INTEGRITES has represented the interests of the company engaged in rail cars lease business in Ukraine (a part of the largest aviation holding in CEE) in the arbitration before the ICAC at UCCI related to the tariff revision under the long-term rail cars lease agreement and subsequent termination of this agreement.

After the conclusion of the agreement in 2019, the average lease price on the market decreased significantly (as a result of the economic turmoil caused by the COVID-19 pandemics). This made the fixed lease price of the agreement hugely loss-making for the client. The war in 2022 further dramatically changed the overall situation in the market.

INTEGRITES has succeeded in persuading the arbitral tribunal that respective market disruptions amounted to a fundamental change of circumstances (hardship) which warranted termination of the agreement. This is a truly unique achievement as examples of successful invocation of hardship are extremely rare in the Ukrainian practice.

The project team included partner and head of International Arbitration Olena Perepelynska, partner Serhii Uvarov, counsel Krystyna Khripkova and senior associate Daryna Vasylieva.


 

More from Integrites