SerVaas Inc. v. Republic of Iraq
540 F. App'x 38
2d Cir.2013Background
- SerVaas sued to recognize a 1991 Paris Commercial Court judgment (French Judgment) for $14,152,800 under NY CPLR Article 53.
- French judgment is final, conclusive, and enforceable in France against the Ministry; Iraq is not separately named on the judgment.
- French courts treated Iraq and the Ministry as the same entity for purposes of the French Judgment.
- District court granted summary judgment recognizing the French Judgment against both the Ministry and Iraq.
- Defendants argued against recognition, citing Bancec presumption of separate entities and lack of Iraqi party status.
- Defendants also moved to file motions (forum non conveniens, summary judgment, strike) which the district court denied as untimely.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the French Judgment is enforceable against Iraq. | Iraq and Ministry treated as same; judgment conclusive against both. | Bancec and separate-entity theory require treating Iraq differently. | Yes; recognition against Iraq proper where France treated both as same entity. |
| Whether the district court properly denied late-filed motions. | N/A | Late motions should be considered; otherwise prejudice. | No reversible error; denial affirmed as timely under discretion. |
Key Cases Cited
- Chevron Corp. v. Naranjo, 667 F.3d 232 (2d Cir. 2012) (recognition act framework and de novo review)
- Galliano, S.A. v. Stallion, Inc., 15 N.Y.3d 75 (N.Y. 2010) (consistent treatment of foreign judgments under Article 53)
- Compagnie Noga D’Importation et D’Exportation, S.A. v. The Russian Fed’n, 361 F.3d 676 (2d Cir. 2004) (foreign judgment recognition where government entities are treated as the same)
- First National City Bank v. Banco Para El Comercio Exterior de Cuba, 462 U.S. 611 (U.S. 1983) (Bancec presumption of separate government entities (alter ego considerations) discussed)
- Bank of Credit & Commerce Int’l (Overseas) Ltd. v. State Bank of Pakistan, 273 F.3d 241 (2d Cir. 2001) (forum non conveniens and discretionary denial considerations)
- Zelinski v. Columbia 300, Inc., 335 F.3d 633 (7th Cir. 2003) (timeliness and discretion in denying late motions)