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Foreign Judgment

Foreign Judgment 

According to Section 2(6) 'foreign judgment' means judgment of foreign court and according to Section 2(5) 'foreign court' means a court situated outside India and not established or continued by the authority of the Central Government.

Object: The object behind this provision is to give respect to the judgment of competent foreign court and a legal obligation arises to satisfy the claim. In private international law, certain rules are regarded as common to civilized nations. This recognition is accorded on the rules of justice, equity and good conscience. 

Binding nature of foreign judgment: Section 13 provides that a foreign judgment shall be conclusive as to any matter thereby directly adjudicated upon between the same parties or between parties under whom or any of them claim litigating under the same title [Section 13]. Supreme Court in Lalji Raja and Sons v. Hansraj Nathuram, (1971) 1 SCC 721 held that rule laid down in Section 13 is a substantive law and not merely a rule of procedure. Such judgment is conclusive and operates as res judicata between the parties and privies though not strangers.

In D. Vishwanathan v. Rukun ul Mulk Sayed Abdul, AIR 1963 SC 1 Supreme Court held that while considering whether a judgment of a foreign court is conclusive, the courts in India will not require whether conclusions recorded by foreign court are correct or findings otherwise tenable, i.e., the courts cannot go into merits of the claim and it shall be conclusive as to any matter directly adjudicated upon between such parties subject to exceptions enumerated under Section 13, clause (a) to (f).

Foreign judgments when not binding

Under Section 13, if one of the conditions specified in clauses (a) to (f) is satisfied, a foreign judgment will not be conclusive and it will be open to a collateral attack. These conditions are discussed as under:

Foreign Judgments are not binding 

Foreign Judgments are not binding if-

  • Not passed by a competent court
  • Not on merits
  • Against international law or indian law
  • Against natural justice 
  • Obtained by fraud
  • Founded on breach of Indian law

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