WALLESS Successfully Defends Client in a Dispute with an Insurer

A Latvian manufacturing company has successfully concluded a lengthy dispute with insurance company over the validity of a performance guarantee and a warranty period guarantee issued in 2018, which was addressed to the Polish company.

After paying out the guarantee to the Polish company, the insurer brought a recourse claim and late payment statutory interest claim against the client for more than EUR 245,000, which the first instance court initially upheld in full. On appeal, the outcome turned in the client’s favour.

The Riga Regional Court found that the original guarantee had been returned to the insurer before its payment deadline, meaning the guarantee had already lapsed, and dismissed the insurer’s claim in full. This judgment was appealed to the Supreme Court, but the Senate of the Republic of Latvia refused to initiate cassation proceedings, thereby confirming the judgment in the client’s favour as final and non-appealable.

The client’s interests throughout the proceedings, starting from the court of second instance, were successfully represented by WALLESS partner Sandis Bērtaitis and senior associate Artūrs Caics, in cooperation with attorneys Andrejs Guļajevs and Jekaterina Kalniņa of law firm “Skrastiņš & Dzenis”.