AGP Successfully Defended a Car Importer at Court of Cassation Which Overruled Decisions of Inferior Courts

An insurance company filed with the Arbitrazh Court of Moscow a subrogation claim against the car owner and the forwarding agent who arranged shipment of the car and claimed payment of damages caused by fire in the shipped car, based on their joint liability. Both the trial and appellate courts ruled for the claimant and awarded damages in full.

In the cassation appeal AGP lawyers contested the previous court decisions and argued that there was no legal basis for joint liability of the co-defendants and that the car owner should not be held liable for the damages caused. AGP lawyers maintained that the forwarding agent as lessee should bear contractual liability for its failure to ensure safety of the rail car that had been damaged, and that liability for damages caused by a source of special danger should not be imposed on the car owner because the forwarding agent had physical possession of the car.

The Arbitrazh Court of Moscow Circuit accepted the arguments about lack of valid grounds for recovery of damages from the car owner and overruled the previous court decisions accordingly. AGP attorneys Olga Zelenskaya and Valentin Moiseev acted as defense lawyers.