Question:

Principle : Foreign judgment binds the parties and is conclusive unless it is obtained by fraud.
Facts : A obtains judgment from US court by producing fake documents.
This question consists of legal principle(s) (hereinafter referred to as ‘principle‘) and facts. Such proposition may or may not be true in the real and legal sense, yet you have to conclusively assume them to be true for the purposes of this section. Principles have to be applied to the given facts to arrive at the most reasonable conclusion. Only one of the alternatives, i.e., (A), (B), (C), or (D) is the most reasonable conclusion. In other words, in answering the following questions, you must not rely on any principle except the principles that are given herein below for every question. Further you must not assume any facts other than those stated in the question. The objective of this section is to test your ability in legal aptitude, study of law, research aptitude and problem solving ability even if the ’most reasonable conclusion‘ arrived at may be absurd or unacceptable for any other reason.

Updated On: Jul 15, 2026
  • New Suit can be filed in India on the same facts
  • Judgment can be enforced in US
  • Judgment can be enforced in India
  • New suit can not be filed in India on same facts
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The Correct Option is A

Approach Solution - 1

The correct option is (A): New Suit can be filed in India on the same facts.
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Approach Solution -2

The principle says a foreign judgment binds the parties and is conclusive, unless that judgment was obtained by fraud. A obtained the US judgment by producing fake documents, which is fraud on the court that gave the judgment. The question is what that does to the judgment's effect in India.

  1. New suit can be filed in India on the same facts: Once a judgment is shown to be procured by fraud, the exception in the principle is triggered, and the judgment loses its conclusive, binding character. That removes the usual bar on relitigating the same facts, so a fresh suit becomes open in India.
  2. Judgment can be enforced in US: The facts do not raise any question about enforcement within the US itself, and in any case a judgment tainted by fraud is not one the principle treats as conclusive anywhere, including the country that passed it.
  3. Judgment can be enforced in India: This treats the judgment as still conclusive, but the fraud in obtaining it is exactly what the principle says removes conclusiveness. A judgment that fails the fraud exception cannot be enforced on the strength of that same principle.
  4. New suit can not be filed in India on same facts: This assumes the judgment still binds the parties, which only holds if it were not obtained by fraud. Since fraud is present on these facts, this option applies the principle backwards.

Because the US judgment was obtained through fake documents, it falls outside the conclusiveness the principle otherwise grants, and the fraud exception opens the door to fresh litigation in India.

Therefore, the correct answer is New Suit can be filed in India on the same facts.

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Approach Solution -3

The one fact in this scenario that decides everything is the fraud, A got the US court to rule in his favour by producing fake documents. Every option can be tested simply by asking whether it treats that fraud as removing the judgment's conclusiveness or not.

  1. New Suit can be filed in India on the same facts: This treats the fraud as exactly what the principle says it is, a ground that strips the judgment of its otherwise binding, conclusive character, which is why relitigating the same facts becomes possible again.
  2. Judgment can be enforced in US: The scenario gives no separate facts about US enforcement, and in any event a judgment procured by fake documents does not regain conclusiveness just because the question is about a different country, since the fraud taints the judgment itself, not merely its use in India.
  3. Judgment can be enforced in India: This treats the judgment as still conclusive despite the fraud, which runs directly against the one fact that matters, once fraud in obtaining the judgment is present, its conclusiveness is exactly what the principle withdraws.
  4. New suit can not be filed in India on same facts: This option only makes sense if the judgment were still binding, but that requires the fraud to not exist, and the facts say otherwise.

Testing every option purely against the presence of fraud leaves only the option that opens the door to a fresh suit, since fraud is precisely what removes the judgment's binding effect.

Therefore, the correct answer is New Suit can be filed in India on the same facts.

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