Protection of the Sea (Civil Liability) (Registration of Foreign Judgments) Regulations

The Regulations introduce several concepts that are central to their operation, many borrowed from the CLC and the Act. "Compensation for pollution damage" is defined in regulation 2(1) as compensation in respect of incidents that either caused pollution damage or in relation to which preventive measures were taken to prevent or minimise pollution damage. This definition tracks the scope of liability under the CLC and excludes judgments that do not relate to such incidents. A "judgment" is defined as a judgment or order given or made by a court in proceedings for compensation for pollution damage, where that court is situated in a country to which the CLC applies. This means the Regulations do not apply to judgments from non-CLC countries or to judgments for other types of damage (e.g., personal injury or property damage not caused by oil pollution from ships).

A "judgment creditor" is the person in whose favour the judgment was given, and includes a person in whom the rights under the judgment have vested by succession, assignment or otherwise. Conversely, a "judgment debtor" is the person against whom the judgment was given, and includes a person against whom the judgment is enforceable under the law of the original country. These definitions are deliberately broad to cover assignments of judgment debts and enforcement against persons who may be liable under foreign law even if not named in the judgment itself.

The concept of "registration" means registration under these Regulations, not under any other enactment such as the Foreign Judgments Act 1991. The Regulations create their own self-contained registration scheme. The "original court" is the court that gave the judgment, and its jurisdiction is a critical precondition. Regulation 4(3)(a) requires that the judgment was given by a court having the kind of jurisdiction referred to in Article IX of the CLC. Article IX of the CLC generally confers jurisdiction on the courts of the Contracting State where the damage occurred or where preventive measures were taken. This ensures that only judgments from courts with a proper CLC nexus can be registered.

Another key concept is "ordinary forms of review" (regulation 4(3)(d)). The judgment must no longer be subject to ordinary forms of review under the law of the original country. This is akin to the concept of finality: judgments that are still appealable as of right or subject to other standard review procedures cannot be registered until those avenues are exhausted or the time for them has expired. The Regulations also use the phrase "enforceable by execution" in the original country (regulation 4(3)(c)). This goes beyond mere finality; the judgment must be capable of being executed (i.e., enforced against assets) in the original country. A judgment that is final but unenforceable due to a stay or a moratorium would not qualify.

Currency conversion is a mechanical but important concept. Regulation 6 mandates that if the judgment is in a foreign currency, the sum must be converted to Australian dollars at the official rate of exchange determined by the Reserve Bank of Australia at the date of the judgment of the original court. This fixed date eliminates the need for exchange rate speculation but may produce an amount that is higher or lower than the current value, depending on currency movements. The creditor bears the exchange risk between judgment date and registration.

The Regulations also contemplate "mixed judgments" under regulation 7: where the foreign proceedings dealt with both pollution damage and other matters, the judgment may be registered only in respect of the provisions relating to pollution damage. The affidavit must identify those provisions (regulation 8(4)). This prevents registration of parts of a judgment that fall outside the narrow scope of the Regulations.

Finally, the concept of a "fund of the kind referred to in paragraph 3 of Article V of the Convention" appears in the grounds for setting aside registration (regulation 14(2)(d)). Under the CLC, a shipowner may constitute a limitation fund in a court to cap liability. If such a fund has been constituted and is actually available to the judgment creditor, the registration may be set aside. This reflects the principle that the judgment should not be enforced in Australia if the debtor has already provided a fund for satisfaction of claims under the CLC regime elsewhere.

The Regulations primarily affect parties to litigation in foreign CLC countries who have obtained or are subject to a judgment for oil pollution damage and who want to enforce or resist enforcement of that judgment in Australia. The judgment creditor is the most directly affected party. That person must bear the compliance burden of preparing the application, obtaining certified copies and translations, preparing the affidavit, serving notice, and potentially providing security for costs. The Regulations impose significant upfront costs and procedural hurdles on the creditor before any Australian enforcement can occur. The creditor also faces exchange rate risk under regulation 6, as the conversion rate is fixed at the date of the original judgment, not the date of registration or enforcement. If the Australian dollar has appreciated against the foreign currency between judgment and registration, the creditor recovers less in Australian dollar terms than the judgment amount converted at current rates. Conversely, a depreciation benefits the creditor. This is a non-obvious cost that affects the real value of the judgment.

