Hillmont Partners supports Scania Ukraine in securing win in USD 4.7 million dispute
Hillmont Partners is acting in a panel of Ukraine’s strongest litigation law firms to represent Scania Ukraine LLC in a complex commercial dispute on termination of agreements with dealers and recovery by dealers from a client of losses in the form of lost revenues. The team of advisors recently secured a win for their client in a USD 4.7 million dispute.
Zhuravlyna, a former partner and dealer of Scania, filed several lawsuits against the company asking to recover in its favour USD 4.7 million (UAH 123 million) worth of losses in the form of lost revenues caused by improper performance of the terms of the dealer agreement by the client.
The legal team of Scania Ukraine managed to prove the stated requirements to be groundless. Finally, on 20 October 2021, the Supreme Court of Ukraine adopted a final decision to deny the dealer’s claims and closed the proceedings.
In the meantime, Scania Ukraine continues its fight for justice and protects the company’s assets against Proskan, another former dealer, in a similar commercial dispute worth USD 6.2 million (UAH 164 million).
Scania Ukraine LLC is one of the largest suppliers of Scania trucks, spare parts and accessories for them. This dispute is important for the entire car sales industry as it marks the style of the sector’s operation in Ukraine. One positive outcome for the client in this case is that it will save the company a large amount of money and will be a good example to other foreign investors that it is possible to do business in Ukraine and there is a chance to protect their legal rights in Ukrainian courts.
Hillmont’s team advising the client included Igor Pugaiko, Counsel, and Andrii Nyzhnyi, Co-Managing Partner. The project team also included bright litigators from other national law firms acting in the best interests of Scania Ukraine.