Motieka & Audzevičius has represented one of the largest pharmaceutical distribution companies in Lithuania in the Court of Appeal.
The case is based on actio Pauliana, which allows a creditor to dispute the contracts made by the debtor. In this particular case, the claimant is not challenging the contract as such, but the particular money transfers made under the contract. The case is likely to form a precedent regarding the standard of evidence required to validate the illegality of such transactions, that is, whether the claimant is required to submit direct evidence of the damage made to the company’s solvency or whether indirect evidence is sufficient.
The Court of Appeal has reviewed the case for the third time as the Supreme Court decided to return the case to the Court of Appeal in order to investigate the factual circumstances in more detail.