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Country R entered a final judgment against Company, a State F corporation, after a pollution incident at Company's Country R facility. The judgment included $2 million payable to injured residents for medical expenses, $3 million payable to Country R's treasury as a civil environmental penalty, and $500,000 in unpaid Country R license taxes. Country R's procedures gave Company notice, counsel, a hearing, and appellate review. Company did not appeal further.
The injured residents and Country R filed in State F court seeking recognition of the entire judgment. Company argues that no part of the judgment should be recognized because State F law would not impose the same civil penalty and because a prior State F declaratory judgment between Company and its insurer stated that the insurer had no duty to indemnify Company for pollution penalties. The injured residents argue that at least the compensatory medical-expense portion should be enforced.
Discuss which parts of the Country R judgment State F should recognize and enforce. Address compensatory money judgments, taxes, fines or penalties, public policy, inconsistent judgments, and partial recognition.