Ukraine wins $18 million in Swiss arbitration over ammunition shortage

The arbitration tribunal of the Swiss Arbitration Center has ruled in favor of Ukraine in a dispute with an American arms supplier. The company, which received a 100% prepayment for artillery ammunition, only partially fulfilled the contract and is now forced to return more than $18 million along with penalties. About this reports Ministry of Justice.

The lawsuit by the Ministry of Defense of Ukraine concerned the breach of contractual obligations concluded at the beginning of the full-scale war. The American company received a full advance payment for the supply of artillery ammunition, but only partially fulfilled its obligations.

The arbitration court fully supported the Ukrainian side's position after a detailed consideration of the case. It rejected all of the defendant's objections, acknowledged the breach of contractual obligations, and ordered the recovery of the funds paid.

The Ministry of Justice engaged the international law firm Staiger Attorneys at Law Ltd, which provided advice on Swiss law.

• In May last year, a Financial Times investigation noted that since the start of the full-scale invasion, Ukraine paid an advance of about $770 million to foreign intermediaries for weapons and ammunition that were never delivered.