Tas paid A. Broad
HOUSE OF LORDS
PROTECTION OF TRADING INTERESTS BILL
DEPARTMENT OF TRADE
NOTES ON CLAUSES
CLAUSE 6
1. The purpose of this clause is to prevent the unjust enrichment at the
expense of UK citizens and companies and persons doing business here of
private parties in overseas countries by means of civil proceedings in which the judgment is arrived at by doubling, trebling or otherwise multiplying the sum assessed as compensation for the actual loss or damage sustained
by the person in whose favour the judgment is given. The clause enables
citizens of the United Kingdom and colonies and companies incorporated in the United Kingdom or dependent territories, as well as carrying on business in the United Kingdom, to recover those sums paid under a foreign judgment for multiple damages which are in excess of the compensation for the loss suffered by the person in whose favour the judgment was given. this right of recovery does not apply where the person against whom the judgment was given was an individual who was resident in the overseas coun- try at the time when the proceedings giving rise to the foreign judgment were instituted or a corporation which had its principal place of business that at that time. Furthermore, the right does not apply if the person against whom judgment was given carried on business in the overseas country and the proceedings were concerned with activities exclusively conducted in that country.
However,
2.
These limits on the operation of the clause are designed as far as practicable to avoid the possibility of a foreign judgment creditor having to