Pakistan - Enforcement of Money Judgments
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I. PRESENT ATTITUDE TOWARD ENFORCEMENT OF FOREIGN MONEY JUDGMENTS
A. Receptiveness of the Government/Courts toward Enforcement of Foreign Money Judgments
The procedure for enforcement of foreign decrees/judgments in Pakistan has been clearly laid down in the Civil Procedure Code of Pakistan (“CPC”), and more particularly under sections 13 and 44-A thereof. The procedure for enforcement available to decree holders from non-reciprocating territories (section 13) differs from that available to decree holders from the “Reciprocating Territories” (section 44-A). The former will be required to file a fresh suit in Pakistan on the basis of the foreign judgment being enforced, whereas the latter can simply file an execution application before a District Court for execution of the foreign judgment. As long as these procedures, and the ancillary requirements of law are satisfied, the foreign decrees/judgments will be enforced.
B. Recent Illustrative Attempts to Enforce Foreign Money Judgments (particularly, US Judgments)
Pakistan does not have any reciprocating arrangement with the United States of America. Therefore, the section 44-A procedure4 for direct execution of foreign judgment will not be available in case the judgment was given by a United States court. To enforce such a judgment, the interested party will have to file a fresh suit under section 13 of the CPC, with the US judgment being the cause of action.
The only recent case on enforcement of foreign judgment in Pakistan is Grosvenor Casino Limited v. Abdul Malik, where a decree passed in Queen’s Bench Division of the English High Court was sought to be executed in Pakistan. The enforcement was however refused on grounds of limitation of time, and for public policy reasons. As will be explained below, the limitation in execution matters is three years, whereas the instant application for execution was filed some five years after the English decree was given. Further, the fact that the decree in question allowed for recovery of money under a gaming statute made it contrary to the law of Pakistan and to the public policy considerations, thereby rendering it unenforceable.