Getting a freezing order can damage your wallet — official

The decision in Fiona Trust v Privalov [2016] EWHC 2163 (Comm) (noted in this blog here) has been upheld in the Court of Appeal: see SCF Tankers Ltd & Ors v Privalov [2017] EWCA Civ 1877. Readers will remember that Russian shipping conglomerate SCF (aka Sovcomflot, previously Fiona) sued another Russian businessman for serious money, alleging that he had bribed its officers to enter into all sorts of disadvantageous agreements, and in support of the action got a freezing order for something over half-a-billion dollars. Having recovered a measly $16 million, it was then hit by Males J with an order on its undertaking in damages amounting to something close to $50 million — a costly victory indeed. Little of substance to report about the CA decision: it essentially approved the findings below on causation and mitigation. Males J’s judgment, and our blog post, remain the go-to place for detailed discussion of the principles to be applied.

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