Tag: public policy

Fraud allegations at the enforcement stage of ASCOM case

Fraud allegations at the enforcement stage of ASCOM case

The Swedish Supreme Court recently put an end to Kazakhstan’s attempts to set aside the award rendered by SCC tribunal in favour of Anatolie and Gabriel Stati, Ascom Group SA and Terra Tar Trans Trading (“ASCOM” or the “Claimant”). The Supreme Court rejected the claims, declaring that Kazakhstan provided insufficient evidence to support their fraud allegations. Nevertheless, the […]

By 7 December, 2017 0 Comments Read More →
Why Russian courts refused to enforce SCC award against Tecon group company in SPIG s.p.a v ZAO PK Promcontroller

Why Russian courts refused to enforce SCC award against Tecon group company in SPIG s.p.a v ZAO PK Promcontroller

On 2 October 2017, the Supreme Court of the Russian Federation refused to recognise and enforce an arbitration award issued in favour of Italian manufacturer SPIG by a tribunal under the Rules of the Arbitration Institution of the Stockholm Chamber of Commerce (the “SCC“) against indirectly state-owned Russian company Promkontroller. This decision marks the end […]

US Court Enforces $140+ Million SCC award in Carpatsky Petroleum v Ukrnafta

US Court Enforces $140+ Million SCC award in Carpatsky Petroleum v Ukrnafta

On 2 October 2017, a Texas federal judge confirmed a $140+ million award issued by a tribunal under the Rules of the Arbitration Institute of the Stockholm Chamber of Commerce in favour of Carpatsky Petroleum Corporation (“CPC“) against the Ukrainian oil company, OJSC Ukrnafta. The Texas ruling marks the important end of an award battle […]

The Russian Saga of Lugana: Have the Courts Ignored the Res Judicata Principle?

The Russian Saga of Lugana: Have the Courts Ignored the Res Judicata Principle?

Russian courts have found themselves in a very controversial position regarding the enforcement of international arbitral awards. It turns out that the courts have enforced two arbitral awards in a dispute between the same parties on the same matter, something which called the res judicata principle into question. The Supreme Court of the Russian Federation […]

Money Laundering Allegations by Kyrgyzstan against Latvian Investor Resurface in Paris Cour d’Appel

Money Laundering Allegations by Kyrgyzstan against Latvian Investor Resurface in Paris Cour d’Appel

In a recent judgment (21 February 2017), the Paris Cour d’Appel annulled the USD 15 million arbitral award in Valery Belokon v The Kyrgyz Republic rendered by the UNCITRAL tribunal against Kyrgyzstan under the 2008 Latvia-Kyrgyzstan BIT. The arbitral tribunal had previously rejected the allegations by Kyrgyzstan that the Claimant had, through its investment, Manas Bank, […]

By 28 February, 2017 0 Comments Read More →
The First ‘Russian Arbitration Debate’ in Moscow on 7 April 2016

The First ‘Russian Arbitration Debate’ in Moscow on 7 April 2016

The first ‘Russian Arbitration Debate’: an Oxford Debate-style discussion of the key developments in arbitration-related case law in Russia and practical issues Russian parties face in arbitration will be held in Moscow on 7 April 2016. The list below includes topics of the first debate as well as the proponents and opponents for each debated issue. As […]

By 29 March, 2016 0 Comments Read More →
Enforceability of Emergency Arbitrator Awards in Ukraine

Enforceability of Emergency Arbitrator Awards in Ukraine

In an earlier post the CIS Arbitration Forum reported on three investment treaty claims which have been initiated this year against Ukraine in the gas sector. In one of them a UK-based energy company, JKX Oil & Gas, and its Dutch and Ukrainian subsidiaries, Poltava Gas B.V. and JV Poltava Petroleum Company, obtained the first ever emergency arbitration award against […]

Russian Supreme Court Strengthens Creditors’ Right to Challenge Enforcement Decisions

Russian Supreme Court Strengthens Creditors’ Right to Challenge Enforcement Decisions

