Dispute with the major Nordic bank

Motieka & Audzevičius has represented a client before the Court of Appeal of Lithuania.

The dispute arose between the client, represented by a bankruptcy administrator, and a major Nordic bank. The client, a former major city infrastructure engineering company, demanded that a claim assignment contact and pledges be annulled. The client relied on a number of grounds for the annulment, claiming infringements of public procurement regulations, creditors’ rights and an alleged critical mistake committed by the client while concluding the disputed contracts. They have also claimed infringement of the State´s interests as the disputed contracts had precluded the possibility to pay value-added tax in favour of the State.

This decision resolved the dispute after almost two years since filing of the claim. The decision of the Court of Appeal of Lithuania can be appealed before the Supreme Court of Lithuania.