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Nepal Legal Firm

Enforcing Foreign Court Judgments in Nepal: What NRNs Need to Know (2025)

April 10, 2025
Ushma Sapkota Sigdel
4 min read

Can a divorce or debt judgment from the USA or Australia be enforced in Nepal? The answer depends on 'Reciprocity' and the Mutual Legal Assistance Act. Here is the legal process.

Foreign Judgment Divorce Enforcement Debt Recovery Cross-Border Litigation Mutual Legal Assistance

The Scenario

You win a court case in Sydney, New York, or London.

  • Case A (Divorce): The Australian court grants you a divorce and custody of your child.
  • Case B (Debt): A business partner in Texas owes you $50,000 and the US court orders them to pay.

But the “Partner” (ex-spouse or debtor) is now in Nepal, enjoying their life. Is your foreign court order just a piece of paper here?

Contrary to popular belief, a foreign judgment is not automatically valid in Nepal. You cannot simply walk into a Kathmandu police station with a US court order.

Enforcement is governed by:

  1. Muluki Civil Code 2074, Section 33
  2. Mutual Legal Assistance Act 2014 (2070 BS)

The Golden Rule: Reciprocity

Nepal operates on the principle of Reciprocity.

  • The Rule: Nepal will only enforce judgments from Country X if Country X enforces judgments from Nepal.
  • The Evidence: You typically need to prove this reciprocity. Often, a diplomatic note or a legal opinion from the foreign jurisdiction is required.

The 3-Step Enforcement Process

If you have a judgment from a reciprocating country, here is how to enforce it:

Step 1: File an Application at the High Court

You do not go to the District Court first. You must file a petition at the High Court (e.g., Patan High Court for Kathmandu) asking for “Recognition and Enforcement.”

Required Documents:

  • Certified copy of the Foreign Judgment.
  • Proof that the judgment is “Final” (no appeals pending).
  • Translation of the judgment into Nepali (Notarized).
  • Evidence of reciprocity.

Step 2: Judicial Review (The “Public Policy” Test)

The High Court will review the judgment. They will Reject it if:

  • The foreign court did not have proper jurisdiction.
  • The defendant was not given a fair chance to defend themselves (Notice was not served).
  • The judgment violates Nepal’s Public Policy (e.g., a gambling debt judgment might be rejected).
  • It contradicts a prior judgment by a Nepali court on the same issue.

Step 3: Execution via District Court

Once the High Court is satisfied, it issues an order recognizing the foreign judgment. It then sends the file to the relevant District Court for execution. The District Court then treats it exactly like a Nepali court judgment (freezing assets, auctioning property, etc.).

Special Case: Foreign Divorce Decrees

This is the most common issue for NRNs.

  • Scenario: You divorce in the USA. Your citizenship is still Nepali. You want to remarry in Nepal.
  • The Problem: In the eyes of Nepal’s District Administration Office (DAO), you are still married unless that US divorce is registered here.
  • The Solution: You must file for recognition of the foreign divorce decree. Without this, a second marriage in Nepal could technically be considered Polygamy (a criminal offense).

Limitation Period

Don’t wait too long. While the Civil Code doesn’t explicitly set a “statute of limitations” for foreign judgments, general civil practice suggests acting within 1-2 years of the final judgment is safest to ensure evidence and whereabouts of the defendant are fresh.

Key Takeaway

If you are involved in litigation abroad that has assets or implications in Nepal:

  1. Ensure the foreign court process is technically sound (proper service of notice).
  2. Consult a Nepali lawyer before the foreign case concludes to ensure the wording matches Nepali enforcement standards.
  3. Do not assume the “World is One.” In law, borders still matter.

Disclaimer: Cross-border litigation is complex. This article assumes a general scenario. For specific case evaluation, contact our International Legal Affairs desk.

Important Note

This article provides general information and should not be considered as specific legal advice. Always consult with a qualified attorney for your particular situation.

Ushma Sapkota Sigdel

Senior Legal Advisor with expertise in corporate law and legal consultation.