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🇷🇺🇩🇪 A Russian court has recognized a Germany court decision. The Russian court rejected the defendant's objection based on restrictive measures (unilateral sanctions) against the Russian Federation. The defendant pointed out that the Republic of Germany…
The cassation court noted that the lower court should examine whether there was an actual contractual relationship between the parties and whether a Russian presidential decree on counter-sanctions should be applied. #Germany
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Review of Russian court practice 2024 (II)_en.pdf
2 MB
The Review for the first half of 2024 is here.
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P.S. From time to time, and over the decades, Russian courts have applied the 1958 New York Convention to decisions of foreign courts. While it is an incorrect approach, that is the current situation. You can find my publications, which address incorrect case-law practices, in both Russian and English.
For the English version, see the Kluwer Arbitration Blog; for the Russian version, see my Telegram.
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First, the applicant’s beneficiary is the subject of an international criminal arrest warrant. Therefore, in the court’s view, a judgment in favor of the company and its enforcement would result in the beneficiary’s enrichment, which would be contrary to public policy.
Second, the debtor accused the applicant of engaging in fraudulent transactions. According to the court, the applicant’s beneficiary should have appeared before the Russian court to testify regarding the circumstances of these transactions. #Cyprus
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20250512_Opredelenie.pdf
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ProArbitration.Ru pinned «🇬🇧 https://www.smnlaw.ru/en 🇷🇺 https://www.smnlaw.ru/ ProArbitration.Ru»
In Case No. А40-118242/2024, a Russian court refused to recognize and enforce an ICC arbitral award (decision dated February 7, 2025). A cassation court upheld this decision on May 12, 2025. The courts held that enforcement would contradict a Russian presidential counter-sanction decree and would violate public policy.
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In parallel, the courts rejected the debtor's argument that the arbitral proceedings violated the principles of impartiality and objectivity on the grounds that the arbitrators were from "unfriendly" countries (Bulgaria
The courts noted that the arbitral panel was composed of arbitrators from countries that were, and still are, considered "unfriendly" to both parties involved in the ICSID Additional Facility proceedings. Therefore, it can be inferred that the courts considered the parties to have been on equal footing.
- First-instance court ruling dated November 5, 2024.
- Appeal court decision dated February 5, 2025.
- Cassation court decision dated April 29, 2025.
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🇷🇺 A Russian court has ruled that Russian counter-sanctions do not exempt a party from fulfilling its contractual obligations nor prevent the recognition and enforcement of foreign arbitral awards within Russia. An arbitral creditor (a foreign company) sought…
Update: On May 27, 2025, a cassation court overturned the lower court’s decision and remanded the case for reconsideration. The court emphasized that, during the new proceedings, Russian counter-sanctions measures must be taken into account (Case No. А56-28968/2024). #Latvia
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