UN Convention on Contracts for the International Sale of Goods . B. Enforceability of Payment Contrary to Exchange Controls in Countries Outside the Controls Country . A key problem is whether the currency held by an investor, or held by someone who owes money to a payee, can be converted under applicable exchange controls into a currency desired by the payee, and if so at what date or with how much delay. If not, the payee will have to try to enforce the obligation even though its payment is forbidden by a sovereign state. Exchange Contracts .
Some courts interpret broadly, some narrowly.
Sale of Goods or Services . If the law governing the contract is outside that of the exchange controls country, controls will probably be ignored, with some limitations. Enforceability of Judgment . A judgment requiring a debtor to make payments otherwise restricted by exchange controls may be enforceable against assets of the debtor located outside the controls country . A judgment requiring payments which are not permitted by the exchange control regulations of the jurisdiction where enforcement is sought will not be enforced.