This article presents a cautionary tale for any person who wishes to take legal proceedings against an individual or company resident in Mexico.
More than 25 years ago, the Supreme Court of Canada’s decision in Morguard Investments Ltd. v. De Savoye, represented a sea change in the way Canadian courts recognized and enforced foreign judgments. The “foreign” aspect of Morguard involved British Columbia plaintiffs seeking to enforce an Alberta judgment. Writing for the court, Justice La Forest rejected the centuries’ old principles regarding recognizing and enforcing foreign judgments which were anchored in the concept of territoriality. He held that modern states like Canada should no longer live in “splendid isolation” from the rest of the world and should give effect to judgments made in other countries. In arriving at its conclusion, the court relied heavily upon the concept of comity which had been adopted by the Supreme Court of the United States. It held that comity would “impel sovereigns to mutual intercourse”.