AGA Partners, together with the partners of the Georgian law firm BLC Law Office, successfully enforced the award of London commercial arbitration in Georgia, the region of Guria. The Supreme Court of Georgia satisfied the application for the recognition and enforcement of the award. AGA Partners recovered the full amount of the damages awarded to the client.
The team also managed to obtain security in support of the foreign arbitral award and seize the bank account, as well as other property of the debtor located in Georgia. This step secured the client execution of the award from the property seized.
The peculiarity of the case was that the parties entered into an arbitration agreement by exchanging emails without using the signatures and seals of the companies. In many jurisdictions, this may result in a refusal to recognize an arbitral award due to the formal approach of local courts, requiring the original arbitration agreement signed by both parties.
However, during oral hearings, the team of lawyers was able to prove in court the validity of the arbitration agreement under applicable English law and the compliance with the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards.
Partner, Iryna Moroz, commented on the execution of the award:
“The successful outcome of this case demonstrates that Georgia is a favorable jurisdiction for the enforcement of arbitral awards. The application for enforcement is considered directly by the Supreme Court of Georgia, which decision is final and cannot be appealed. Judges adhere to a pro-arbitration approach and consider cases quite promptly, particularly in imposing interim measures. Actually, the seizure of assets, as a preliminary security of the arbitral award, played a decisive role in the successful execution.”