All India Bar Examination (AIBE) 2-II Previous Year Question Papers with Answers

Practice Mode:
13.

A and B, two Indians, have a dispute in relation to delivery of goods and payment of money in a trade from India to England. An English court decided on the matter in favour of A based on the principles of natural justice and applicable international commercial laws, including in respect of jurisdiction. B decided to institute a fresh suit in India. Which of the following is the most correct in such a situation ?

Principle :

A judgment delivered by a foreign court of competent jurisdiction can be enforced by an Indian court and will operate as resjudicata between the parties.
A: B can institute a fresh suit in India, provided the English court is a court of competent jurisdiction.
B: B cannot institute a fresh suit in India, provided the English court is a court of competent jurisdiction.
C: B can institute a fresh suit only before High Court that has a jurisdiction.
D: B cannot institute a fresh suit without the consent of the English court.
E: B can only prefer an appeal before the Supreme Court of India.

The answer is: B

<< Previous Question
Next Question >>

Explanation

The most correct option in this situation is:

B: B cannot institute a fresh suit in India, provided the English court is a court of competent jurisdiction.

Explanation:

 The principle stated in the question is accurate. A judgment delivered by a foreign court of competent jurisdiction can be enforced by an Indian court, and it will operate as res judicata between the parties. This means that if the English court is a court of competent jurisdiction and has already decided the matter in favor of A based on the principles of natural justice and applicable international commercial laws, B cannot institute a fresh suit on the same matter in India.

Option B accurately reflects this principle. If the English court is competent and has already issued a judgment, B cannot re-litigate the same matter in India. Options A, C, D, and E do not align with this legal principle and would not be correct in this context.