AVELLUM secures victory for international bank in litigation with debtor

AVELLUM successfully represented an international bank in a complex commercial dispute over a loan agreement. The matter was litigated through local and appellate courts, and ultimately resolved in the client’s favour after the Supreme Court closed the proceedings.

The debtor challenged the validity of the loan and mortgage agreements and sought to remove an encumbrance on the collateral. The case raised several legal issues, including the statute of limitations, the doctrine of venire contra factum proprium, and the legal consequences of a void agreement. The matter was further complicated by conflicting conclusions of initial and supplemental expert reports.

AVELLUM effectively contested the reliability of the supplemental expert report and advanced arguments highlighting the debtor’s lack of good faith and violations of principles of fair dealing.

The client turned to us after the local court ruled in favour of the debtor. The appellate court overturned the local court’s judgment. The Supreme Court eventually closed the proceedings and awarded the client reimbursement for more than half of its legal fees.

The AVELLUM team was led by partner Andriy Fortunenko, with key support from managing associate Oleksandra Syerova, senior associate Kristina Mysenko, and associate Tetiana Zavalko.