# Title 32 — Judicial Remedies

## Chapter 32-41 — Uniform Foreign-Money Claims Act

### § 32-41-01. Definitions.

As used in this chapter, unless the context otherwise requires:
1. "Action" means a judicial proceeding or arbitration in which a payment in money may
be awarded or enforced with respect to a foreign-money claim.
2. "Bank-offered spot rate" means the spot rate of exchange at which a bank will sell
foreign money at a spot rate.
3. "Conversion date" means the banking day before the date on which money, in
accordance with this chapter, is:
a. Paid to a claimant in an action or distribution proceeding;
b. Paid to the official designated by law to enforce a judgment or award on behalf of
a claimant; or
c. Used to recoup, set off, or counterclaim in different moneys in an action or
distribution proceeding.
4. "Distribution proceeding" means a judicial or nonjudicial proceeding for the distribution
of a fund in which one or more foreign-money claims is asserted and includes an
accounting, an assignment for the benefit of creditors, a foreclosure, the liquidation or
rehabilitation of a corporation, limited liability company, or other entity, and the
distribution of an estate, trust, or other fund.
5. "Foreign money" means money other than money of the United States.
6. "Foreign-money claim" means a claim upon an obligation to pay, or a claim for
recovery of a loss, expressed in or measured by a foreign money.
7. "Money" means a medium of exchange for the payment of obligations or a store of
value authorized or adopted by a government or by intergovernmental agreement.
8. "Money of the claim" means the money determined as proper pursuant to section
32-41-04.
9. "Rate of exchange" means the rate at which money of one country may be converted
into money of another country in a free financial market convenient to or reasonably
usable by a person obligated to pay or to state a rate of conversion. If separate rates
of exchange apply to different kinds of transactions, the term means the rate
applicable to the particular transaction giving rise to the foreign-money claim.
10. "Spot rate" means the rate of exchange at which foreign money is sold by a bank or
other dealer in foreign exchange for immediate or next day availability or for settlement
by immediate payment in cash or equivalent, by charge to an account, or by an agreed
delayed settlement not exceeding two days.
11. "State" means a state of the United States, the District of Columbia, the
Commonwealth of Puerto Rico, or a territory or insular possession subject to the
jurisdiction of the United States.
### § 32-41-02. Scope.

This chapter applies only to a foreign-money claim in an action or distribution proceeding.
This chapter applies to foreign-money issues even if other law under the conflict of laws rules of
this state applies to other issues in the action or distribution proceeding.
### § 32-41-03. Variation by agreement.

The effect of this chapter may be varied by agreement of the parties made before or after
commencement of an action or distribution proceeding or the entry of judgment. Parties to a
transaction may agree upon the money to be used in a transaction giving rise to a
foreign-money claim and may agree to use different moneys for different aspects of the
transaction. Stating the price in a foreign money for one aspect of a transaction does not alone
require the use of that money for other aspects of the transaction.

### § 32-41-04. Determining money of the claim.

The money in which the parties to a transaction have agreed that payment is to be made is
the proper money of the claim for payment. If the parties to a transaction have not otherwise
agreed, the proper money of the claim, as in each case may be appropriate, is the money:
1. Regularly used between the parties as a matter of usage or course of dealing;
2. Used at the time of a transaction in international trade, by trade usage or common
practice, for valuing or settling transactions in the particular commodity or service
involved; or
3. In which the loss was ultimately felt or will be incurred by the party claimant.
### § 32-41-05. Determining amount of the money of certain contract claims.

1. If an amount contracted to be paid in a foreign money is measured by a specified
amount of a different money, the amount to be paid is determined on the conversion
date.
2. If an amount contracted to be paid in a foreign money is to be measured by a different
money at the rate of exchange prevailing on a date before default, that rate of
exchange applies only to payments made within a reasonable time after default, not
exceeding thirty days. Thereafter, conversion is made at the bank-offered spot rate on
the conversion date.
3. A monetary claim is neither usurious nor unconscionable because the agreement on
which it is based provides that the amount of the debtor's obligation to be paid in the
debtor's money, when received by the creditor, must equal a specified amount of the
foreign money of the country of the creditor. If, because of unexcused delay in
payment of a judgment or award, the amount received by the creditor does not equal
the amount of the foreign money specified in the agreement, the court or arbitrator
shall amend the judgment or award accordingly.
### § 32-41-06. Asserting and defending foreign-money claim.

1. A person may assert a claim in a specified foreign money. If a foreign-money claim is
not asserted, the claim is in United States dollars.
2. An opposing party may allege and prove that a claim, in whole or in part, is in a
different money than that asserted by the claimant.
3. A person may assert a defense, setoff, recoupment, or counterclaim in any money
without regard to the money of other claims.
4. The determination of the proper money of the claim is a question of law.
### § 32-41-07. Judgments and awards on foreign-money claims - Times of money

