Friday, November 17, 2017

UrFU wins victory over debt allegedly owed by Russian Chrome 1915

An arbitration court in the Sverdlovsk region ruled last week that Russian Chrome 1915, an environmental development company, will have to pay the remaining $7.5 million of its $13 million debt to Ural Federal University.

UrFU and Russian Chrome entered into a collaborative agreement last spring, after UrFU was awarded the right to receive subsidies for the implementation of high-tech manufacturing projects by the Russian Ministry of Education and Science.

UrFU and Russian Chrome began a three-year technology development partnership wherein Russian Chrome was ordered to pay UrFU $5.5 million for UrFU's scientific assistance.

During the three-year partnership, researchers and developers sought to create environmental safety mechanisms in the high-tech manufacturing industry. Specifically, researchers sought to lower the wastewater created by current standard manufacturing processes.

The first stage of UrFU and Russian Chrome's partnership ended in November. As part of the agreement, Russian Chrome was expected to pay the remaining $7.5 million towards its $13 million debt to UrFU.

By March, however, Russian Chrome allegedly had still not made its payment to UrFU. In return, lawyers for the UrFU filed suit against the business. Lawyers for Russian Chrome indicated that their non-payment was due to formal transactional discrepancies it had with the nature of the agreement.

"These objections were clearly not justified, they did not convince the court," UrFU legal deputy head Michael Bando said. "As a result, the debt will be recovered in full."

Russian Chrome will have one month to appeal the ruling with the 17th Arbitration Appeal Court in Perm.