What is a lis pendens and how can it be used in international litigation?
A lis pendens is a legal notice that is filed in the public records office of a particular jurisdiction. The purpose of a lis pendens is to put potential buyers on notice of an ongoing legal action involving the property being sold. If someone buys the property without being aware of the lis pendens, they may be liable for any loss suffered by the other parties in the legal action. In international litigation, a lis pendens can be used to put potential buyers on notice of a legal action involving a piece of property in a foreign country. For example, if Company A is litigating with Company B over a piece of property located in Mexico, Company A may file a lis pendens in California so that potential buyers of the property in Mexico will be aware of the potential consequences of buying the property. The filing of a lis pendens can sometimes be a powerful tool in international litigation, as it can discourage potential buyers from purchasing the property or even compel them to enter into settlement negotiations with the parties to the litigation. A lis pendens can also protect the parties involved in the litigation by creating a public record that documents the ongoing dispute and may make it easier to enforce any judgment or award rendered in the action.
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