It is always beneficial to institute a suit where you have the home advantage, in terms of convenience and cost. In your case, the jurisdiction of the Indian Courts is advisable. However, while drafting the choice of jurisdiction clause in your agreement, make sure that it is an ‘exclusive’ clause. In case it is construed as a non-exclusive clause, the Australian can exercise jurisdiction over the suit, irrespective of the clause. The supplier may try to institute a case fraudulently; however, in case where exclusive jurisdiction clause exists, the Australian Courts will be hard pressed to look into the matter and will most likely stay the proceeding.
Enforcement of decision: In case you sue and subsequently succeed, the judgment of the Indian Court will be enforceable as a foreign judgment in Australia under the common law. For this, you would have to establish the following:
- The parties are the same parties as in the foreign judgment.
- The judgment is for a fixed debt – payment for a definite sum of money.
- The foreign judgment is final and conclusive – that is, it is determinative of the rights and obligations of the parties.
The foreign court had and validly exercised jurisdiction over the defendant and the defendant submitted to the foreign jurisdiction.
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over 4 years ago