The judgment debtor is the other primary party. The Regulations give the debtor procedural protections: notice of registration, a period in which to apply to set aside, and a stay of execution during that period. The debtor may also rely on specific grounds to challenge registration, such as that the judgment was obtained by fraud, that the debtor was not given reasonable notice or a fair opportunity to defend, that the sum had already been paid, or that a CLC limitation fund is available. These grounds are limited and do not permit a merits review of the foreign judgment; the debtor cannot simply argue that the foreign court got the law or facts wrong. The debtor may also benefit if the creditor fails to comply strictly with the evidentiary requirements, as the court may set aside registration for contravention of the Regulations (regulation 14(2)(j)). The debtor, however, must act within the court-fixed period, which may be short, and must have the resources to bring an application. If the debtor does not respond, the judgment becomes enforceable as if it were an Australian judgment, and the debtor's assets may be seized.

Australian courts, specifically the Supreme Courts of the States and Territories, are affected because they are invested with federal jurisdiction to hear registration applications and setting-aside applications (regulation 3). This imposes administrative and judicial workload. The court must assess the application, fix a period, consider any challenge, and manage enforcement. The court also has discretion to order security for costs, which may affect the willingness of creditors to proceed.

Legal practitioners advising shipping companies, P&I clubs, insurers, and pollution victims will need familiarity with the Regulations. A solicitor acting for a foreign judgment creditor must navigate the affidavit requirements and ensure compliance with all preconditions. A solicitor acting for a judgment debtor must monitor service of notice and prepare a timely challenge if grounds exist. The Regulations do not create obligations for the general public, but they do affect businesses involved in maritime transport and oil cargo. Shipowners and their insurers are the typical judgment debtors in pollution cases, given the strict liability under the CLC. They may face enforcement in Australia even if the incident occurred elsewhere, as long as the foreign court had CLC jurisdiction.

The Regulations also affect Australian courts indirectly through regulation 18, which requires registrars to issue certified copies and certificates to assist enforcement of Australian judgments abroad. This imposes a ministerial duty on court officers.

The Regulations impose a number of duties on the judgment creditor who seeks registration. The primary duty is to make an application to a Supreme Court of a State or Territory (regulation 4(1)). The court must then order registration unless one of the preconditions in regulation 4(3) is not met. Preconditions include the judgment being given by a court with Article IX jurisdiction, the incident occurring after both states became Contracting States, the judgment being enforceable by execution in the original country, and the judgment being no longer subject to ordinary forms of review. The creditor has the duty to prove all these matters in the affidavit required by regulation 8. That affidavit must annex a certified copy of the judgment, authenticated by the seal of the original court, and a translation if not in English. The deponent must state to the best of their information and belief the matters in regulation 8(1)(b)(i)-(vi), including that the judgment is unsatisfied (or partly satisfied), that it is enforceable by execution in the original country, that registration would not be set aside, that the judgment is no longer subject to ordinary review, that the original court had Article IX jurisdiction, and that the incident occurred after both countries became Contracting States. The affidavit must also set out the evidence for the jurisdiction and timing matters (regulation 8(2)). If the judgment is in a foreign currency, the affidavit must state the Australian dollar equivalent at the official exchange rate as at the date of the judgment (regulation 8(3)). If the judgment covers both pollution damage and other matters, the affidavit must identify the pollution damage provisions (regulation 8(4)). These are detailed evidentiary duties; failure to comply may lead to refusal of registration or later setting aside.

