Rule #1 here: NEVER hesitate to call one of our posts a great post. Just do it.

Thanks.

Extra added emphasis on "generally". In fact, capitalize every letter in that word, and put a disclaimer behind it. Particularly since the recognition aspect of the NYC appears to be far more often complied with than the enforcement aspect.

My apologies to David Yu, as this is probably just stating more of the obvious.

And, as always, great post China Law Blog. I celebrate you.

Although there are a lot of laws which aren't respected, when it comes time to enforce your judgment you'll find that limitation of liability by share capital is one which is observed all around the world.

So your judgment against XYZ Co., Ltd. in Seoul doesn't do you a bit of good if the managers of XYZ clear the bank accounts out once they know a dispute is possible (you should silently file a pre-judgment attachment against accounts and against shares in the company, then start blustering about possibly taking legal action) or if the company is basically an insolvent shell.

Always, always, always take reliable security in advance. If your partner can't get a domestic financial institution or insurer to put up a letter of credit or a performance bond, that should be a signal to you. Where nobody in China wants to be this guy's unsecured creditor, why should you volunteer?

Looks like I'm going to do a post on this topic over at my Korea Law Blog.