By Prakhar Rai, Advocate, Bar Council of India. LL.B, NLSIU Bangalore. Master of Business Laws.
Quick answer: It depends on which country’s court gave the judgment. A decree from a superior court of a “reciprocating territory”, such as the United Kingdom or Singapore, can be filed for execution in an Indian District Court under Section 44A of the Code of Civil Procedure. A judgment from anywhere else, including the United States, generally can’t be executed directly. You file a fresh suit in India based on it, and the foreign judgment is used as evidence.
Key takeaways
- Two routes exist: execution under Section 44A for reciprocating territories, and a fresh suit for everything else.
- The United States is not a reciprocating territory, so a US judgment usually means a new suit in India.
- Both routes are tested against the exceptions in Section 13 of the CPC. A judgment not given “on the merits” or obtained by fraud can be refused.
- Arbitration awards follow a different path under the New York Convention rules in the Arbitration and Conciliation Act, 1996.
- If your contract hasn’t been signed yet, the choice of forum is the cheapest way to make enforcement easier.
A foreign client calls with a judgment in hand and a problem: the other side’s money is in India. The first question I ask is not how big the judgment is. It’s which court gave it.
Founders tend to treat a foreign judgment as a finished result. In my experience it’s the middle of the process, and the forum named in the contract decides how long the rest takes.
The two routes
| Reciprocating territory | Non-reciprocating territory | |
|---|---|---|
| Examples | United Kingdom, Singapore, UAE, Malaysia, New Zealand, Bangladesh, Hong Kong and others on the government’s list | United States, Canada, Australia and most other countries |
| Route | File a certified copy of the decree in an Indian District Court for execution under Section 44A | File a fresh suit in an Indian court based on the foreign judgment |
| Foreign judgment is | Executed as if passed by the Indian court | Evidence in the new suit |
| Time | Usually faster | Usually slower, because it’s a full suit |
The list of reciprocating territories is set by notification in the Official Gazette and has changed over time. Check the current list before you rely on it, and check which courts in that territory count. Section 44A applies only to decrees of a superior court of the territory. For the UAE, for example, which court gave the judgment is a question to settle early.
Route one: execution under Section 44A
You file a certified copy of the decree, with a certificate from the foreign court of any satisfaction or adjustment already made. The Indian court treats it as if it had passed the decree, but the other side can still resist on the Section 13 grounds below. This route covers money decrees and some non-money decrees. It doesn’t cover everything, and judgments on matters like family law raise their own issues, so confirm with an Indian litigator.
Route two: a fresh suit
For a US judgment, the Supreme Court in Moloji Nar Singh Rao v. Shankar Saran (AIR 1962 SC 1737) held that a decree from a court that isn’t a superior court of a reciprocating territory can’t be executed in India. In practice that means you sue in India on the judgment. The foreign judgment becomes the main evidence, so the suit is shorter than a suit from scratch, but it’s still a suit. Limitation for a suit on a foreign judgment is generally put at three years from the judgment. Please verify the current limitation article with your litigator before relying on that date.
Section 13: how an Indian court can refuse
Under Section 13 CPC, a foreign judgment is conclusive between the parties except where:
- (a) it was not pronounced by a court of competent jurisdiction;
- (b) it was not given on the merits of the case;
- (c) it appears on its face to be founded on an incorrect view of international law, or a refusal to recognise Indian law where it applies;
- (d) the proceedings were opposed to natural justice;
- (e) it was obtained by fraud; or
- (f) it sustains a claim founded on a breach of a law in force in India.
Two of these deserve special attention.
“On the merits.” A default judgment, where the Indian party never appeared, can be attacked on this ground. If the judgment came without any real examination of the claim, the Indian court may decline to treat it as a decision on the merits. How that plays out depends on the facts.
“Competent jurisdiction.” If the Indian party never submitted to the foreign court, and the contract didn’t clearly choose it, expect an argument that the foreign court had no jurisdiction over them.
Section 14 helps the decree holder: an Indian court presumes that a certified copy of a foreign judgment was pronounced by a court of competent jurisdiction, unless the contrary appears on its face. The other side can still try to displace that.
What about arbitration awards?
An arbitral award is a different thing. If the award is from a country that India has notified as a Convention country under Part II of the Arbitration and Conciliation Act, 1996, you apply for enforcement as a decree of an Indian court, and the grounds for refusing enforcement are narrower and more limited than the Section 13 grounds. This is one reason many cross-border contracts choose arbitration.
Practical steps if you hold a foreign judgment
- Identify the court and the country. Is it a superior court of a reciprocating territory?
- Get certified copies. The decree, the judgment and any certificate of satisfaction.
- Find the assets. A judgment against a company with no Indian assets is hard to collect. Trace bank accounts, receivables and property early.
- Check the Section 13 risks. Was the defendant served? Did they appear? Was there a decision on the merits?
- Choose the route. Execution or fresh suit.
- Think about interim protection. An Indian court may be asked to secure assets while the case runs.
A well-prepared file saves months. Our pre-litigation advisory team can review the judgment and the asset position before any filing.
If you’re drafting a contract now
You can make enforcement easier before there’s any dispute. Options include:
- Choosing courts in a reciprocating territory such as London or Singapore, where an Indian counterparty has assets.
- Choosing arbitration seated in a Convention country.
- Adding a clause where the Indian party submits to the chosen forum.
If your counterparty is in the United States, the US contract lawyer route is worth a look at contract lawyers in the USA.
Quick answers
Can a US court judgment be enforced in India? Not directly. The United States is not a reciprocating territory, so you generally file a fresh suit in India based on the judgment.
Is a UK judgment easier to enforce in India? Often, yes, if it’s from a superior court. It can be executed through Section 44A, subject to the Section 13 grounds.
Does the Indian court re-try the case? It doesn’t re-hear the merits of the original dispute, but it can refuse to enforce on the grounds in Section 13, such as fraud or lack of jurisdiction.
How long does it take? It varies widely by court and by how much the debtor contests. I can’t give a number I’d stand behind, so ask a litigator in the relevant city for a realistic range.
About the author. Prakhar Rai is an advocate enrolled with the Bar Council of India. He holds an LL.B from NLSIU Bangalore and a Master of Business Laws, and works on contract drafting, review and disputes for founders and businesses across borders