Termination, Recovery & Damages – Lessons From FW Aviation v Vietjet

The dispute in FW Aviation (Holdings) 1 Limited v VietJet Aviation Joint Stock Company¹ has been decided through three substantial judgments of the English Commercial Court (“English Court”). Together, they address whether the aircraft leases were validly terminated, sums payable as a result of termination, and the extent to which damages could be claimed for losses arising from the condition, detention and delay in eventual export of the aircraft.

The first judgment² dealt principally with termination and liability. (“Termination Judgment”). The second judgment³ decided the principal contractual payments following termination (“Contractual Payment Judgment”). The third and latest judgment considers the remaining claims in contract and tort. This article considers the reasoning in the three judgments.