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Stephenson Harwood

Dechert scores role on long-running RUSAL dispute

Author: claire.ruckin@legalweek.com

Published: 22/11/2007 02:15

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Dechert’s City arm has been instructed in place of Stephenson Harwood in a long-running dispute between two Russian businessmen for a 20% stake of aluminium giant RUSAL.

Dechert London litigation partner Andrew Hearn and associate Matthew Magee have been instructed to advise Michael Cherney on his battle against RUSAL owner Oleg Deripaska for a 20% stake in the company, which is estimated to be worth around £1bn. It is understood that Brick Court Chambers has been instructed as new counsel.

The US firm was instructed after Stephenson Harwood London head of litigation John Fordham and 4 Stone Buildings John Brisby QC employed a third party who failed to serve a claim form correctly.

Earlier this year, High Court judge Mr Justice Langley ruled that the claim form had not been duly served upon Deripaska after Stephenson Harwood hired an external processor to deliver the claim form but it was left with one of Deripaska’s employees rather than himself.

The judge also found that Deripaska was not based in England, despite owning a property in London’s Belgravia, for civil jurisdiction purposes.

Israeli-based businessman Cherney claims that as a result of a deal struck in London in 2001 Deripaska agreed to hold a 20% stake in RUSAL in trust for him.

Fordham commented: “There was no concern in terms of our proceedings only the technicality of serving the claim, which the judge ruled the process server had failed to do correctly.”

He added: “Michael Cherney was upset at the judge’s ruling and decided to have a fresh start and instruct another firm and counsel — it is disappointing from our point of view, but sometimes it happens. We wish him the best of luck.”

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