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Russian Supreme Court to review appeal concerning Siemens subsidiary's lawsuit

12:35 22/08/2018

MOSCOW, August 22 (RAPSI) – Russian subsidiary of German conglomerate Siemens has filed an appeal with the Supreme Court of Russia against lower courts’ rulings to dismiss a lawsuit against subsidiaries of Russia’s state corporation Rostec over recovery of four gas turbines, the court documents read.

The plaintiff challenged the January 10 ruling of the Moscow Commercial Court and the April 9 ruling of the Ninth Commercial Court of Appeals.

On March 1, the Court of Appeals also upheld a ruling dismissing a lawsuit against Technopromexport, a subsidiary of Rostec seeking to find a deal over supply of gas turbines to Crimea unlawful.

On November 27, 2017, the Moscow Commercial Court refused to arrest the gas turbines or to prohibit their installation, exploitation, modification or disassembly.

In December 2017, the court dismissed a lawsuit lodged by Siemens against subsidiaries of Russia’s state corporation Rostec, Technopromexport companies, over alleged supply of its turbines to Crimea.

The court also dismissed a counterclaim filed by Technopromexport seeking to recognize a contract with Russian Siemens subsidiary over supply of turbines as partially invalid.

Earlier, the court repeatedly refused to seize four turbines constructed by the Siemens subsidiary and also dismissed a motion to prohibit their installation.

According to the Moscow court, the plaintiff did not provide any evidence to support its claims. The court believes that there is no proof that Technopromexport companies took actions that could damage the applicant and ones that could prevent a court ruling from coming into force. All arguments of the plaintiffs are based on probabilities, the court notes, adding that taking measures against the defendant could upset the balance of interests in the courtroom.

In July 2017, Siemens asked the court to seize four turbines constructed by its subsidiaries and prohibit defendants from installing these turbines, acquired in 2015. The court dismissed this claim due to the lack of evidence.

In September, the court dismissed the conglomerate’s claim due to the lack of evidence. In October, the Ninth Commercial Court of Appeals dismissed an appeal against the ruling.

On October 16, 2017, Technopromexport filed a counterclaim against Siemens also seeking to recognize a contract with the Russian Siemens subsidiary over supply of turbines as partially invalid.

Earlier, reliable sources told Siemens that at least two out of its four gas turbine installations provided for a project in Southern Russia were transferred to Crimea.

Siemens believes that these actions are in clear violation of the conglomerate’s distribution contracts prohibiting a client to provide equipment to the region. Siemens initiated investigation into persons responsible and filed lawsuits with the Moscow Commercial Court seeking cancellation of all additional provisions to Crimea and return of equipment to its original point of destination.

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Russian Supreme Court to review appeal concerning Siemens subsidiary's lawsuit

12:35 22/08/2018 Russian subsidiary of German conglomerate Siemens has filed an appeal with the Supreme Court of Russia against lower courts’ rulings to dismiss a lawsuit against subsidiaries of Russia’s state corporation Rostec over recovery of four gas turbines.
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