Advocate Aayush International and cross-border disputes
Reviewed by Advocate Aayush Agarwal · Last reviewed
When a dispute involves a party or property in another country, the first questions are which court or tribunal has jurisdiction, which law applies, and whether a decision can be enforced. Advocate Aayush Agarwal advises individuals, NRIs and businesses on disputes with an international element.
Quick answer
India enforces foreign arbitral awards from New York Convention countries under Part II of the Arbitration and Conciliation Act, 1996, and foreign court decrees under Sections 13 and 44A of the Code of Civil Procedure. Decrees from notified "reciprocating territories", such as the UK, Singapore and the UAE, can be executed directly; others, such as US judgments, need a fresh suit in India.
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Contracts with foreign parties
Most cross-border disputes are decided by three clauses: governing law, jurisdiction and arbitration. A clear clause naming the law, the forum or seat of arbitration and the arbitral institution avoids months of preliminary fights. Have these reviewed before you sign, not after a dispute starts.
International arbitration
Parties can choose to arbitrate in India or abroad. Even when the seat is outside India, Indian courts can grant interim relief, such as freezing assets in India, under Section 9 of the Arbitration and Conciliation Act, 1996, unless the parties have agreed otherwise (proviso to Section 2(2), added in 2015).
Enforcing a foreign arbitral award in India
Awards made in New York Convention countries notified by India are enforced under Sections 44 to 49 of the Act. Enforcement can be refused only on the limited grounds in Section 48, such as lack of proper notice, the award going beyond the reference, or conflict with the public policy of India.
Foreign judgments and decrees
A foreign judgment is conclusive between the parties unless one of the exceptions in Section 13 of the Code of Civil Procedure applies, for example if it was not given on the merits or was obtained by fraud. Decrees from reciprocating territories are executed directly under Section 44A; for other countries you file a suit in India on the foreign judgment.
Family matters across borders
A foreign divorce decree is recognised in India only if it meets the tests in Section 13 of the Code of Civil Procedure, as explained by the Supreme Court in Y. Narasimha Rao v. Y. Venkata Lakshmi (1991). India is not a party to the Hague Convention on international child abduction, so cross-border custody disputes are decided by Indian courts on the welfare of the child.
Related
Frequently asked questions
Can a UAE court judgment be enforced in India?
Yes. The UAE was notified as a reciprocating territory in 2020, so a money decree from its superior courts can be executed directly under Section 44A of the Code of Civil Procedure, subject to the exceptions in Section 13.
Can a US judgment be enforced in India?
The USA is not a reciprocating territory, so you file a suit in India based on the US judgment. The court treats it as conclusive unless an exception in Section 13 applies.
Can an Indian court freeze assets during a foreign-seated arbitration?
Usually yes. Section 9 interim relief is available for foreign-seated arbitrations unless the parties have excluded it, so assets in India can be protected.
Do I need to travel to India for these cases?
Usually not. Most steps can be handled through an attested power of attorney, document authentication and video hearings.
General information only, not legal advice on your case. Laws, allowances and notifications change; we confirm the current position before acting.