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Posted: March 9, 2017

Prior Judgment From English Court Barred New Suit in New York

On February 28, 2017, the First Department issued a decision in Sebastian Holdings, Inc. v. Deutsche Bank, AG, 2017 NY Slip Op. 01518, affirming the dismissal of an action in New York based on an earlier English judgment, explaining:

The claims in this action are the subject of a prior final judgment of an English court, which found in defendant’s favor and denied plaintiff’s counterclaims, awarding defendant a sum of money.

The motion court properly accorded recognition to the judgment of the English court based on the doctrine of comity. Having failed to show fraud in the procurement of the judgment or that recognition of the judgment would do violence to, or be fundamentally offensive and inimical to, some strong public policy of this State, plaintiff is precluded from attacking the validity of the judgment in this action.

To the extent the proposed claims are based upon different theories or seek a different remedy from the claims decided in the English action, they nevertheless are barred because they are predicated upon the same series of transactions and occurrences that formed the basis of that action, and they could have been raised in that action.

(Citations omitted) (emphasis added).

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