Practical Law: Russian Supreme Court restricts insolvency creditors’ rights to appeal enforcement of awards against insolvent debtors (an update by Maxim Kulkov and Kristina Aleksa)
In case No. А32-1593/2016, a Seychelles company, Grain Export LLS, (claimant Buyer), brought a claim before the Grain and Feed Trade Association (GAFTA) against Russian RIF LLC (respondent Seller) arising under an agreement to supply corn. After the tribunal satisfied the claim, the claimant filed a motion with a Russian state court to recognise and enforce the award which was granted on 2 February 2017.
On 6 February 2017, the Russian state court confirmed insolvency proceedings in respect of the Seller and appointed an insolvency administrator. Shortly after the appointment, the administrator and several insolvency creditors filed an appeal against the court ruling granting enforcement of the GAFTA award.