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The Moçambique Rule in the New Zealand Court of Appeal
Written by Jack Wass, Stout Street Chambers, New Zealand
On 5 December 2019, the New Zealand Court of Appeal released a significant decision on jurisdiction over land in cross-border cases.
In Christie v Foster [2019] NZCA 623, the Court overturned the High Court’s decision that the Moçambique rule (named after British South Africa Co v Companhia de Moçambique [1893] AC 602) required that a dispute over New Zealand land be heard in New Zealand (for a case note on the High Court’s decision, see here). The plaintiff sought to reverse her late mother’s decision to sever their joint tenancy, the effect of which was to deprive the plaintiff of the right to inherit her mother’s share by survivorship. The Court found that the in personam exception to the Moçambique rule applied, since the crux of the plaintiff’s claim was a complaint of undue influence against her sister (for procuring their mother to sever the tenancy), and because any claim in rem arising out of the severance was precluded by New Zealand’s rules on indefensibility of title. As a consequence the Court declined jurisdiction and referred the whole case to Ireland, which was otherwise the appropriate forum.
In the course of its decision, the Court resolved a number of important points of law, some of which had not been addressed in any Commonwealth decisions:
First, it resolved a dispute that had arisen between High Court authorities about the scope of the in personam exception, resolving it in favour of a broad interpretation. In particular, the Court disagreed with High Court authority (Burt v Yiannakis [2015] NZHC 1174) that suggested an institutional constructive trust claim was in rem and thus outside the exception.
Second, it held (reversing the High Court) that the Moçambique rule does not have reflexive effect. The rule prevents the New Zealand court from taking jurisdiction over claims in rem involving foreign land out of comity to the foreign court, but does not require the New Zealand court to take jurisdiction over cases involving New Zealand land. Although New Zealand will often be the appropriate forum for a case involving New Zealand land, the court is free to send it overseas if the circumstances require, even if the claim asserts legal title in rem.
Third, the Court confirmed that there is a second exception to the Moçambique rule – where the claim arises incidentally in the administration of an estate. Dicey, Morris and Collins had suggested the existence of this exception for many editions, but it had to be inferred from earlier cases without being properly articulated. The Court expressly found such an exception to exist and that it would have applied in this case.
In the course of its analysis, the Court expressed sympathy for the arguments in favour of abolishing the Moçambique rule entirely. Although the Court did not go that far, it reinforced a trend of the courts restricting the application of the rule and suggested that in the right case, the courts might be prepared to abandon it entirely.
Private International Law in Africa: Comparative Lessons
Written by Chukwuma Okoli, TMC Asser Institute, The Hague
About a decade ago, Oppong lamented a “stagnation” in the development of private international law in Africa. That position is no longer as true as it was then – there is progress. Though the African private international law community is small, the scholarship can no longer be described as minimal (see the bibliograhy at the end of this post). There is a growing interest in the study of private international law in Africa. Why is recent interest on the study of private international law [in Africa] important to Africa? What lessons can be learn’t from other non-African jurisdictions on the study of private international law? Read more
The Work of the HCCH and Australia: The HCCH Judgments Convention in Australian Law
Written by Michael Douglas, Mary Keyes, Sarah McKibbin and Reid Mortensen
Michael Douglas, Mary Keyes, Sarah McKibbin and Reid Mortensen published an article on how the implementation of the HCCH Judgments Convention would impact Australian private international law: ‘The HCCH Judgments Convention in Australian Law’ (2019) 47(3) Federal Law Review 420. This post briefly considers Australia’s engagement with the HCCH, and the value of the Judgments Convention for Australia.
Australia’s engagement with the HCCH
Australia has had a longstanding engagement with the work of the Hague Conference since it joined in 1973. In 1975, Dr Peter Nygh, a Dutch-Australian judge and academic, led Australia’s first delegation. His legacy with the HCCH continues through the Nygh Internship, which contributes to the regular flow of Aussie interns at the Permanent Bureau, some of whom have gone on to work in the PB. Since Nygh’s time, many Australian delegations and experts have contributed to the work of the HCCH. For example, in recent years, Professor Richard Garnett contributed to various expert groups which informed the development of the Judgments Project. Today, Andrew Walter is Chair of the Council on General Affairs and Policy. Read more
News
Out Now: The Common Law Jurisprudence of the Conflict of Laws
Few books can get you from the rainy coast of Newfoundland over 19th-century Holstein straight to sunny Queensland and back to the North of Pennsylvania, while telling stories of a retired MI5 agent, the largest Ponzi scheme in history, a company founded by the 41st President of the United States, the aftermath of the First Gulf War, and the collapse of the Federal Bank of Australia. The volume on The Common Law Jurisprudence of the Conflict of Laws, edited by Sarah McKibbin (University of Southern Queensland) and Anthony Kennedy (Serle Court), recently published by Hart, does just that, by discussing cases like Vita Food Products, Brook v Brook, Bonython v Commonwealth of Australia, AG v Heinemann Publishers (better known as the Australian Spycatcher case), Bremen v Zapata, Vizcaya v Picard, and Kuwait Airways (Nos 4 and 5).
New Article in Uniform Law Review
Today, the Uniform Law Review published a private international law article titled: CSA Okoli, “The Significance of a Forum Selection Agreement as an Indicator of the Implied Choice of Law in International Contracts: A Global Comparative Perspective”.
The abstract reads as follows:
Where the parties to an international contract fail to specify the choice of law, a forum selection agreement is one of the most, if not the most, significant factors to consider in implying the choice of law in many international, supranational, regional instruments, and national jurisdictions. However, it is an ill-defined, notoriously complex, and hotly debated issue as to the weight that should be attached to a forum selection agreement in implying the choice of law. Hence, this article is devoted to discussing this topic from a comparative perspective, in order to propose a guide to global uniform criteria. To achieve this, the article covers all relevant international, regional, and supranational instruments, and selected legal systems in Africa, Asia, Australasia, Europe, the Middle East, and North and South America. The legal systems compared include those from the global North and global South, including common law, civil law, and mixed legal systems. The article’s core proposal is that an exclusive forum selection agreement should be a key factor in implying the choice of law. However, except in such cases as where a forum is chosen on a neutral basis, there should be a general requirement of corroboration with at least one other factor of significance. The aim of the proposal is to contribute to greater uniformity, predictability, and certainty in the global community in this field of law.
August 2023 Update: List of China’s Cases on Recognition of Foreign Judgments
Written by Dr. Meng Yu and Dr. Guodong Du, co-founders of China Justice Observer*
On 20 August 2023, China Justice Observer released the 2023 version of List of China’s Cases on Recognition of Foreign Judgments. To date, we have collected 98 cases involving China and 25 foreign States and regions. (Note: Foreign divorce judgments are excluded in the Case List.)