S T A T E O F N E W Y O R K
________________________________________________________________________
523--A
Cal. No. 406
2021-2022 Regular Sessions
I N S E N A T E
(PREFILED)
January 6, 2021
___________
Introduced by Sen. HOYLMAN -- read twice and ordered printed, and when
printed to be committed to the Committee on Judiciary -- reported
favorably from said committee, ordered to first and second report,
ordered to a third reading, passed by Senate and delivered to the
Assembly, recalled, vote reconsidered, restored to third reading,
amended and ordered reprinted, retaining its place in the order of
third reading
AN ACT to amend the civil practice law and rules, in relation to revis-
ing and clarifying the uniform foreign country money-judgments recog-
nition act
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The article heading of article 53 of the civil practice law
and rules, as added by chapter 981 of the laws of 1970, is amended to
read as follows:
RECOGNITION OF FOREIGN COUNTRY MONEY JUDGMENTS
[SUMMARY OF ARTICLE]
§ 2. Section 5301 of the civil practice law and rules, as added by
chapter 981 of the laws of 1970, subdivision (a) as amended by chapter
119 of the laws of 1979, is amended to read as follows:
§ 5301. Definitions. As used in this article the following definitions
shall be applicable.
(a) Foreign [state] COUNTRY. "Foreign [state] COUNTRY" [in this arti-
cle] means [any governmental unit] A GOVERNMENT other than:
1. the United States[, or any];
2. A state, district, commonwealth, territory[,] OR insular possession
[thereof, or the Panama Canal Zone or the Trust Territory of the Pacific
Islands] OF THE UNITED STATES; OR
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03949-02-1
S. 523--A 2
3. 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.
(b) Foreign country judgment. "Foreign country judgment" [in this
article] means [any] A judgment of a COURT OF A foreign [state granting
or denying recovery of a sum of money, other than a judgment for taxes,
a fine or other penalty, or a judgment for support in matrimonial or
family matters] COUNTRY.
§ 3. Section 5302 of the civil practice law and rules, as added by
chapter 981 of the laws of 1970, is amended to read as follows:
§ 5302. Applicability. [This article applies to any foreign country
judgment which is final, conclusive and enforceable where rendered even
though an appeal therefrom is pending or it is subject to appeal.] (A)
EXCEPT AS OTHERWISE PROVIDED IN SUBDIVISION (B) OF THIS SECTION, THE
PROVISIONS OF THIS ARTICLE APPLY TO A FOREIGN COUNTRY JUDGMENT TO THE
EXTENT THAT SUCH 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 EVEN THOUGH AN APPEAL THEREFROM IS PENDING OR
IT IS SUBJECT TO APPEAL.
(B) THIS ARTICLE DOES NOT APPLY TO A FOREIGN COUNTRY JUDGMENT, EVEN IF
THE JUDGMENT GRANTS OR DENIES RECOVERY OF A SUM OF MONEY, TO THE EXTENT
THE JUDGMENT IS:
1. A JUDGMENT FOR TAXES;
2. A FINE OR 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 THIS ARTICLE APPLIES TO THE FOREIGN COUNTRY
JUDGMENT.
§ 4. Section 5303 of the civil practice law and rules, as added by
chapter 981 of the laws of 1970, is amended to read as follows:
§ 5303. Recognition [and] enforcement, AND PROCEEDINGS. (A) Except as
IS OTHERWISE provided in section [5304] FIFTY-THREE HUNDRED FOUR OF THIS
ARTICLE OR ANY CONTROLLING LAW OF THE UNITED STATES, A COURT OF THIS
STATE SHALL RECOGNIZE a foreign country judgment [meeting the require-
ments of section 5302 is] TO WHICH THIS ARTICLE APPLIES AS conclusive
between the parties to the extent that it grants or denies recovery of a
sum of money. [Such a foreign judgment is enforceable by an action on
the judgment, a motion for summary judgment in lieu of complaint, or in
a pending action by counterclaim, cross-claim or affirmative defense.]
