Russian court upholds Article 248 injunction against Czech arbitration involving Gazprom

30 September 2026

Russian court upholds Article 248 injunction against Czech arbitration involving GazpromCatarina Belova/Shutterstock.com

A Russian appeal court has dismissed an appeal by Czech gas transporter NET4GAS against an injunction stopping it from continuing an arbitration against Gazprom and its subsidiary Gazprom Export – Gazprom Export & Gazprom v NET4GAS, Case No A56-49741/2026.

Articles 248.1 and 248.2 of Russia’s Arbitrazh Procedure Code allow Russian companies affected by foreign sanctions to ask a Russian court to stop proceedings outside Russia. This includes cases where sanctions make a foreign dispute resolution agreement impossible to perform because they restrict a party’s access to justice.

NET4GAS transported Russian gas through the Czech Republic to Western Europe under contracts with Gazprom Export. The contracts provided for arbitration in the Czech Republic. In 2025, NET4GAS began arbitration against Gazprom Export and Gazprom, claiming payment for capacity that was reserved but not used.

Gazprom Export and Gazprom applied for an injunction under Article 248.2 of the Code, which the first instance court granted. NET4GAS appealed, saying neither company was on an EU sanctions list, so Article 248 could not apply.

The Court dismissed the appeal. It cited Russian Supreme Court case law that sanctions against a Russian party create a presumption that its access to justice is restricted without the party having to show that sanctions affect the particular agreement in dispute. The Court upheld the following factors relied on by the first instance court to show that Gazprom Export and Gazprom’s access to justice in the Czech Republic was restricted:

  • Article 5n of Regulation (EU) 833/2014 (the EU’s Russia sectoral sanctions) bans EU lawyers from providing certain legal services to Russian companies, whether or not they are listed.
  • Leading European law firms refused to work with Russian clients. Businesses in states Russia lists as "unfriendly", including the Czech Republic, often avoid Russian parties even where sanctions allow transactions.
  • Czech law lets the Czech Bar Association appoint a lawyer where more than two lawyers refuse to act. This still meant Gazprom Export and Gazprom would rely on appointed lawyers while NET4GAS could choose its own, creating unequal treatment.

If NET4GAS continues the arbitration, it must pay Gazprom Export and Gazprom the rouble equivalent of the €118.7 million it claims. See our Russia pages for more case law on Article 248.

 

Maya Lester KC

Maya Lester KC is a senior barrister (King’s Counsel) at Brick Court Chambers with a wide-ranging practice in public law, European law, competition law, international law, human rights & civil liberties. She has a particular expertise in sanctions. She is the…

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