Successful recognition and enforcement of foreign arbitral award in Lithuania

The Lithuanian Court of Appeal examined our client’s request – a Czech company – to recognize and permit the enforcement in Lithuania of a foreign arbitral award issued in a dispute with a former counterparty regarding the recovery of debt and contractual penalties.

The court found that, under Lithuanian law, a monetary claim arising from commercial relations is arbitrable, that none of the grounds for refusal to recognize a foreign arbitral award listed in Article V of the 1958 New York Convention were present, and that recognition of the arbitral award did not conflict with Lithuanian public policy.

The client’s application was granted: the arbitral award was recognized and permitted to be enforced in the Republic of Lithuania, a writ of execution was issued, and the client was awarded litigation costs from the former counterparty.

Our Dispute Resolution team represents the client in Lithuania in the enforcement of the foreign arbitral award.