One of the ways to enforce a debt in Japan is to prove the debtor’s liability with a foreign court judgment establishing the debt. However, in many of these cases the transaction that gave rise to the debt often occurred in a foreign country. In such circumstances the foreign payment order should be enforced in the court with jurisdiction over where the debtor lives in Japan or where the debtor owns property in Japan. Although getting recognition of a foreign debt is a relatively simple process, the foreign judgment will still have to meet the requirements to be enforced under the Japanese Code of Civil Procedure.
If a Japanese court finds that the foreign court ordered debt is enforceable under Japanese law, the court will grant a compulsory execution order. This compulsory execution order can be used to enforce the debt against the debtor’s property or assets in Japan. This means that, whether the debtor wants to pay or not, his or her property can be confiscated to pay the debt.
If you have any questions about enforcing a debt in Japan, please contact our office to set up a legal consultation.