Jurisdiction(s):
United Kingdom

Germany: Düsseldorf Higher Regional Court limits anti-anti-suit injunctions; Russian Article 248 APC orders and implications of EU sanctions Regulations 833/2014 and 269/2014

Published on: 07 August 2024

Published by a LexisNexis Arbitration expert

Legal News

Article summary

Higher Regional Court Düsseldorf , decision of 17 June 2024, 26 W 7/24

What are the practical implications of this case?

Although the Higher Regional Court Düsseldorf reaffirmed the established approach of German courts to (anti-) anti-suit injunctions, the ruling gains special significance because it addresses Russia. During the last two and a half years, the EU has introduced sweeping sanctions on Russia following Russia’s war of aggression against Ukraine. Since then, arbitration proceedings brought by EU entities against their former Russian business partners have grown significantly. To offset EU sanctions and safeguard their positions, Russian parties possess a potent tool: Articles 248.1 and 248.2 of the Arbitration Procedural Code of the Russian Federation confer a right to seek an anti-suit injunction where foreign arbitration has been commenced against a Russian respondent and either that respondent’s access, or the access to justice of persons involved, is hindered by restrictive measures at the chosen seat of arbitration. In effect, these rules enable Russian parties to unilaterally erode arbitration agreements...

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