We are always writing on how because Chinese courts will not enforce U.S. court judgments it is usually pointless to pursue litigation against a Chinese company in the United States if the Chinese company’s only assets are in China. So if you have an agreement with a Chinese company that requires litigation take place in your own United States city you are likely to face problems if you ever need to sue. Here are some of our posts on this:
- Enforcing Foreign Judgments in China — Let’s Sue Twice
- Chinese Companies Can Say, “So Sue Me.”
- Taking Judgments To China (And Korea), Let’s Not Sue Twice
- Will Your US Judgment Be Enforced Abroad? Not China, But Maybe
- Why Suing Chinese Companies In The US Is Usually A Waste Of Time
- How To Sue A Chinese Company. Part III. Litigation Strategies And Enforcing Judgments
So today when a client called to discuss suing a Chinese company, I started talking about how China does not enforce U.S. judgments. The client then reminded me that it was a Canadian company. Wait just a second. Canada is a separate country with its own international treaties. Is it in a treaty with China under which the two countries enforce each other’s court judgments?
I did some quick research and discovered that China does not enforce Canadian judgments but it does enforce the judgments from the following surprisingly large (and somewhat diverse) list of countries:
- North Korea
- United Arab Emirates (U.A.E.)
From now on, whenever I write about the enforcement of judgments in China from now on, I am going to strive to point out that what China does with U.S. judgments may not be the same thing it does with other country’s judgments.
Anyone out there ever taken a judgment from a foreign country and had it enforced in China?