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The test is primarily used to determine whether a Canadian court will recognize a foreign judgment where there was service ex juris.Courts will usually recognize a judgment from a foreign province or nation where the claimant shows that there is a real and substantial connection between the subject matter of the litigation or the damages suffered and the jurisdiction issuing the judgment.
The test requires the Court to consider whether the subject-matter of the suit or the person involved had a "real and substantial" connection with the country. The Court noted, however, that judgments with sufficient connection will not be enforced if they are contrary to Canadian public policy, contrary to natural justice, or obtained through ...
The real and substantial connection doctrine has subsequently become the dominant test for whether Canadian courts recognize and enforce foreign judgments. The original doctrine from Morguard only applied to inter-provincial judgments within Canada. [22] However, the 2003 case Beals v Saldhana expanded the test to apply to international ...
The test established in this case was later elaborated on by the Court of Appeal for Ontario in Muscutt v Courcelles, [5] where a list of eight factors was given to be considered when determining whether a real and substantial connection exists: the connection between the forum and the plaintiff's claim;
Lebel J. observed that the case concerned the elaboration of the real and substantial connection test as an appropriate common law conflicts rule for the assumption of jurisdiction. In determining whether a court can assume jurisdiction over a certain claim, the preferred approach in Canada has been to rely on a set of specific factors which ...
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Indeed I observed (at p. 1104) that the "real and substantial connection" test was developed in Indyka v. Indyka , [1969] 1 A.C. 33, in a case involving matrimonial status (where sound policy demands generosity in recognition), and that in a personal action a nexus may need to be sought between the subject-matter and the territory where the ...