The judgment creditor also has a duty to serve notice of registration on the judgment debtor in accordance with the practice of the registering court, unless the court orders otherwise (regulation 11). The notice must include particulars of the judgment and registration order, the creditor's address for service, and a notice that the debtor may apply to set aside within the specified period.

The judgment creditor has a right to have the judgment registered if the preconditions are met (regulation 4(2) "shall ... order the judgment to be registered"). Once registered, the creditor has the right to treat the judgment as if it were a domestic judgment of the registering court (regulation 12(1)), including the right to interest accruing from the date of registration (regulation 12(2)) and the right to issue execution after the stay period expires (regulation 13). The creditor also has the right to apply for registration of the balance if registration is set aside solely because part of the sum was already paid (regulation 15(2)), and to apply for registration limited to pollution damage provisions if set aside on that ground (regulation 15(3)). A creditor may also make a further application for registration unless the court orders otherwise (regulation 16).

The judgment debtor has the right to apply to set aside the registration (regulation 14(1)) within the period fixed by the court (regulation 10). The debtor can rely on the specific grounds in regulation 14(2), which include: the rights under the judgment are not vested in the applicant; the debtor is not the person subject to the obligations; the sum has been paid in whole or in part; a CLC limitation fund is constituted and available; the judgment was obtained by fraud; the debtor was not given reasonable notice or a fair opportunity to defend; the matter was the subject of a prior Australian judgment (or a prior registrable foreign judgment); or the registration contravened the Regulations. These grounds are exhaustive for the most part; the debtor cannot argue that the original court made an error on the merits.

The court has the duty to fix a reasonable period for setting aside applications (regulation 10(1)), to stay execution until that period expires (regulation 10(2)), and to grant extensions while it remains competent to set aside (regulation 10(3)). The court also has the power to order security for costs from the judgment creditor (regulation 9), a significant protection for the debtor against frivolous or oppressive applications. On a setting-aside application, the court may stay execution instead of setting aside if the only problems are that the judgment is not yet enforceable by execution or is subject to ordinary review (regulation 15(1)). This allows the court to hold off enforcement until those defects are cured, rather than requiring a fresh application later.

The Regulations do not create criminal penalties. Enforcement under the Regulations is civil in nature: the registered foreign judgment becomes enforceable as if it were a judgment of the Australian court. The key enforcement mechanism is execution. Regulation 12(1) provides that a registered judgment has the same force and effect as a judgment entered in the registering court on the date of registration. This means the creditor can use the full range of civil enforcement processes available under the law of that State or Territory: seizure and sale of goods, garnishment of bank accounts, examination of the debtor, charging orders, bankruptcy or winding-up proceedings, and so on. Regulation 12(2) provides that interest accrues from the date of registration in the same manner as for domestic judgments, which may be at a statutory rate set by the relevant court rules.

Execution, however, is stayed until the period for setting aside expires or any setting-aside application is finally determined (regulation 13). This stay is automatic; the court does not need to order it. The period is fixed by the court in the registration order (regulation 10(2)(a)), and the order must contain a statement that execution will not issue until the period expires (regulation 10(2)(b)). This gives the debtor a window to challenge registration without the immediate threat of asset seizure. If the debtor applies to set aside, execution is further stayed until that application is finally determined (regulation 13(c)). "Finally determined" would include any appeals from the setting-aside decision, so the stay can be prolonged.

If the court sets aside registration, the judgment ceases to have effect in Australia. However, the creditor may apply again unless the court orders otherwise (regulation 16). This means a successful setting-aside does not necessarily bar a fresh application if the defect can be cured (e.g., if the judgment later becomes final after appeals are exhausted). But if the court orders that no further application may be made, that would be a bar.

