London's High Court has ruled in favour of aircraft leasing companies in a multi-billion pound legal battle over planes that were left in Russia after its 2022 invasion of Ukraine.
Dublin-based AerCap, the world's largest aircraft leasing company, has joined several other firms in suing insurers including AIG, Lloyd's, Chubb and Swiss Re in one of the biggest insurance disputes ever heard in London.
The London lawsuit involved nearly 150 aircraft and a number of engines, with a combined value of more than €4.1 billion at the time of the trial, although settlements reached on the first day of the trial in October and since have reduced those amounts.
Judge Christopher Butcher, in his summary of his judgment, noted that the planes were lost and “that loss occurred on 10 March 2022, when Russian law prohibited the export of aircraft and aviation equipment from the country.”
The judge added that sanctions from the EU or the US did not prevent insurers from compensating plaintiffs for losses on planes that were leased to Russian carriers.
Ireland Among the companies affected by R… Read more
The aviation insurance sector faces the largest possible loss in its history, which could exceed the losses following the events of 9/11. More than 500 aircraft worth around $10 billion (€8.7 billion) have remained in Russia since the conflict in Ukraine began in February 2022.
Western lessors managed to return some of the aircraft, but most of them remain in Russia and continue to be used by Russian air carriers.
Aercap is a leading company in its field. At the end of last year, it owned, managed or had orders for 3,525 aircraft, engines and helicopters.
The lessor also entered into separate agreements with several Russian airlines and their insurers, receiving a total of $1.3 billion in 2023.
Sourse: breakingnews.ie
