Constitution to the same extent as a U.S. court would have.

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