Milestone Win Over Chinese Court RulingAs U.S. trade and business transactions with Chinese companies have grown dramatically in the last few years, this case was closely watched by international law experts. “It would be unfair to all who do business with China,” Philip Boesch argued to the Ninth Circuit Court of Appeals, “if Chinese government orders and decrees could just take away contracts and rights without due process of law.” Agreeing with Boesch’s arguments, the Ninth Circuit held that the Chinese judgment against Folex was not enforceable, that service of the Chinese lawsuit was improper, and that the Chinese court did not properly assume jurisdiction over Folex. The Ninth Circuit additionally agreed with Mr. Boesch, that even if there had been effective service of the Chinese lawsuit, non-parties to the judgment cannot enforce the Judgment because non-parties in China do not have such rights.
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