Pelagia AS calls for justice in Ukrainian courts
Pelagia AS, a long-time NUCC member and a leading Norwegian fish production company operating in Ukraine, among others, under Egersund brand, acted as a supplier of its production to the Klion Group, Ukrainian companies operating under Veladis brand.
Although Pelagia AS delivered the goods to the Klion Group, the buyer deliberately refused to perform its contractual obligations. To recover the debt Pelagia AS initiated arbitration proceedings in Norway and further court proceedings on recognition of arbitral award in Ukraine.
The independent Arbitral Tribunal in Norway issued an award in favor of Pelagia AS, being confirmed by the Kyiv Court of Appeal and the Supreme Court. But the Klion Group refused to recognize it and managed to renew the procedural deadlines along with launching an appeal from another the Klion Group’s subsidiary. The final hearing in this case by the Ukrainian Supreme Court is scheduled for 9 December 2019.
“This is a role model case highlighting the reality Norwegian investors to Ukraine are working in”, – Mr. Egil Magne Haugstad, CEO of Pelagia AS comments. “We do hope that the reformed Supreme Court will restore justice and the faith of our company in Ukraine as a safe place for doing business”.