This appeal addresses whether an Ontario court should recognize and enforce a "ricochet judgment" – a British Columbia judgment that itself recognized and enforced a foreign judgment from the Judicial Committee of the Privy Council.
The appellant, H.M.B. Holdings Limited, sought to enforce a Privy Council judgment (compensation for expropriated property in Antigua and Barbuda) in British Columbia, obtaining a default judgment.
After an unsuccessful attempt to register this BC judgment in Ontario under the Reciprocal Enforcement of Judgments Act, H.M.B. commenced a common law action in Ontario to recognize and enforce the BC judgment.
The motion judge dismissed the action, finding no real and substantial connection between British Columbia and the underlying Antiguan dispute.
The Court of Appeal upheld the dismissal, but on the principled basis that the common-law test for recognition and enforcement of foreign judgments does not extend to ricochet judgments, as such judgments are local in scope and enforcing them in another jurisdiction would improperly circumvent local laws, such as limitation periods.