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Estonian company recovers the purchase price debt from a company registered in Latvia as a result of the legal assistance of LEADELL Tallinn and Riga offices | LEADELL Deals and cases
LEADELL Pilv and LEADELL Vītols dispute resolution teams of experts joined forces to successfully defend the interests of a client – an Estonian company offering services in Latvia – in a cross-border dispute. By distorting the facts of the transaction, a payment for the purchase was owed to the client by a company registered in Latvia.
By denying the terms of the purchase agreement in bad faith, a company registered in Latvia tried to treat its outstanding purchase obligations to the Estonian company as a lease. As a result of the dispute, the Estonian company, which did not receive the money, turned to the specialists of LEADELL. An engrossing fact in this dispute was that the legal relations of the parties were governed by Estonian law, but the dispute itself, following the European Union regulation on jurisdiction in cross-border cases, was to be settled in a Latvian court in accordance with Latvian procedural laws.
It came to light that the buyer had delayed the formal signing of the purchase agreement, thus the LEADELL team worked diligently to gather and consolidate extensive evidence. In cooperation with experts from the offices of both neighboring countries, a claim for recovery of the purchase price debt was filed with a Latvian court. As a result, the debt was repaid in full and litigation costs were recovered in favor of the client.
“I would like to encourage clients to seek legal assistance also in cases where the documents of the disputed transaction lack the signature of the other party. In practice, this type of situation occurs often enough for clients, but they do not always know that a solution is possible and a positive result can be achieved, ”comments attorney-at-law Ilze Jankeviča.
Legal assistance was provided by the LEADELL dispute resolution team, in which LEADELL Pilv attorney-at-law Anneli Aab and LEADELL Vītols attorney-at-law Ilze Jankeviča joined their forces. Legal assistance for the client was executed and coordinated simultaneously in both Latvia and Estonia. This kind of cross-border dispute resolution, involving different national jurisdictions, is a day-to-day practice and specialty of LEADELL law offices. Owing to working in an international environment, considerable experience in applying the European Union regulation on jurisdiction in cross-border cases has been gained.
Knowing that disputes happen, the LEADELL law firm constantly cares about the safety of its clients, who enter into business relations with both local and foreign partners. Contact us riga@leadell.com.
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