In a recent decision of 9 October the Supreme Court of the Russian Federation extended safeguards for bankruptcy creditors against unfounded claims based on arbitral awards. The abuse of arbitration for the purposes of creating fake grounds for claims to get the most out of the debtor’s bankruptcy has long been a problem in Russia. […]

By 13 October, 2015 0 Comments Read More →
Приведение в исполнение арбитражных решений на согласованных условиях

Приведение в исполнение арбитражных решений на согласованных условиях

Давыденко Д.Л. Международная принудительная исполнимость арбитражных решений на согласованных условиях (International Enforceability of Consent Awards) В статье рассматриваются некоторые особенности применения положений ст. V Конвенции ООН о признании и приведении в исполнение иностранных арбитражных решений 1958 г. («Нью-йоркская конвенция») к арбитражным решениям, вынесенным на согласованных условиях. Проводится анализ того, насколько применимы к такого рода решениям положения п. […]

Ukraine’s Supreme Court Confirms the Respondent’s Burden to Prove Lack of Notice

Ukraine’s Supreme Court Confirms the Respondent’s Burden to Prove Lack of Notice

In a recent decision the Supreme Court of Ukraine confirmed that the respondent may not prevent enforcement of an arbitral award simply by claiming that it had not received notice. The decision also confirms that the respondent may not circumvent the general allocation of burden of proof mandated by the New York Convention by reframing […]

Closer Scrutiny of Arbitral Awards Required If Fraud Is Alleged

Closer Scrutiny of Arbitral Awards Required If Fraud Is Alleged

Parties’ use of arbitration for improper purposes has been a topic of growing concern for the Russian business community, courts and state authorities. While an extensive overhaul of the Russian arbitration law to address these concerns is underway, courts employ available procedural mechanisms to combat abuse. This week the Presidium of the Supreme Commercial Court will […]

Russian SCC to Rule on Tribunal’s Powers to Apply Public Law Rules

Russian SCC to Rule on Tribunal’s Powers to Apply Public Law Rules

The case deals with the tribunal’s ability to void on the basis of an alleged breach of a public law requirement.  A panel of Supreme Commercial Court judges decided this week to refer the matter to the Presidium. The panel relied on a number of grounds justifying setting aside an award applying such rules. In particular, […]

By 14 November, 2013 0 Comments Read More →
Russian Court Recognises Northern Ireland Judgment in the Absence of Special Treaty

Russian Court Recognises Northern Ireland Judgment in the Absence of Special Treaty

On 8 October 2013 the Supreme Commercial Court recognised a judgment of the High Court of Northern Ireland (the “Judgment”). This is the first time a Russian court has recognised a judgment from this jurisdiction. The Court recognised the Judgment without enforcement because the Judgment does not require monetary recovery. Recognition without enforcement means that the Russian court acknowledged […]

Сonference: Russia as a Place for Dispute Resolution: Anticipating the Changes

Сonference: Russia as a Place for Dispute Resolution: Anticipating the Changes

ICC Russia in co-operation with ICC International Court of Arbitration will host an annual international arbitration conference “Russia as a Place for Dispute Resolution: Anticipating the Changes” on  10  December 2013 in Moscow. At present the Russian Federation is on the verge of important reforms to the local arbitration regulation and the system of arbitration courts in general. […]

By 1 November, 2013 0 Comments Read More →
Awarding Excessive Amount of Penalty Interest May Contradict Russian Public Policy

Awarding Excessive Amount of Penalty Interest May Contradict Russian Public Policy

Yesterday the Presidium of the Supreme Commercial Court of the Russian Federation affirmed relevant lower courts’ decisions to set aside a domestic arbitral award. It found that enforcement of an award requiring the respondent to pay penalty interest in the amount clearly exceeding the damages suffered by the claimant violates Russian public policy.  While the […]

Supreme Commercial Court to Address Disproportionality of Penalties as Public Policy Defence

Supreme Commercial Court to Address Disproportionality of Penalties as Public Policy Defence

