Regie National Des Usines Renault SA & Anor v Zhang

The High Court of Australia considered an appeal from the Supreme Court of New South Wales concerning the enforceability of a foreign judgment. The appellants, Regie National Des Usines Renault SA and another, sought to enforce a judgment obtained in France against the respondent, Mr. Zhang. The dispute centred on whether Mr. Zhang had been properly served with the originating process in the French proceedings, which was a prerequisite for the French court to exercise jurisdiction over him.

The primary legal issue before the High Court was whether the French judgment was enforceable in Australia, notwithstanding Mr. Zhang's assertion that he had not been properly served with the originating process in accordance with either French law or the principles of natural justice. This raised questions about the extent to which an Australian court would inquire into the jurisdiction of a foreign court when asked to enforce its judgment, particularly where allegations of defective service were made.

The High Court held that an Australian court, when asked to enforce a foreign judgment, is not precluded from examining whether the foreign court had jurisdiction over the defendant. The Court affirmed that a judgment obtained against a defendant who has not been properly served, and therefore has not had an opportunity to defend themselves, is not entitled to recognition and enforcement in Australia. The principles of natural justice require that a defendant be given notice of the proceedings and an opportunity to be heard. In this instance, the Court found that the evidence did not establish that Mr. Zhang had been properly served with the originating process in the French proceedings, and therefore the French court had not acquired jurisdiction over him. Consequently, the judgment was not enforceable in Australia.