Naftogaz won at the Supreme Court of the Netherlands against Russian Federation re assets in Crimea

The Supreme Court of the Netherlands dismissed the cassation complaint of the Russian Federation regarding the arbitral award in a case where Aequo in team with Covington & Burling acted for Naftogaz Group seeking damages from expropriation of their assets in Crimea.

In the challenged award the Arbitral Tribunal at the Permanent Court of Arbitration in the Hague confirmed its jurisdiction over the claims of Naftogaz Group and found that Russian Federation breached the bilateral investment protection treaty with Ukraine.

Recap:

2016: Naftogaz initiated arbitration proceedings against RF based on the bilateral investment treaty.

2019: The Arbitral Tribunal confirmed its jurisdiction over the case and found that RF unlawfully expropriated the claimants’ assets.

2022: The Court of Appeal in the Hague upheld the2019 arbitration award.

2023: The Arbitral Tribunal ordered RF to pay $5 billion in compensation for the damages.