(B) IF RECOGNITION OF A FOREIGN COUNTRY JUDGMENT IS SOUGHT AS AN
ORIGINAL MATTER, THE ISSUE OF RECOGNITION SHALL BE RAISED BY FILING AN
ACTION ON THE JUDGMENT OR A MOTION FOR SUMMARY JUDGMENT IN LIEU OF
COMPLAINT SEEKING RECOGNITION OF THE FOREIGN COUNTRY JUDGMENT.
(C) IF RECOGNITION OF A FOREIGN COUNTRY JUDGMENT IS SOUGHT IN A PEND-
ING ACTION, THE ISSUE OF RECOGNITION MAY BE RAISED BY COUNTERCLAIM,
CROSS-CLAIM OR AFFIRMATIVE DEFENSE.
(D) AN ACTION TO RECOGNIZE A FOREIGN COUNTRY JUDGMENT MUST BE
COMMENCED WITHIN THE EARLIER OF THE TIME DURING WHICH THE FOREIGN COUN-
TRY JUDGMENT IS EFFECTIVE IN THE FOREIGN COUNTRY OR TWENTY YEARS FROM
THE DATE THAT THE FOREIGN COUNTRY JUDGMENT BECAME EFFECTIVE IN THE
FOREIGN COUNTRY.
§ 5. Section 5304 of the civil practice law and rules, as amended by
chapter 66 of the laws of 2008, is amended to read as follows:
S. 523--A 3
§ 5304. Grounds for non-recognition. (a) [No recognition.] A COURT OF
THIS STATE MAY NOT RECOGNIZE A foreign country judgment [is not conclu-
sive] if:
1. the judgment was rendered under a JUDICIAL system [which] 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.
(b) [Other grounds for non-recognition.] A [foreign country judgment]
COURT OF THIS STATE need not [be recognized] RECOGNIZE A FOREIGN COUNTRY
JUDGMENT if:
1. [the foreign court did not have jurisdiction over the subject
matter;
2.] the defendant in the [proceedings] PROCEEDING in the foreign court
did not receive notice of the [proceedings] PROCEEDING in sufficient
time to enable [him] THE DEFENDANT to defend;
[3.] 2. the judgment was obtained by fraud THAT DEPRIVED THE LOSING
PARTY OF AN ADEQUATE OPPORTUNITY TO PRESENT ITS CASE;
[4.] 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;
[5.] 4. the judgment conflicts with another final and conclusive judg-
ment;
[6.] 5. the proceeding in the foreign court was contrary to an agree-
ment between the parties under which the dispute in question was to be
[settled] DETERMINED otherwise than by [proceedings] A PROCEEDING in
that court;
[7.] 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; [or]
7. THE JUDGMENT WAS RENDERED IN CIRCUMSTANCES THAT RAISE SUBSTANTIAL
DOUBT ABOUT THE INTEGRITY OF THE RENDERING COURTS WITH RESPECT TO THE
JUDGMENT;
8. THE SPECIFIC PROCEEDING IN THE FOREIGN COURT LEADING TO THE JUDG-
MENT WAS NOT COMPATIBLE WITH THE REQUIREMENTS OF DUE PROCESS OF LAW; OR
9. the cause of action resulted in a defamation judgment obtained in a
jurisdiction outside the United States, unless the court before which
the matter is brought sitting in this state first determines that the
defamation law applied in the foreign court's adjudication provided at
least as much protection for freedom of speech and press in that case as
would be provided by both the United States and New York constitutions.
(C) A PARTY RESISTING RECOGNITION OF A FOREIGN COUNTRY JUDGMENT HAS
THE BURDEN OF ESTABLISHING THAT A GROUND FOR NON-RECOGNITION STATED IN
SUBDIVISION (A) OR (B) OF THIS SECTION EXISTS; PROVIDED THAT THE PARTY
SEEKING RECOGNITION SHALL BEAR THE BURDEN OF ESTABLISHING THE ADEQUATE
PROTECTIONS FOR FREEDOM OF SPEECH AND PRESS REQUIRED AS A CONDITION TO
RECOGNITION UNDER PARAGRAPH NINE OF SUBDIVISION (B) OF THIS SECTION IF
THE PARTY RESISTING RECOGNITION ESTABLISHES THAT THE JUDGMENT IS FOR
DEFAMATION.