For years Russian courts have struggled with the question of whether an obviously disproportionate amount of damages/penalties awarded by an arbitral tribunal may lead to refusal to enforce the award. The prevailing practice has been to reject this proposition since it entails review of the merits of the case. Yet lower instance courts have sometimes […]

By 18 February, 2013 0 Comments Read More →
Supreme Commercial Court Reviews Public Policy Defence in Russia

Supreme Commercial Court Reviews Public Policy Defence in Russia

The Supreme Commercial Court has published a draft information letter summarising the practice of the application of the public policy defence in enforcement of foreign arbitral awards and court judgments proceedings (the “Practice Review”). While not technically binding an information letter adopted by the Presidium of the Supreme Commercial Court is usually deferred to by […]

By 17 December, 2012 0 Comments Read More →
Will Exercise of Jurisdiction by a Foreign Court Be Accepted in Russia?

Will Exercise of Jurisdiction by a Foreign Court Be Accepted in Russia?

The Presidium of the Russian Supreme Commercial Court is set to hear the first case in a while directly dealing with the enforcement of a foreign court judgment. The central issue is the following: can a Russian court assess the reasonableness of a foreign court’s decision to exercise jurisdiction in ruling on whether to recognise […]

Green Light for Enforcement of a High Court Judgment in Russia

Green Light for Enforcement of a High Court Judgment in Russia

As we reported earlier two levels of Russian courts have recognised and enforced a High Court judgment on the basis of reciprocity. Now in a ruling released on Friday a three-judge panel of the Supreme Commercial Court refused the respondent’s petition to have these decisions reconsidered. The panel’s ruling restates the lower court’s position that the […]

Public Policy in Russia and India – Which State is More Arbitration-Friendly?

Public Policy in Russia and India – Which State is More Arbitration-Friendly?

The highest judicial authorities of India and Russia recently considered two cases involving the enforcement of foreign arbitral awards where they had to deal with the concept of ordre public. Both states are perceived as arbitration-hostile jurisdictions, however, their approaches in analysing the identical issue were quite different. In Phulchand Exports Ltd. v OOO Patriot (2011) the […]

By 8 November, 2011 0 Comments Read More →
Arbitration and Litigation: Same or Basic Guarantees?

Arbitration and Litigation: Same or Basic Guarantees?

An interesting case is due to be considered by the Russian Supreme Commercial Court within the next few months. Two issues before the court are: (1) whether an arbitral tribunal may fine a party to the arbitration for failure to comply with the tribunal’s order and (2) whether the procedural guarantees that are accorded to […]

In the Long Run: a Story of One Award in Russia

In the Long Run: a Story of One Award in Russia

Today, it seems, an epic story of enforcement of an SCC award in Russia came to an end. After almost three years of litigation in Russia and Sweden, the Presidium of Supreme Commercial Court of the Russian Federation ruled that the award should be enforced. During the same session Presidium dismissed action seeking to invalidate […]

By 27 September, 2011 0 Comments Read More →
Three Levels of Russian Courts Review Arbitrators’ Choice-of-Law Determination

Three Levels of Russian Courts Review Arbitrators’ Choice-of-Law Determination

Russian courts recently found that an arbitral tribunal’s choice of law determination is subject as a matter of procedure to state court control. Consequently, an “incorrect” determination of substantive law can amount to a violation of public policy in Russia. On October 14, 2006, a Russian buyer, OJSC Efirnoe (hereinafter “Efirnoe”) and a Ukrainian seller, […]

By 22 April, 2011 0 Comments Read More →
Is it a Long Way for Ukraine to Become Arbitration-Friendly?

Is it a Long Way for Ukraine to Become Arbitration-Friendly?

A somewhat bizarre court decision has recently been taken in Ukraine which may affect businesses’ perception about Ukraine being an arbitration-friendly jurisdiction. On 20 January 2010, a Ukrainian company Signus filed a lawsuit against Austrian Slav Handel and others (hereinafter “Signus v. Slav Handel”). Signus sought sought in the Kiev Economic Court invalidation of certain […]