Barclays Bank PLC v PJSC Sovcombank & Anor

Barclays Bank PLC v PJSC Sovcombank & Anor

The Russian proceedings were in breach of the exclusive English jurisdiction clause; there were no strong reasons against granting anti-suit or anti-enforcement injunctions; UK sanctions law prevented Barclays from making payment, negating liability under the Facility; declaratory relief was appropriate to clarify Barclays' position.

Parties
Claimant/applicant: Barclays Bank Plc; Defendant/respondent: PJSC Sovcombank; Defendant/respondent: LLC Sodeistvie Mezhdunarodnym Raschetam (AIS)
Jurisdiction
England and Wales
Judgment Date
06 May 2024
Procedural Posture
Commercial Court Application / Final Judgment on Application for Anti Suit Injunction, Anti Enforcement Injunction, and Declaratory Relief
Outcome
Application granted
Legal Topics
Anti Suit Injunction, Anti Enforcement Injunction, Exclusive Jurisdiction Clause, Declaratory Relief, Sanctions Enforcement, Assignment of Rights

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Parties

Barclays Bank Plc

Claimant/applicant

PJSC Sovcombank

Defendant/respondent

LLC Sodeistvie Mezhdunarodnym Raschetam (AIS)

Defendant/respondent

Procedural Posture

Commercial Court Application / Final Judgment on Application for Anti Suit Injunction, Anti Enforcement Injunction, and Declaratory Relief

  1. 1 Whether the Russian proceedings breach the exclusive English jurisdiction clause in the Facility agreement
  2. 2 Whether an anti-suit injunction and anti-enforcement injunction should be granted
  3. 3 Whether declaratory relief should be granted regarding Barclays' liability under the Facility in light of UK sanctions

Ratio Decidendi

The Russian proceedings were in breach of the exclusive English jurisdiction clause; there were no strong reasons against granting anti-suit or anti-enforcement injunctions; UK sanctions law prevented Barclays from making payment, negating liability under the Facility; declaratory relief was appropriate to clarify Barclays' position.

Court Disposition

Application granted

Orders

  • Final anti-suit injunction restraining Russian proceedings in breach of the exclusive jurisdiction clause
  • Final anti-enforcement injunction restraining enforcement of any Russian judgment relating to the Facility