§ 6. Section 5305 of the civil practice law and rules, as added by
chapter 981 of the laws of 1970, is amended to read as follows:
§ 5305. Personal jurisdiction. (a) [Bases of jurisdiction. The] A
foreign country judgment [shall] MAY not be refused recognition for lack
of personal jurisdiction if:
S. 523--A 4
1. the defendant was served WITH PROCESS personally in the foreign
[state] COUNTRY;
2. the defendant voluntarily appeared in the [proceedings] PROCEEDING,
other than for the purpose of protecting property seized or threatened
with seizure in the [proceedings] PROCEEDING or of contesting the juris-
diction of the court over [him] THE DEFENDANT;
3. the defendant prior to the commencement of the [proceedings]
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 [state] COUNTRY when the
[proceedings were] PROCEEDING WAS instituted[,] or[, being a body corpo-
rate] WAS A CORPORATION OR OTHER FORM OF BUSINESS ORGANIZATION THAT had
its principal place of business[, was incorporated,] IN, OR WAS ORGAN-
IZED UNDER THE LAWS OF, or had otherwise acquired corporate status, in
the foreign [state] COUNTRY;
5. the defendant had a business office in the foreign [state] COUNTRY
and the [proceedings] PROCEEDING in the foreign court involved a cause
of action arising out of business done by the defendant through that
office in the foreign [state] COUNTRY; or
6. the defendant operated a motor vehicle or airplane in the foreign
[state] COUNTRY and the [proceedings] PROCEEDING involved a cause of
action arising out of such operation.
(b) [Other bases of jurisdiction.] The courts of this state may recog-
nize [other] bases of PERSONAL jurisdiction OTHER THAN THOSE LISTED IN
SUBDIVISION (A) OF THIS SECTION AS SUFFICIENT TO SUPPORT A FOREIGN COUN-
TRY JUDGMENT.
§ 7. Section 5306 of the civil practice law and rules, as added by
chapter 981 of the laws of 1970, is amended to read as follows:
§ 5306. Stay [in case] of A PROCEEDING PENDING appeal OF A FOREIGN
COUNTRY JUDGMENT. If [the defendant satisfies the court either] A PARTY
ESTABLISHES that an appeal FROM A FOREIGN COUNTRY JUDGMENT is pending or
[that he is entitled and intends to appeal from the foreign country
judgment] WILL BE TAKEN, the court may stay [the proceedings] ANY
PROCEEDING WITH REGARD TO THE FOREIGN COUNTRY JUDGMENT until the appeal
[has been determined or until the expiration of a period of time] IS
CONCLUDED, THE TIME FOR APPEAL EXPIRES, OR THE APPELLANT HAS HAD suffi-
cient [to enable the defendant] TIME to prosecute the appeal AND HAS
FAILED TO DO SO.
§ 8. Section 5307 of the civil practice law and rules, as added by
chapter 981 of the laws of 1970, is amended to read as follows:
§ 5307. [Recognition in other situations.] EFFECT OF RECOGNITION. (A)
IF THE COURT, IN A PROCEEDING UNDER SECTION FIFTY-THREE HUNDRED FIVE OF
THIS ARTICLE FINDS THAT THE JUDGMENT IS ENTITLED TO RECOGNITION UNDER
THIS ARTICLE, THEN, TO THE EXTENT THAT THE FOREIGN COUNTRY JUDGMENT
GRANTS OR DENIES RECOVERY OF A SUM OF MONEY, THE FOREIGN COUNTRY JUDG-
MENT 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.
(B) This article does not prevent the recognition of a foreign country
judgment in situations not covered by this article.
§ 9. Section 5309 of the civil practice law and rules, as added by
chapter 981 of the laws of 1970, is amended to read as follows:
S. 523--A 5
§ [5309.] 5300. Citation. This article may be cited as the "Uniform
Foreign Country [Money-Judgments Recognition] MONEY JUDGMENTS Act."
§ 10. This act shall take effect immediately and shall apply to all
actions commenced on or after the effective date of this act.
