SF 612

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:14am

A bill for an act
relating to judgments; enacting the Uniform Foreign-Country Money Judgments
Recognition Act adopted and recommended for passage by the National
Conference of Commissioners on Uniform State Laws; proposing coding for
new law in Minnesota Statutes, chapter 548; repealing Minnesota Statutes 2008,
section 548.35.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

[548.54] SHORT TITLE.

Sections 548.54 to 548.63 may be cited as the Uniform Foreign-Country Money
Judgments Recognition Act.

Sec. 2.

[548.55] DEFINITIONS.

In sections 548.54 to 548.63:

(1) "foreign country" means a government other than:

(i) the United States;

(ii) a state, district, commonwealth, territory, or insular possession of the United
States; or

(iii) any other government with regard to which the decision in this state as to
whether to recognize a judgment of that government's courts is initially subject to
determination under the full faith and credit clause of the United States Constitution; and

(2) "foreign-country judgment" means a judgment of a court of a foreign country.

Sec. 3.

[548.56] APPLICABILITY.

(a) Except as otherwise provided in paragraph (b), sections 548.54 to 548.63 apply
to a foreign-country judgment to the extent that the judgment:

(1) grants or denies recovery of a sum of money; and

(2) under the law of the foreign country where rendered, is final, conclusive, and
enforceable.

(b) Sections 548.54 to 548.63 do not apply to a foreign-country judgment, even if the
judgment grants or denies recovery of a sum of money, to the extent that the judgment is:

(1) a judgment for taxes;

(2) a fine or other penalty; or

(3) a judgment for divorce, support, or maintenance, or other judgment rendered in
connection with domestic relations.

(c) A party seeking recognition of a foreign-country judgment has the burden of
establishing that sections 548.54 to 548.63 apply to the foreign-country judgment.

Sec. 4.

[548.57] STANDARDS FOR RECOGNITION OF FOREIGN-COUNTRY
JUDGMENT.

(a) Except as otherwise provided in paragraphs (b) and (c), a court of this state shall
recognize a foreign-country judgment to which sections 548.54 to 548.63 apply.

(b) A court of this state may not recognize a foreign-country judgment if:

(1) the judgment was rendered under a judicial system that does not provide
impartial tribunals or procedures compatible with the requirements of due process of law;

(2) the foreign court did not have personal jurisdiction over the defendant; or

(3) the foreign court did not have jurisdiction over the subject matter.

(c) A court of this state need not recognize a foreign-country judgment if:

(1) the defendant in the proceeding in the foreign court did not receive notice of the
proceeding in sufficient time to enable the defendant to defend;

(2) the judgment was obtained by fraud that deprived the losing party of an adequate
opportunity to present its case;

(3) the judgment or the cause of action on which the judgment is based is repugnant
to the public policy of this state or of the United States;

(4) the judgment conflicts with another final and conclusive judgment;

(5) the proceeding in the foreign court was contrary to an agreement between the
parties under which the dispute in question was to be determined otherwise than by
proceedings in that foreign court;

(6) in the case of jurisdiction based only on personal service, the foreign court was
a seriously inconvenient forum for the trial of the action;

(7) the judgment was rendered in circumstances that raise substantial doubt about
the integrity of the rendering court with respect to the judgment; or

(8) the specific proceeding in the foreign court leading to the judgment was not
compatible with the requirements of due process of law.

(d) A party resisting recognition of a foreign-country judgment has the burden of
establishing that a ground for nonrecognition stated in paragraph (b) or (c) exists.

Sec. 5.

[548.58] PERSONAL JURISDICTION.

(a) A foreign-country judgment may not be refused recognition for lack of personal
jurisdiction if:

(1) the defendant was served with process personally in the foreign country;

(2) the defendant voluntarily appeared in the proceeding, other than for the purpose
of protecting property seized or threatened with seizure in the proceeding or of contesting
the jurisdiction of the court over the defendant;

(3) the defendant, before the commencement of the proceeding, had agreed to submit
to the jurisdiction of the foreign court with respect to the subject matter involved;

(4) the defendant was domiciled in the foreign country when the proceeding was
instituted or was a corporation or other form of business organization that had its principal
place of business in, or was organized under the laws of, the foreign country;

(5) the defendant had a business office in the foreign country and the proceeding in
the foreign court involved a cause of action arising out of business done by the defendant
through that office in the foreign country; or

(6) the defendant operated a motor vehicle or airplane in the foreign country and the
proceeding involved a cause of action arising out of that operation.

(b) The list of bases for personal jurisdiction in paragraph (a) is not exclusive. The
courts of this state may recognize bases of personal jurisdiction other than those listed in
paragraph (a) as sufficient to support a foreign-country judgment.

Sec. 6.

[548.59] PROCEDURE FOR RECOGNITION OF FOREIGN-COUNTRY
JUDGMENT.

(a) If recognition of a foreign-country judgment is sought as an original matter,
the issue of recognition shall be raised by filing an action seeking recognition of the
foreign-country judgment.

(b) If recognition of a foreign-country judgment is sought in a pending action, the
issue of recognition may be raised by counterclaim, cross-claim, or affirmative defense.

Sec. 7.

[548.60] EFFECT OF RECOGNITION OF FOREIGN-COUNTRY
JUDGMENT.

If the court in a proceeding under section 548.59 finds that the foreign-country
judgment is entitled to recognition under sections 548.54 to 548.63 then, to the extent
that the foreign-country judgment grants or denies recovery of a sum of money, the
foreign-country judgment is:

(1) conclusive between the parties to the same extent as the judgment of a sister state
entitled to full faith and credit in this state would be conclusive; and

(2) enforceable in the same manner and to the same extent as a judgment rendered in
this state.

Sec. 8.

[548.61] STAY OF PROCEEDINGS PENDING APPEAL OF
FOREIGN-COUNTRY JUDGMENT.

If a party establishes that an appeal from a foreign-country judgment is pending or
will be taken, the court may stay any proceedings with regard to the foreign-country
judgment until the appeal is concluded, the time for appeal expires, or the appellant has
had sufficient time to prosecute the appeal and has failed to do so.

Sec. 9.

[548.62] STATUTE OF LIMITATIONS.

An action to recognize a foreign-country judgment must be commenced within the
earlier of the time during which the foreign-country judgment is effective in the foreign
country or 15 years from the date that the foreign-country judgment became effective in
the foreign country.

Sec. 10.

[548.63] SAVING CLAUSE.

Sections 548.54 to 548.63 do not prevent the recognition under principles of comity
or otherwise of a foreign-country judgment not within the scope of sections 584.54
to 584.63.

Sec. 11. REPEALER.

Minnesota Statutes 2008, section 548.35, is repealed.

Sec. 12. EFFECTIVE DATE; APPLICATION.

Sections 1 to 11 are effective August 1, 2009, and apply to all actions commenced on
or after that date in which the issue of recognition of a foreign-country judgment is raised.