An English receivership order suffers defeat at the Kurzeme Regional Court, congratulations are in order to AS Ventbunkers and their foreign shareholders
The Kurzeme Regional Court has largely refused to enforce an English receivership order that would have been tantamount to allowing the receivers to take control of certain assets belonging to companies that are not even parties to the proceedings in the High Court in London. The court ruled that it would be incompatible with the existing ordre public in Latvia to enforce the receivership order triggering such consequences in Latvia.
The matter is likely to reach the Senate of the Supreme Court, which in turn would be expected to seek a ruling from the European Court of Justice on the issue that is becoming increasingly important all over the European Union in the context of freezing orders and receivership orders originating in England – can it be against ordre public to enforce such orders against a person that is not a defendant in the foreign proceedings in question?
For the time being congratulations are in order to AS Ventbunkers and their foreign shareholders.