(Court of Appeal of Cyprus, 8 January 2025 – Civil Appeal No. 32/2024)
The Cyprus Court of Appeal has delivered an important clarification in the recent judgment given on 08/01/2025 in Marbale Universal Corp & Victor A. Pichugov v Alexey N. Ananiev et al, and specifically on the recognition and enforcement of foreign arbitral awards under the New York Convention (1958), contributing to the ongoing international discussion on formalism versus functionality in arbitration enforcement.
The appellants sought enforcement in Cyprus of three LCIA arbitral awards issued in London, amounting to approximately USD 101 million and GBP 1.19 million. The Limassol District Court had dismissed the enforcement request, holding that the applicants failed to provide “duly certified copies” of the arbitration agreements as required by Article IV(1)(b) of the Convention.
The Court of Appeal reversed the decision, finding that a certificate issued by an English solicitor—confirming inspection of the original arbitration agreements—and a notarial verification of the solicitor’s signature were sufficient to satisfy the evidentiary standard of Article IV. The Court underscored that the purpose of the provision is to ensure reliability, not rigid compliance, and that excessive formalism in recognition proceedings contradicts the pro-enforcement spirit of the Convention.
The appeal was allowed, and the case was remitted to the District Court to consider any remaining Article V defences, including issues of public policy and insolvency.
Key Takeaways:
- The judgment rejects excessive procedural formalism, favouring a substantive, reliability-based approach to Article IV compliance.
- Cyprus aligns itself with modern international standards that promote efficiency and predictability in arbitral enforcement.
- The decision strengthens Cyprus’s reputation as an arbitration-friendly jurisdiction and reflects its judiciary’s pro-enforcement orientation.
- It reinforces a broader trend across jurisdictions towards minimal judicial interference and functional interpretation of procedural rules in arbitration enforcement.