LAWS(DLH)-2001-5-175

A S SANDHU Vs. MITHALS INTERNATIONAL PRIVATE LIMITED

Decided On May 22, 2001
A.S.SANDHU Appellant
V/S
MITHALS INTERNATIONAL PRIVATE LIMITED Respondents

JUDGEMENT

(1.) The Suit has been filed for recovery of Rs.7,84,000/- on the basis of Judgment and decree dated 4th January, 1994 passed by the Superior Court of California, USA. The facts are mentioned in detail in the plaint as per which dispute arose between the parties which led the plaintiff to file the Suit in the aforesaid Court of California, USA and it resulted in the passing of Judgment and decree dated 4th January, 1994. Copy of the decree sheet has been annexed with the plaint as per which a decree for US $20,000 as principal, and cost as per filed memorandum of cost is passed. As on the date of filing of the Suit converting US $ in rupees, a sum of Rs.6,40,000/- plus interest @ 15% per annum is claimed from the date of decree and this is how the Suit for recovery of Rs. 7,84,000/- has been filed. The defendant was duly served. However, the defendant have failed to put in appearance and was accordingly proceeded ex-parte. The plaintiff was directed to lead evidence by way of affidavit. Mr. Avtar Singh Sandhu, plaintiff has filed his evidence by way of affidavit and has proved the decree passed by the Superior Court of California, USA as Exh.PW.1/1 and PW.1/2.

(2.) Section 13 of the Code of Civil Procedure stipulates that a foreign judgment shall be conclusive as to any matter directly adjudicated upon between the same parties or between the parties under whom they or any of them claim litigating under the same title. It has been held in the case of Roshanial Nuthiala and others versus R.B. Mohan Singh Oberai reported in AIR 1975 SC 824 as well as in the case of Ganguli Engineering Limited versus Sm. Sushila Bala Dasi and another reported in AIR 1957 Calcutta 103 that foreign judgment is conclusive under Section 13 of the Code of Civil Procedure and can be enforced in India by instituting a Suit on such a foreign judgment. General principle of law is that any decision by a foreign Court is not enforceable in this country unless such decision is embodied in a decree passed by the the Court of that country. In a Suit filed on a foreign judgment. Court is not to go into the merits of the original claim or question the correctness or propriety of the foreign judgment.

(3.) There are certain exceptions stipulated in Section 13 of the Code of Civil Procedure. If case is covered in any of .these exceptions decree passed by a foreign Court will not be conclusive or binding. However, it was for the defendant to bring his case under any of these exceptions, if at all. As the defendant has remained ex-parte and there is no challenge to the decree on any of the grounds mentioned in Section 13 of the Code of Civil Procedure, the present Suit has to be decreed. A decree in the sum of Rs.7,84,000/~ with interest @ 15% per annum on the sum of Rs.6,40,000/- from the date of institution of the Suit till payment of the decretal amount is hereby passed. The plaintiff shall also be entitled to cost. Decree-sheet be prepared accordingly.