The court has special powers on setting-aside applications. If the only ground for setting aside is that the judgment was not enforceable by execution in the original country or was still subject to ordinary review at the date of the application, the court may, instead of setting aside, order a stay of execution on such terms as it thinks just (regulation 15(1)). This is a pragmatic solution: it avoids requiring a new application later if the judgment becomes enforceable or final. The stay could be for a specified period or until a condition is met (e.g., production of evidence of finality). If registration is set aside solely because part of the sum had been paid, the court shall, on the creditor's application, order registration for the balance (regulation 15(2)). Similarly, if set aside solely because the judgment covered both pollution and other matters, the court shall order registration limited to pollution damage provisions (regulation 15(3)). These provisions prevent the debtor from obtaining a windfall by challenging on a technicality that can be cured.

The creditor may also be required to provide security for costs (regulation 9). If the creditor fails to provide security as ordered, the court may dismiss the application or stay registration. This is a potential penalty on the creditor: they must put up money to cover the debtor's costs if the registration is later set aside. The security amount is within the court's discretion and may be substantial, especially if the debtor is likely to incur significant legal expenses.

There is no monetary penalty for non-compliance by either party; the sanctions are procedural. A debtor who fails to apply to set aside within the period loses the opportunity to challenge registration. A creditor who fails to meet the evidentiary requirements will have the application refused or registration set aside.

These Regulations are made under the Protection of the Sea (Civil Liability) Act 1981 and are part of Australia's implementation of the CLC. They do not stand alone; they interact with the Act itself, the CLC, other Commonwealth legislation on foreign judgments, and State and Territory court procedures.

First, the Regulations are expressly subordinate to the Act. Regulation 2 defines "the Act" and uses it as the source of authority. The Regulations must be read consistently with the Act, and any inconsistency would likely result in the Regulations being invalid. Section 9 of the Act is specifically referenced in regulation 18: that section deals with Australian courts entering judgments for compensation under the applied CLC provisions. The Regulations thus sit within a broader statutory framework designed to give effect to the CLC in Australian law.

Second, the Regulations interact with the general law on enforcement of foreign judgments. The common law allowed an action on a foreign judgment as a debt; the Foreign Judgments Act 1991 provides a statutory registration scheme for judgments from countries that accord reciprocal treatment to Australian judgments. However, regulation 17 of these Regulations provides that "no proceedings for the recovery of a sum payable under a judgment, other than proceedings by way of registration of the judgment, shall be entertained by a court having jurisdiction in a State or Territory." This appears to create an exclusive regime for CLC judgments: a creditor cannot bring a common law action on the judgment, and cannot rely on the Foreign Judgments Act 1991 (assuming a CLC country also falls within the scope of that Act). Whether regulation 17 would prevail over the Foreign Judgments Act is a question of statutory construction; the Foreign Judgments Act is a later enactment (1991 vs 1983 regulations), but regulations are subordinate legislation. If the Foreign Judgments Act were to apply to a CLC judgment, regulation 17 might be impliedly repealed or read down. However, given the specialist nature of the Regulations, a court would likely treat them as the sole enforcement mechanism for CLC judgments, excluding the general scheme.

Third, the Regulations interact with the CLC's rules on limitation of liability. Regulation 14(2)(d) provides that registration may be set aside if a fund under Article V(3) of the CLC has been constituted and is actually available in respect of the claim. This links directly to the CLC's shipowner limitation fund. If the debtor has constituted such a fund in a CLC court and the creditor has access to it, the Australian registration can be set aside. This prevents double recovery and respects the CLC's system of limitation. It also means that a debtor who has provided a fund elsewhere may resist enforcement in Australia, even though the foreign judgment itself is valid.

Fourth, the Regulations interact with State and Territory court rules. The application for registration is made to a Supreme Court, and the procedure for service of notice, execution, and interest rates is governed by the practice of that court. Regulation 11(1) directs that notice be served in accordance with the practice applicable to service of a writ of summons, unless the court orders otherwise. Interest on the registered judgment accrues in the same manner as a judgment of that court (regulation 12(2)). This means the effective enforcement mechanism varies slightly between jurisdictions (e.g., interest rates fixed under Supreme Court rules in New South Wales may differ from those in Victoria). The Regulations do not harmonise these procedural aspects; they rely on the existing court systems.

