Case Description
A foreign supplier faced a severe breach of contract by a Russian buyer: after the delivery of goods worth over 1.2 million US dollars, full payment was never received. All attempts to settle the dispute pre-trial proved unsuccessful.
Legal Challenge
When negotiations reached a dead end, and the Client lost hope for voluntary debt repayment, they turned to KIAP, Attorneys at Law, for assistance in resolving the conflict and enforcing the recovery of the entire debt amount.
The strategic goal was to create a clear and feasible debt repayment mechanism for the debtor, transforming them from an evasive defendant into a party interested in fulfilling the court-approved terms.
Approach and Outcome
Already at the preliminary court hearing stage, KIAP lawyers managed to steer the confrontation into a constructive direction and secure the respondent's principal consent to conclude a settlement agreement. When drafting its terms, KIAP lawyers considered not only the letter of the law but also the debtor's actual solvency and the court proceedings timeline, offering the disputing parties the most rational strategy.
The achieved result – the court-approved settlement agreement – is not merely a court act but a working financial instrument that guaranteed the Client:
• Recovery of 100 % of the principal debt,
• Payment of 70 % of the penalty interest,
• Reimbursement of 100 % of legal costs,
• A convenient and legitimate payment schedule.
The consequence of concluding the settlement agreement for the Client was predictable receipt of real funds, minimization of time and administrative costs, and preservation of business reputation through the civilized resolution of an acute conflict.
Team
The project was supervised by: Managing Partner Andrey Korelskiy, Senior Associate Dmitry Kazankov, and Associate Elizaveta Fedulova.