Case Description
The dispute arose from a goods supply contract worth $3.8 million, concluded between a foreign supplier and a major Russian fashion retail chain. Despite the timely and proper delivery of quality products, the buyer evaded payment for a prolonged period, ignoring the supplier's claims.
Legal Challenge
The key complexity and uniqueness of this case lay not only in its international nature, requiring a deep understanding of substantive and procedural law, but also in the buyer's challenge to the legitimacy of the assignment agreement under which the right of claim was transferred to our Client. The buyer actively insisted on the invalidity of this transaction, which threatened to derail the recovery. The KIAP lawyers faced the task of not only proving the fact of the debt but also convincingly substantiating the legality of the transfer of the right of claim to the Client.
Approach and outcome
The KIAP team conducted a thorough analysis of all primary documentation and studied the factual circumstances of the parties' relationship. Based on comprehensive processing of the materials and information, a compelling legal position was formed and successfully presented to the International Commercial Arbitration Court at the Chamber of Commerce and Industry of the Russian Federation (ICAC at the CCI of Russia), proving not only the existence of the unpaid debt but also the validity of the Client's right of claim. As a result, by the decision of ICAC at the CCI of Russia, the Client's claims were satisfied in full. The buyer was ordered to pay the entire principal debt amount, interest for the unlawful withholding of funds, as wellas all of the Client's costs associated with the dispute, including the cost of legal services provided by KIAP lawyers.
Team
The project was supervised by: Managing Partner Andrey Korelskiy, Senior Associates Dmitry Kazankov and Liubov Makhlai, and Junior Associate Artem Gritsuk.