Fifth, the Regulations interact with the Acts Interpretation Act 1901, under which they were made. That Act governs the making of regulations generally, including commencement, citation, and interpretation. The Regulations themselves are subject to the general principles of statutory interpretation.

Sixth, the Regulations do not affect the application of the Protection of the Sea (Civil Liability) Act in relation to Australian judgments for pollution damage. Regulation 18 facilitates the enforcement of Australian judgments abroad by providing certificates but does not create new rights. The enforcement of Australian judgments in CLC countries is governed by the laws of those countries, which may have analogous schemes.

The source text provided is the Protection of the Sea (Civil Liability) (Registration of Foreign Judgments) Regulations as originally made in 1983 (Statutory Rules 1983 No. 221, notified on 14 October 1983). The text does not include any amendment history. No subsequent amending instruments are mentioned, and the document does not contain any footnotes or endnotes referencing amendments, repeals, or reprints. Based solely on the source provided, the Regulations appear to have been enacted once and not amended. However, this cannot be confirmed from the source alone; the user provided only the original 1983 version. In practice, these Regulations may have been amended or replaced by later instruments (e.g., to reflect changes to the CLC or the Act), but the provided text does not disclose any such changes. For a thorough analysis, one would need to consult the current Federal Register of Legislation. The absence of amendment history in the source should not be taken as evidence that no amendments have ever occurred; it is simply not present in the document supplied.

The source text does not refer to any court decisions that have interpreted or applied these Regulations. No cases are cited in the regulations themselves, and there is no note of litigation history. It is possible that the Regulations have been considered in Australian courts (for instance, in a case concerning registration of a foreign oil pollution judgment), but the source provided does not mention any such litigation. Therefore, based solely on the source, there is no litigation history to report. A practitioner would need to conduct independent legal research using case law databases to identify relevant judgments. The lack of cited litigation may indicate that the Regulations are rarely used, or that disputes are settled before reaching the registration stage. Alternatively, the exclusive regime under regulation 17 may mean that few attempts to enforce foreign CLC judgments in Australia have been made, or that such attempts are not widely reported.

Several provisions in the Regulations contain traps for the unwary, both for judgment creditors and judgment debtors. The non-obvious risks and procedural pitfalls include the following.

Currency conversion at judgment date, not registration date. Regulation 6 requires conversion of a foreign currency judgment into Australian dollars at the official rate of exchange determined by the Reserve Bank of Australia at the date of the judgment of the original court. This is a fixed point, not the date of registration or the date of enforcement. If the Australian dollar strengthens between the judgment date and registration, the creditor receives less in real terms. Conversely, if the dollar weakens, the debtor pays more. Neither party can control exchange rate movements. The creditor bears the risk of depreciation of the foreign currency relative to the AUD, and the debtor bears the risk of appreciation. This is a significant financial risk that is easily overlooked. The creditor might have been better off suing in AUD or seeking a judgment expressed in AUD, but under the CLC the judgment will often be in the currency of the original court.

The "no longer subject to ordinary forms of review" precondition. Regulation 4(3)(d) requires that the judgment is no longer subject to ordinary forms of review under the law of the original country. This is not simply a matter of whether an appeal is pending. Even if no appeal has been filed, the judgment may still be subject to review if the time for appeal has not yet expired. In many legal systems, a judgment can still be appealed within a certain period after it is given. The creditor must wait until that period has elapsed or obtain evidence that no appeal is possible. If the creditor applies too early, the court must refuse registration. The affidavit must address this (regulation 8(1)(b)(iv)), but the deponent must state it to the best of their information and belief; this may be difficult if the law of the original country is not well understood by the deponent.

The "enforceable by execution" precondition. Regulation 4(3)(c) requires that the judgment is enforceable by execution in the original country. This is more than finality; it means that a court in the original country would permit seizure of assets or other enforcement steps. A judgment that is final but subject to a stay (e.g., pending appeal or due to a moratorium) is not enforceable. Similarly, if the debtor has no assets in the original country, the judgment may be technically enforceable but practically unenforceable; however, the requirement is likely about legal enforceability, not factual ability to recover. The creditor must provide evidence of enforceability.

