Case Law on Sanctions: The Supreme Court Overturns Sanctions Imposed Based on Outdated Data

18/ 02/ 2025

The Supreme Court, acting as a court of first instance, has annulled sanctions imposed on a French citizen, a former top executive of an international financial group. This ruling sets another precedent for challenging sanctions in Ukraine. In February 2023, the President of Ukraine introduced sanctions against the foreign national, citing his presence on the management board of a Russian bank when the restrictions were enacted. The court sided with VB Partners’ legal team, concluding that these restrictive measures were based on outdated and unverified information. During the proceedings, the lawyers successfully demonstrated that there was no connection between the individual and the aggressor state’s bank, leading to the annulment of the sanctions. Why Does This Matter? Cases of wrongful sanctioning do occur. This is understandable because sanctions lists are often compiled under crisis conditions. However, Ukraine lacks an effective procedure for lifting sanctions. Despite recognizing clear errors in sanctioning, neither the President nor the initiating body moves to revoke them independently. Legal proceedings in such cases can drag on for years, and successful outcomes remain rare. At the same time, case law demonstrates that a proper legal procedure for reviewing sanctions does not weaken sanction policies but enhances their legitimacy and effectiveness. VB Partners is one of the few law firms that successfully represents clients in sanction-related cases. Over the 10-year history of Ukraine’s sanctions regime, the firm’s lawyers have again overturned unlawful restrictions. *The court’s decision is subject to appeal. The Grand Chamber of the Supreme Court is expected to uphold the first-instance ruling and fully restore the rights of VB Partners’ client.

In February 2023, the President of Ukraine introduced sanctions against the foreign national, citing his presence on the management board of a Russian bank when the restrictions were enacted.

The court sided with VB Partners’ legal team, concluding that these restrictive measures were based on outdated and unverified information. During the proceedings, the lawyers successfully demonstrated that there was no connection between the individual and the aggressor state’s bank, leading to the annulment of the sanctions.

Why Does This Matter?

Cases of wrongful sanctioning do occur. This is understandable because sanctions lists are often compiled under crisis conditions.

However, Ukraine lacks an effective procedure for lifting sanctions.

Despite recognizing clear errors in sanctioning, neither the President nor the initiating body moves to revoke them independently. Legal proceedings in such cases can drag on for years, and successful outcomes remain rare.

At the same time, case law demonstrates that a proper legal procedure for reviewing sanctions does not weaken sanction policies but enhances their legitimacy and effectiveness.

VB Partners is one of the few law firms that successfully represents clients in sanction-related cases. Over the 10-year history of Ukraine’s sanctions regime, the firm’s lawyers have again overturned unlawful restrictions.

*The court’s decision is subject to appeal. The Grand Chamber of the Supreme Court is expected to uphold the first-instance ruling and fully restore the rights of VB Partners’ client.