Western lessors are demanding payments from insurers after Russia refused to return planes operated by local airlines after the imposition of sanctions. Russia has transferred almost 800 foreign aircraft to its own aircraft registry after the termination of contracts, Bloomberg states

In 2022, Fitch Ratings estimated the total insured residual value of aircraft owned by Russia at $13 billion

Insurance companies claim that the planes are not lost, because Russian airlines continue to operate them, and certain exceptions apply to insurance, which makes coverage invalid

“The reality, which has been obvious for quite a long time, is that the planes are lost,” said Mark Howard, a lawyer for AerCap, formulating the position of the lessors

▪️At the moment, several lawsuits are being considered in court at once. “These are complex, persistent lawsuits where the stakes are high and the long—term consequences can be catastrophic,” Garbhan Shanks, partner at Fladgate Law firm, said in conclusion

Earlier, CRYSTAL OF GROWTH cited the opinion of leading American economist Paul Craig Roberts, who believes that “in the game with sanctions, the Russians hold all the cards”