conversion - Form of judgment.
1. Except as provided in subsection 3, a judgment or award on a foreign-money claim
must be stated in an amount of the money of the claim.
2. A judgment or award on a foreign-money claim is payable in that foreign money or, at
the option of the debtor, in the amount of United States dollars which will purchase that
foreign money on the conversion date at a bank-offered spot rate.
3. Assessed costs must be entered in United States dollars.
4. Each payment in United States dollars must be accepted and credited on a judgment
or award on a foreign-money claim in the amount of the foreign money that could be
purchased by the dollars at a bank-offered spot rate of exchange at or near the close
of business on the conversion date for that payment.
5. A judgment or award made in an action or distribution proceeding on both a defense,
setoff, recoupment, or counterclaim and the adverse party's claim, must be netted by
converting the money of the smaller into the money of the larger, and by subtracting
the smaller from the larger, and must specify the rates of exchange used.
6. A judgment substantially in the following form complies with subsection 1:
IT IS ADJUDGED AND ORDERED, that defendant (insert name) pay to
plaintiff (insert name) the sum of (insert amount in the foreign money) plus

interest on that sum at the rate of (insert rate) percent a year or, at the option of
the judgment debtor, the number of United States dollars which will purchase the
(insert name of foreign money) with interest due, at a bank-offered spot rate at or
near the close of business on the banking day next before the day of payment,
together with assessed costs of (insert amount) United States dollars.
7. If a contract claim is of the type covered by section 32-41-05, the judgment or award
must be entered for the amount of money stated to measure the obligation to be paid
in the money specified for payment or, at the option of the debtor, the number of
United States dollars which will purchase the computed amount of the money of
payment on the conversion date at a bank-offered spot rate.
8. A judgment must be docketed and indexed in foreign money in the same manner, and
has the same effect as a lien, as other judgments. A judgment may be discharged by
payment.
### § 32-41-08. Conversions of foreign money in distribution proceeding.

The rate of exchange prevailing at or near the close of business on the day the distribution
proceeding is initiated governs all exchanges of foreign money in a distribution proceeding. A
foreign-money claimant in a distribution proceeding shall assert its claim in the named foreign
money and show the amount of United States dollars resulting from a conversion as of the date
the proceeding was initiated.
### § 32-41-09. Prejudgment and judgment interest.

1. With respect to a foreign-money claim, recovery of prejudgment or preaward interest
and the rate of interest to be applied in the action or distribution proceeding, except as
provided in subsection 2, are matters of the substantive law governing the right to
recovery under the conflict-of-laws rules of this state.
2. The court or arbitrator shall increase or decrease the amount of prejudgment or
preaward interest otherwise payable in a judgment or award in foreign money to the
extent required by the law of this state governing a failure to make or accept an offer of
settlement or offer of judgment, or conduct by a party, or its attorney causing undue
delay or expense.
3. A judgment or award on a foreign-money claim bears interest at the rate applicable to
judgments of this state.
### § 32-41-10. Enforcement of foreign judgments.

1. If an action is brought to enforce a judgment of another jurisdiction expressed in a
foreign money and the judgment is recognized in this state as enforceable, the
enforcing judgment must be entered as provided in section 32-41-07, whether or not
the foreign judgment confers an option to pay in an equivalent amount of United States
dollars.
2. A foreign judgment may be docketed in accordance with any rule or statute of this
state providing a procedure for its recognition and enforcement.
3. A satisfaction or partial payment made upon the foreign judgment, on proof thereof,
must be credited against the amount of foreign money specified in the judgment,
notwithstanding the entry of judgment in this state.
4. A judgment entered on a foreign-money claim only in United States dollars in another
state must be enforced in this state in United States dollars only.
### § 32-41-11. Determining United States dollar value of foreign-money claims for limited

purposes.
1. Computations under this section are for the limited purposes of the section and do not
affect computation of the United States dollar equivalent of the money of the judgment
for the purpose of payment.
2. For the limited purpose of facilitating the enforcement of provisional remedies in an
action, the value in United States dollars of assets to be seized or restrained pursuant

to a writ of attachment, garnishment, execution, or other legal process, the amount of
United States dollars at issue for assessing costs, or the amount of United States
dollars involved for a surety bond or other court-required undertaking, must be
ascertained as provided in subsections 3 and 4.
3. A party seeking process, costs, bond, or other undertaking under subsection 2 shall
compute in United States dollars the amount of the foreign money claimed from a
bank-offered spot rate prevailing at or near the close of business on the banking day
before the filing of a request or application for the issuance of process or for the
determination of costs, or an application for a bond or other court-required
undertaking.
4. A party seeking the process, costs, bond, or other undertaking under subsection 2
shall file with each request or application an affidavit or certificate executed in good
faith by its counsel or a bank officer, stating the market quotation used and how it was
obtained, and setting forth the calculation. Affected court officials incur no liability, after
a filing of the affidavit or certificate, for acting as if the judgment were in the amount of
United States dollars stated in the affidavit or certificate.
### § 32-41-12. Effect of currency revalorization.

If, after an obligation is expressed or a loss is incurred in a foreign money, the country
issuing or adopting that money substitutes a new money in place of that money, the obligation
or the loss is treated as if expressed or incurred in the new money at the rate of conversion the
issuing country establishes for the payment of like obligations or losses denominated in the
former money. If the substitution occurs after a judgment or award is entered on a
foreign-money claim, the court or arbitrator shall amend the judgment or award by a like
conversion of the former money.
### § 32-41-13. Supplementary general principles of law.

Unless displaced by this chapter, the principles of law and equity, including the law
merchant, and the law relative to capacity to contract, principal and agent, estoppel, fraud,
misrepresentation, duress, coercion, mistake, bankruptcy, or other validating or invalidating
causes supplement this chapter.
