Russian court recognized the separate award by SCC 11 February 2010
Decision of Arbitrazh Court of St Petersburg and Leningrad region in the case № А56-63115/2009 от 11 декабря 2009 г. In December 2009 the state arbitrazh court of St. Petersburg recognized and granted enforcement of the separate award by SCC, under which a Russian company (Respondent) was obliged to reimburse a half of advance on costs to a Swedish company (Claimant).
The Respondent failed to pay its part of advance on costs within the SCC proceedings, whereby the Claimant had to pay the advance in full amount. The SCC initiated the arbitration proceedings and made a separate award on compensation of the amount paid by the Claimant instead of the Respondent. The Claimant applied to the competent state court of the RF for recognition and enforcement of the separate award while the proceedings went on. The first instance court has recognized the award.
The court rejected inter alia a public policy argument by the Respondent, which is the most often used by Russian courts in order to deny recognition of foreign awards within last years.
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