KPMG Law Ukraine’s team of attorneys has successfully defended the interests of a leading international agricultural product equipment manufacturer as part of a complicated long-term dispute. The case involved a number of complex elements, including invalidating supply agreement provisions that limited the client’s liability, recovery of damages related to allegations that the client supplied improper equipment, and recovery of a fine that was previously incorrectly issued in accordance with the terms of the supply agreement between the client and its customers. The KPMG Law Ukraine team supported the client throughout all stages of this case, from the court of first instance to dispute consideration by the Grand Chamber of the Supreme Court (GC SC), and further review by the court of appeal.
The dispute involved eight monetary claims against the client, including damages for the additional equipment supplied, the cost of its installation, facility reconstruction, and costs for production downtime, expert studies, and pre-trial dispute settlement, as well as a penalty under the terms of the supply agreement. The dispute was further complicated by the nature of the legal issues that were investigated by the courts, such as contractually limiting the equipment supplier's liability in case of failure to achieve agreed performance indicators and applying provisions on extending the limitation period due to quarantine measures.
At the GC SC consideration stage and as a result of a new trial in the court of appeal, KPMG Law Ukraine's attorneys defended the client's legal position and obtained a positive decision in favour of the client, denying claims for the recovery of costs for additional equipment and installation, production facility reconstruction, costs for production downtime, and expert research and pre-trial dispute settlement. As a result of KPMG Law Ukraine’s efforts, the dispute consideration by the courts found in favour of the client and the KPMG team successfully reduced the amount of damages by UAH16.5 million.
The project was led by Yuriy Katser (Director, Head of Legal Services at KPMG Law Ukraine) and Bogdan Shyshkovskyi (Attorney at Law, Senior Manager of Legal Services at KPMG Law Ukraine). The project was also supported by KPMG Law Ukraine attorneys Andrii Pavliuk and Vladyslav Fisun.
Complex challenges are always the most intriguing, and this case was no exception. We took it on and successfully guided our client through all stages and levels of review. This victory in court confirms our high level of professionalism and efficiency in protecting our clients' interests in the most complex legal disputes. I am proud of each member of the KPMG Law Ukraine team who together have achieved this significant success.