Bill Text: TX SB944 | 2017-2018 | 85th Legislature | Enrolled
Bill Title: Relating to the adoption of the Uniform Foreign-Country Money Judgments Recognition Act.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2017-06-01 - Effective immediately [SB944 Detail]
Download: Texas-2017-SB944-Enrolled.html
S.B. No. 944 |
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relating to the adoption of the Uniform Foreign-Country Money | ||
Judgments Recognition Act. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subtitle C, Title 2, Civil Practice and Remedies | ||
Code, is amended by adding Chapter 36A to read as follows: | ||
CHAPTER 36A. ENFORCEMENT OF JUDGMENTS OF OTHER COUNTRIES | ||
Sec. 36A.001. SHORT TITLE. This chapter may be cited as the | ||
Uniform Foreign-Country Money Judgments Recognition Act. | ||
Sec. 36A.002. DEFINITIONS. In this chapter: | ||
(1) "Foreign country" means a government other than: | ||
(A) the United States; | ||
(B) a state, district, commonwealth, territory, | ||
or insular possession of the United States; or | ||
(C) any other government with respect to which | ||
the decision in this state as to whether to recognize a judgment of | ||
that government's court is initially subject to determination under | ||
Section 1, Article IV, United States Constitution (the full faith | ||
and credit clause). | ||
(2) "Foreign-country judgment" means a judgment of a | ||
court of a foreign country. | ||
Sec. 36A.003. APPLICABILITY. (a) Except as otherwise | ||
provided in Subsection (b), this chapter applies 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 in which the | ||
judgment is rendered, is final, conclusive, and enforceable. | ||
(b) This chapter does not apply to a foreign-country | ||
judgment that 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 this chapter applies | ||
to the foreign-country judgment. | ||
Sec. 36A.004. STANDARDS FOR RECOGNITION OF FOREIGN-COUNTRY | ||
JUDGMENT. (a) Except as otherwise provided in Subsections (b) and | ||
(c), a court of this state shall recognize a foreign-country | ||
judgment to which this chapter applies. | ||
(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 is not required to 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 the party's | ||
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 | ||
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 the | ||
foreign court; | ||
(6) jurisdiction was based only on personal service | ||
and 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; | ||
(8) the specific proceeding in the foreign court | ||
leading to the judgment was not compatible with the requirements of | ||
due process of law; or | ||
(9) it is established that the foreign country in | ||
which the judgment was rendered does not recognize judgments | ||
rendered in this state that, but for the fact that they are rendered | ||
in this state, would constitute foreign-country judgments to which | ||
this chapter would apply under Section 36A.003. | ||
(d) A party resisting recognition of a foreign-country | ||
judgment has the burden of establishing that a ground for | ||
nonrecognition stated in Subsection (b) or (c) exists. | ||
Sec. 36A.005. 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 commencement of the | ||
proceeding, 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 whose principal place of business was | ||
in, or that 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 | ||
Subsection (a) is not exclusive. A court of this state may | ||
recognize bases of personal jurisdiction other than those listed in | ||
Subsection (a) as sufficient to support a foreign-country judgment. | ||
Sec. 36A.006. 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 may 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. 36A.007. EFFECT OF RECOGNITION OF FOREIGN-COUNTRY | ||
JUDGMENT. If the court in a proceeding under Section 36A.006 finds | ||
that the foreign-country judgment is entitled to recognition under | ||
this chapter, 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. 36A.008. 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: | ||
(1) the appeal is concluded; | ||
(2) the time for appeal expires; or | ||
(3) the appellant has had sufficient time to prosecute | ||
the appeal and has failed to do so. | ||
Sec. 36A.009. STATUTE OF LIMITATIONS. An action to | ||
recognize a foreign-country judgment must be brought within the | ||
earlier of: | ||
(1) the time during which the foreign-country judgment | ||
is effective in the foreign country; or | ||
(2) 15 years from the date that the foreign-country | ||
judgment became effective in the foreign country. | ||
Sec. 36A.010. UNIFORMITY OF INTERPRETATION. In applying | ||
and construing this chapter, consideration must be given to the | ||
need to promote uniformity of the law with respect to the subject | ||
matter of this chapter among states that enact a law based on the | ||
uniform act on which this chapter is based. | ||
Sec. 36A.011. SAVING CLAUSE. This chapter does not prevent | ||
the recognition under principles of comity or otherwise of a | ||
foreign-country judgment not within the scope of this chapter. | ||
SECTION 2. Chapter 36, Civil Practice and Remedies Code, is | ||
repealed. | ||
SECTION 3. This Act applies to a pending suit in which the | ||
issue of recognition of a foreign-country money judgment is or has | ||
been raised without regard to whether the suit was commenced | ||
before, on, or after the effective date of this Act. | ||
SECTION 4. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2017. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I hereby certify that S.B. No. 944 passed the Senate on | ||
April 10, 2017, by the following vote: Yeas 31, Nays 0; and that | ||
the Senate concurred in House amendments on May 22, 2017, by the | ||
following vote: Yeas 31, Nays 0. | ||
______________________________ | ||
Secretary of the Senate | ||
I hereby certify that S.B. No. 944 passed the House, with | ||
amendments, on May 18, 2017, by the following vote: Yeas 146, | ||
Nays 0, two present not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
Approved: | ||
______________________________ | ||
Date | ||
______________________________ | ||
Governor |