The defence of a constituted CLC fund. Regulation 14(2)(d) states that registration may be set aside if a fund under Article V(3) of the CLC has been constituted and is actually available in respect of the claim by the judgment creditor who has access to the court administering the fund. This is a potent defence for a debtor. If the debtor (typically the shipowner) has already constituted a limitation fund in another CLC country (e.g., where the incident occurred), the Australian registration can be set aside, even if the judgment is otherwise valid. The debtor may have done this precisely to avoid enforcement of individual judgments in multiple jurisdictions. The creditor may therefore find that the Australian judgment registration is fruitless because the debtor has already ring-fenced liability in a fund elsewhere. The creditor should check whether a fund has been constituted before incurring the costs of registration.

Security for costs. Regulation 9 allows the court to order the judgment creditor to give security for the costs of the application and of any proceedings to set aside the registration. This is a significant hurdle, especially if the creditor is a foreign resident with few assets in Australia. The court has discretion, but if the debtor can show that the creditor may not be able to pay costs if the registration is set aside, the court may require a bond or payment into court. The amount of security may be substantial, deterring creditors with weak claims. This is a tool to prevent frivolous or oppressive registrations.

No merits review. The grounds for setting aside registration in regulation 14(2) are limited and do not include a claim that the foreign court erred on the law or facts. The debtor cannot challenge the correctness of the judgment on its merits. The only way to attack the judgment itself is through the fraud ground (regulation 14(2)(e)) or the lack of notice/fair opportunity ground (regulation 14(2)(f)). Other grounds relate to procedural defects in the registration or to payment. The debtor cannot argue that the judgment is excessive or that the foreign court misinterpreted the CLC.

The exclusive remedy rule. Regulation 17 bars any proceedings for recovery under the judgment other than by way of registration under these Regulations. This means a judgment creditor cannot sue on the foreign judgment at common law. If the creditor fails to register, or if registration is set aside, there is no other enforcement avenue in Australia for that judgment. The creditor would have to start fresh proceedings on the original cause of action (if not barred by res judicata or limitation periods), which would be more complex and costly. This makes compliance with the registration requirements critical.

Time limits for setting aside. The court fixes a period within which the debtor may apply to set aside registration (regulation 10(1)). Once that period expires, the right to challenge is lost (unless an extension is granted while still competent, regulation 10(3)). The debtor must act quickly upon receiving notice. The notice must contain a statement that the debtor may apply within the period (regulation 11(2)(c)), but the debtor should not delay.

Mixed judgments. If the foreign judgment also deals with non-pollution matters, it can only be registered in respect of the pollution damage parts (regulation 7). The affidavit must identify those parts (regulation 8(4)). A failure to do so may result in the entire registration being set aside (regulation 14(2)(j)). The creditor must carefully parse the foreign judgment and only register the qualifying parts. This may reduce the enforceable amount if the judgment is for a lump sum covering multiple heads of damage.

Certified copy and translation. Regulation 8(1)(a) requires a certified copy of the judgment authenticated by the seal of the original court. If the judgment is not in English, a translation certified by a notary public or authenticated by affidavit must be annexed. Obtaining these documents can be time-consuming and costly, especially if the original court is in a remote jurisdiction. The translation must be accurate; errors could be grounds to set aside.

Compliance with the Regulations depends on which party the reader represents: the judgment creditor seeking to enforce a foreign CLC judgment in Australia, or the judgment debtor seeking to resist or limit enforcement. The steps below assume the creditor is the active party.

