Enforcement of Foreign Judgments in Oman

It is not uncommon for disputes emanating from commercial transactions to have cross-border effect. Quite often parties to a transaction are located in different jurisdictions. It is also not uncommon for commercial agreements to grant jurisdiction to the courts of a place where one or more of the parties are not domiciled or located. This may be for a variety of reasons. It is hence extremely important for a party having a foreign judgment in its favour (“Judgment Creditor”) to fully appreciate its ability to enforce that foreign judgment in another jurisdiction against the judgment debtor.

The enforcement of foreign judgments in Oman is governed under provisions of the Civil and Commercial Procedures Law issued pursuant to Royal Decree 29/2002 (as amended) (the “Civil Procedures Law”). Generally, while foreign arbitral awards can be readily enforced in Oman under the provisions of the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, 1954, commonly referred to as the New York Convention, the same is not the case with judicial decisions.

Foreign judgments are, in theory, enforceable in Oman. It is possible to seek ready enforcement of foreign judgments in Oman, in particular under (a) the 1983 Convention on Judicial Co-operation between States of the Arab League (the “Riyadh Convention”), and (b) the 1995 Protocol on the Enforcement of Judgments Letters Rogatory, and Judicial Notices issued by the Courts of the Member States of the Arab Gulf Co-operation Council (the “GCC Protocol”). Both the Riyadh Convention and the GCC Protocol provide that each member state will recognise the judgments of the courts of any other member state, subject to fulfillment of prescribed conditions, that had proper jurisdiction over the case and where the judgment had been finally adjudged.

A judgment issued by a special court of a member state to either the Riyadh Convention or the GCC Protocol, such as the Dubai International Financial Centre Courts in the United Arab Emirates, is treated as a domestic member state judgment. Hence, that judgment would also be enforceable in Oman under the relevant treaty.

The enforcement of foreign judgments of countries that do not have mutual enforcement arrangements with Oman are subject to a judgment to be issued in compliance with the usual procedures followed in suits before the Primary Court. To enforce a foreign judgment in Oman, the Judgment Creditor is required to approach the competent Primary Court. Before enforcing that foreign judgment, the Omani courts will satisfy themselves that the conditions set out in Article 352 of the Civil Procedures Law have been met. Article 352 sets out the requirements for enforcement of foreign judgments, a translation of which is as follows:

(a) that the judgment or the order is issued by a competent judicial body pursuant to the principles of international rules of judicial competence determined by the domestic law of the country in which it was delivered and has become final according to that law and was not delivered on basis of deception;

(b) that the litigant parties to the case in which the foreign judgment was delivered had been rightfully notified and represented;

(c) that the judgment or order does not contain a request which breach an operative law in the Sultanate;

(d) that the judgment or order does not contradict a previous judgment or order delivered by a Court in the Sultanate, and does not contain something against public order or decency; and

(e) that the country in which the foreign judgment was delivered accepts the enforcement of judgments delivered by Oman Courts within its own territories.

At times, a Judgment Creditor seeking to enforce a foreign judgment in Oman may not be able to satisfy all the requirements prescribed by Article 352 of the Civil Procedures Law. However, should a foreign judgment not be enforceable pursuant to the above rules, then it is possible that such a judgment would nevertheless be of evidentiary value and the matter may be litigated de novo in Oman in a full hearing before the competent Omani court.

Arabic is the official language of Oman. In case a foreign judgment that is sought to be enforced in Oman by a Judgment Creditor has been issued in a language other than Arabic, the judgment together with all other documents should be translated into Arabic.