The lawsuit, led by Ireland’s AerCap and Dubai Aerospace Enterprise, was focused on 147 jets, as well as some engines, with an estimated total value around $4.7 billion. (Credit: AdobeStock)
London’s high court has ruled that aircraft lessors can recover over $1 billion from insurers for jets that have been stuck in Russia since its invasion of Ukraine in 2002. These insurers include AIG, Lloyd’s, Chubb and Swiss Re.
The lawsuit, led by Ireland’s AerCap and Dubai Aerospace Enterprise, was focused on 147 jets, as well as some engines, with an estimated total value around $4.7 billion, though the request claim amount decreased as the trial went on due to settlements.
Yahoo Finance reports Justice Christopher Butcher ruled that the jets were considered “lost” on March 10, 2022, when Russian legislation barred the export of aircraft and equipment. This ruling allowed the aircraft lessors to recover their losses under their war risk insurance policies.
Lessor AerCap was able to secure $1.035 billion for the loss of 116 aircraft and 15 engines. Other claimants in the suit included Dubai’s Falcon and Genesis, Merx Aviation and KDAC Aviation finance; all of which reportedly settled their claims during the trial.
The case came about after sanctions from the West forced aircraft leasing companies to terminate any contracts they had with Russian airlines in March 2022. At that point, Russia re-registered many of the previously leased planes without the owners’ consent, which prompted legal action in both London and Dubai.
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