For the judgment creditor: The first step is to verify that the judgment meets all preconditions before incurring costs. Confirm that the original court was situated in a country to which the CLC applies and that the court had Article IX jurisdiction (i.e., the court of the Contracting State where the damage occurred or where preventive measures were taken). Confirm that the incident occurred after both Australia and that country became Contracting States. Check that the judgment is enforceable by execution in the original country (i.e., there is no stay or permanent bar) and that it is no longer subject to ordinary forms of review (e.g., the appeal period has expired or all appeals have been exhausted). If the judgment is final but still subject to appeal, wait until the appeal period lapses or the appeal is dismissed. If the judgment is in a foreign currency, determine the official exchange rate as at the date of the judgment from the Reserve Bank of Australia (historical rates are available). Calculate the Australian dollar equivalent.

Next, obtain a certified copy of the judgment authenticated by the seal of the original court. If the judgment is not in English, arrange for a notarised translation or an affidavit from a qualified translator. Prepare an affidavit from a person with knowledge of the matters (usually the creditor or their legal representative in the original country). The affidavit must include the certified copy and translation as annexures, and must state the matters in regulation 8(1)(b)(i)-(vi). Specifically, state that the judgment is unsatisfied or partly satisfied and the amount remaining; that it is enforceable by execution in the original country; that registration would not be liable to be set aside; that it is no longer subject to ordinary review; that the original court had Article IX jurisdiction; and that the incident occurred after both states became Contracting States. The affidavit must also set out the evidence relied on for the jurisdiction and timing matters (regulation 8(2)). If the judgment is in foreign currency, include the AUD conversion calculation (regulation 8(3)). If the judgment covers mixed matters, identify the pollution damage provisions (regulation 8(4)).

File the application in the Supreme Court of the State or Territory where the debtor has assets or where enforcement is sought. Pay the filing fee (set by court rules). Serve the application and supporting documents on the debtor in accordance with the court's practice for service of a writ of summons. The court will fix a period for the debtor to apply to set aside. Be prepared for the possibility that the court may order security for costs; have funds available or a bank guarantee. If security is ordered, provide it promptly.

Once the order for registration is made and the period for setting aside expires without challenge (or any challenge is unsuccessful), the judgment becomes enforceable. The creditor can then take execution steps: apply for a writ of seizure and sale, garnishee order, or other enforcement process. Interest accrues from the date of registration. Keep records of all costs incurred, as they may be recoverable as part of the registered sum (regulation 5(b)).

For the judgment debtor: Upon receiving notice of registration, note the period within which you must apply to set aside. Act immediately; the period may be short (e.g., 21 days). Engage Australian legal counsel with experience in maritime law and foreign judgments. Consider the grounds for setting aside under regulation 14(2). The most promising grounds may be: (i) that the sum has been paid (if true); (ii) that a CLC limitation fund has been constituted and is available (this may be the strongest if the debtor is a shipowner who has already lodged a fund); (iii) that the judgment was obtained by fraud (requires evidence of dishonesty); (iv) that the debtor was not given reasonable notice of the foreign proceedings or a fair opportunity to defend (this can succeed if the foreign court proceeded in default without proper service); (v) that there is a prior Australian or registrable foreign judgment on the same matter; or (vi) that the registration contravenes the Regulations (e.g., the judgment is not final, or the creditor did not comply with affidavit requirements). If the only defect is that the judgment is not yet enforceable in the original country or still subject to review, ask the court to stay execution instead of setting aside, to avoid a fresh application later.

If a CLC fund exists, provide evidence to the court that the fund has been constituted under Article V(3), that the creditor has access to the fund, and that the fund is actually available to satisfy the claim. This should lead to setting aside the registration, preventing enforcement in Australia and forcing the creditor to claim from the fund. If no ground for setting aside exists, the debtor may still negotiate a settlement or payment plan to avoid execution. The debtor could also apply to the court for an extension of time to apply to set aside (regulation 10(3)) if more time is needed to gather evidence.

In all cases, monitor the registration order carefully. Execution is automatically stayed during the setting-aside period and while any application is pending, so the debtor's assets are safe in the short term. However, if the debtor does nothing, the judgment becomes enforceable after the period expires, and the creditor can seize assets without further notice.