Supreme Court find in favour of Ukraine in $3bn loan dispute with Russia
The UK Supreme Court has ruled in favour of Ukraine in its dispute with the Russian Federation over an alleged $3 billion loan.
What was the case about?
The dispute centres around the issuance of Eurobonds with a value of $3b billion by Ukraine to Russia which it says was done under ‘duress’. Ukraine failed to repay the amount by the December 2015 deadline and so the Law Debenture Trust Corporation (trustee of the Notes) issued proceedings in the English Courts, where both parties had agreed the trust deed would be governed.
The Trustees sought a summary judgement in High Court in 2016, which was granted, but following an appeal, Ukraine was given the right to have the case go to trial as it had a ‘arguable and justificable defence of duress’.
The Supreme Court has upheld this decision noting: “…Ukraine should be permitted to defend the claim on the ground of duress, but only to the extent that it is based on the duress of the person or of goods resulting from Russia’s alleged threatened use of force.”
Who were the barristers in the case?
The case featured several of London’s top Banking and Finance barristers. Ukraine was represented by Fountain Court Chambers silk and junior Bankim Thanki KC and Simon Atrill and Blackstone Chambers silk Ben Jaffey KC.
The Law Debenture Trust Corporation was represented by Brick Court Chambers silk Mark Howard KC and Junior Oliver Jones.
To find out which sets and barristers are ranking in the Banking and Finance area please click here.