Improper proceedings against the oil company Yukos


OAO Neftyanaya Kompaniya Yukos v Russian Federation (Appl. No. 14902/04)

  • Memorandum of Piers Gardner, legal representative of Yukos
  • Case summary by the Council of Europe's Department for the Execution of Judgments

The case concerns violations concerning tax and enforcement proceedings brought against the applicant oil company, leading to its liquidation in 2007. In its judgment of 2012, the ECtHR ruled that it led to violations of a right to fair trial (Article 6) and a right to property (Article 1 of Protocol 1) and awarded the applicant a total of EUR 1,866,104,634 as pecuniary damages to be paid to Yukos shareholders.

The judgment requires the Russian Federation to prepare a distribution plan for paying the just satisfaction, but it has not done so. On 19 January 2017 the Russian Constitutional Court held that the judgment was incompatible with the Russian Constitution.

At the briefing, Piers Gardner, Barrister at Monckton Chambers and legal representative of Yukos, reiterated the immediate, mandatory and unconditional obligation of the Russian Federation to pay just satisfaction. He urged the Committee to actively engage in developing a plan for the distribution of the just satisfaction, as a cooperative undertaking between the Russian Federation and the CM, as indicated in the Court’s judgment. The briefing stressed how the various facets associated with the preparation of a distribution plan were essentially of a technical and practical nature.

Mr. Gardner’s memo as shared with the briefing participants can be found here.