The over-representation of Russian cases before London’s Commercial Court has finally come to an end - but foreign parties account for record volumes of work, a report published today shows. 

The number of Russian litigants appearing in judgments from the court more than halved in the year to March 2024, falling to 27 from a record high of 58 in the previous 12 months. The data in the 12th annual commercial courts report by consultancy Portland, which analysed 262 judgments handed down, suggests that two years after Vladimir Putin invaded Ukraine, global sanctions have started to bite. 

As many international law firms have stopped representing Russian clients, the report revealed that just 30% of Russian litigants had legal representation in the past year, compared to 70% in the previous 12 months. 

Neverthless, London’s appeal as an global legal hub remains strong, as the court dealt with a record number of international litigants. International parties accounted for 64% of litigants – the largest proportion since Portland began collecting data – representing 84 nationalities, an 8% increase from last year’s record of 78. 

British litigants represented just 32% of those in court, a significant drop from last year when they made up 40%. Propelled by a surge in aircraft insurance cases, for the first time Ireland took second place with 139 litigants, behind the UK, which had 391.

The US dropped to third place, with 75 litigants, despite a 56% increase this year. The past year saw record-high appearances by litigants from Switzerland (45), the United Arab Emirates (43), Cyprus (33) and the British Virgin Islands (29). 

The number of Indian litigants fell by 14% to 38 and those from Singapore dropped notably, from a record high of 35 in 2022-23 to just 17. 

A record 31 nation-states appeared in judgments in the past year, a near three-fold rise. They included the governments of Cuba, Argentina, Nigeria, Spain, Mozambique, and Syria.

A majority of those judgments (58%) were related to arbitration, reflecting the court’s role as the principal supervisory court for London-seated international arbitrations. Overall, from April 2023 to March 2024, the commercial court handed down 262 judgments, a 2% increase on the previous year, involving 1,220 litigants – up 9% on the previous 12 months. 

In a foreword to the report,  lady chief justice Baroness Carr, said: ‘The court’s work continued to grow, notwithstanding the curtailment of what has traditionally been a significant source of work for the court. This is a testimony to the court’s resilience.’ 

She added: 'The fall in the number of Russian litigants has been counterbalanced by increases in litigants from other countries: the US, Switzerland and the UAE, in particular.'

 

This article is now closed for comment.