9 July 2015 8th Arbitrazh Court of Appeal upheld a decision of the Arbitrazh Court of Khanty-Mansi Autonomous Okrug – Yugra, which fully granted the claim lodged by KIAP's Client, the Capital Insurance Russian insurance company, for the recovery of reinsurance proceeds for the loss of aircraft.
The dispute arose in connection with the refusal by thirty foreign reinsurers, some of them members of Lloyd's, to pay out a reinsurance claim from the Russian insurance company Capital Insurance for the loss of the aircraft, the total amount of which originally was over 32 mln US dollars. Some time into the litigation, however, a number of reinsurers paid up as required under their contracts, and the amount of the claim was nearly halved by the plaintiff.
Apart from issues of law, the trial was dragged out by complicated notification to the multitude of defendants in the case domiciled in various foreign jurisdictions (Great Britain, India, Nepal, Bermuda etc.), rejection of the jurisdiction of the Russian court by counsel for the defendants, as well as by the complexity of applicable law issues.
Capital Insurance's case was argued by the Firm's partners Konstantin Astafiev and Ilya Ischuk, assisted by associate Georgy Karaoglanov.