Section 5. This Section has no forerunner in the 1964 Act. It provides
courts that judgments for multiple damages given in civil proceedings by fourte
of overseas countries (usually US private treble damage judgments) shall
not be enforceable in the UK. We believe this reflects the current common
as to non-enforcability of foreign penal awards. law position The section further provides that civil judgments given in
overseas countries based on competition laws which have been specified by an
order made by the Secretary of State for Trade shall not be enforceable in the
UK. The Secretary of State would clearly specify only overseas legislation
which was at odds with our own, for example possibly judgments under the US
shipping legislation where the US have consistently tried to impose on our com-
panies regulatory solutions which we do not support, or which was introduced to
circumvent the main provision of Section 5.
Section 6. This Section breaks new ground. It would enable citizens of the UK
bodies corporate and incorporated and colonies, exponations in the UK or in a territory outside the UK for
whose international relations HMG is responsible and other persons carrying on
business in the UK to recover sums paid under overseas judgments for multiple
damages in excess of an amount reflecting the element of compensation for the
loss suffered by the person or company in whose favour the judgment was given.
For this Section to operate, the person or company who received the original
judgment in its favour would have to be sued and to have assets in the UK.
treble damages awards) Section is primarily aimed at the US tegatxpect
This
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multiple awards
in private antitrust cases. We consider XIX,
XXX damages to be penal and that UK
their
companies need protection against the enforcement through civil law of what are
Zent
essentially the public economic policies of other countries.
S
Section 7. This Section will enable the UK to enter into bilateral agreements
for the reciprocal enforcement of judgments under Section 6 with other countries
operating corresponding legislation. Although such reciprocal arrangements could be made under a general convention under the Foreign Judgements (Reciprocal Enforcement) Act 1933, the new limited powers provide a sharper focus and could be
appled more quickly.
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