Morgan Lewis US and Russia Sanctions Update

What's Newest (cont'd) Russia Controversial anti-sanctions dispute law - came into effect in June 2020 - Seeks to force into Russian court many disputes involving Russian (and other) sanctioned persons/entities ... whether or not the dispute relates to the sanctions And provides for Russian court to issue anti-suit injunction against proceedings in foreign courts or arbitral tribunals, and to award damages up to amount of damages claimed by foreign party in proceedings abroad See our Lawflash of June 2020; and court practice is developing since then (we can elaborate) See slides 86-90 for other enacted and pending further countermeasures against US/EU sanctions (and Ukraine) - Including new draft amendments (re asset blocking, and low 25% control threshold, etc.) to Special Economic Measures Law And possibility of further reaction to existing and pending further US Nord Stream 2 sanctions Recent statement by a Russian official urging cut in use of USD - and continued reports of Russian companies (including oil producers) trying to do this, to Euro (or other currencies), for deals having no other US link - see slides 18 and 79 below And some other Russian gov't initiatives directing pension and similar funds away from banks that are under or are supporting anti-Russian sanctions advancing establishment/acceptance of Russian institute certification of Russian-produced oil & gas industry equipment as substitute for US API certification Also, developing Russian court practice and general view that a contract clause allowing termination / escape from liability on account of anti-Russia sanctions may violate public policy / be unenforceable in Russia Morgan Lewis 13

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