Lawyers have been reacting to last week’s multi-billion pound High Court ruling relating to aeroplanes confiscated by the Russian government following the start of the war in Ukraine in 2022.

On Wednesday (11 June), the Commercial Court ruled in favour of lessors including Ireland’s AerCap, the world’s largest aviation lessor, and Dubai Aerospace Enterprise (DAE), ordering insurers to compensate the lessors following litigation proceedings worth £3.4bn.

Mr Justice Butcher confirmed that the lessors’ war risk insurance policies should pay for aircraft lost following the Russian invasion of Ukraine.

AerCap’s lawyers, Herbert Smith Freehills Kramer (HSFK), lauded the £1.035bn secured for their client, along with significant recoveries achieved in previous settlements.

HSFK partner Fiona Treanor said the judgment “demonstrates the importance of robust insurance policies in contingency planning, allowing businesses to be prepared for crises and unforeseen events”.

The firm’s global head of disputes and fellow insurance partner, Paul Lewis, expressed pride in his team, adding: “They have worked so hard to secure this outcome. It is a privilege but a huge responsibility when clients trust you with claims like this, but the team continue to deliver the results.”

The lessor sued the insurers regarding the loss of 116 aircraft and 15 engines, while DAE sought to recover losses from 22 aircraft and was represented by Clifford Chance.

Clifford Chance partner, Julian Acratopulo, said: “It’s a reassuring outcome not only for the aviation sector but for all policyholders who count on insurance to respond when it matters most.”

He added: “Putin’s invasion of Ukraine and subsequent restraint of over 400 commercial aircraft was the paradigm scenario that the owners thought they had insured against.”

He said the ruling underscored “the integrity and reliability of the UK courts” in upholding contractual commitments, even when faced by multiple defendants “with significant combined resources and the most complex circumstances imaginable.”

Industry sources stated that Burcher’s decision to have the war risks insurers pay out, rather than the general liability underwriters, would result in the lessors receiving less compensation.

Aaron Le Marquer, head of policyholder disputes at Stewarts, said the ruling would “come as a blow to AerCap, since its right to indemnity under the war risks cover is so much lower than under the all-risks cover”.

He added that whether AerCap or the war risks insurers will appeal remained to be seen.

Still, more broadly, he said the judgment will be directly relevant to other disputes over losses flowing from assets stranded in Russia following the invasion of Ukraine. Outside aviation claims, such claims were often pursued under political risk policies, he said, adding the findings “will translate directly to many other Russia/Ukraine-related losses. They will also have application in the context of political risk claims in different parts of the world, where similar issues may arise”.

Elaina Bailes, a committee member of the London Solicitors Litigation Association, once led by Acratopulo, said the litigation had showcased the Commercial Court’s ability to use its broad case management powers to manage significant multi-party claims together to bring them to a relatively swift conclusion. The judgment, she said, “provides clear and comprehensive legal principles that policyholders and insurers will find helpful, and the confirmation regarding the correct test for loss of assets will have an impact on claims arising out of risk policies across the transport sector”.

She added: “The welcome confirmation that sanctions do not prevent insurers from indemnifying policyholders will also reassure parties who have brought claims that there will not be practical difficulties to recovery. It will give parties confidence that this jurisdiction can manage complex claims arising from geopolitical risk.”

Ned Beale, a disputes partner at Hausfeld, added that the landmark judgment will be influential worldwide, given parallel litigation in the Irish High Court and elsewhere, noting “there have been many settlements already, and this will lead to more”.

The ruling, however, “appears to leave the door open for the separate operator policy claims to be pursued, so it remains to be seen whether the Commercial Court trial of those claims listed for autumn 2026 will proceed”, Beale added.