CELESTIAL AVIATION SERVICES LTD v UNICREDIT BANK GMBH, LONDON BRANCH (FORMERLY UNICREDIT BANK AG, LONDON BRANCH): CONSTITUTION AIRCRAFT LEASING (IRELAND) 3 LTD v UNICREDIT BANK GMBH, LONDON BRANCH (FORMERLY UNICREDIT BANK AG, LONDON BRANCH)

[2024] 2 Lloyd's Rep 215

COURT OF APPEAL(CIVIL DIVISION)

Before Lord Justice Males,Lord Justice Snowden,Lady Justice Falk

Contract (letter of credit) – Sanctions – Letters of credit in respect of aircraft leases – Leases terminated without return of aircraft – Confirming bank declining to pay under letters of credit with reference to Sanctions Regulations – Meaning of “in connection with an arrangement” – Autonomy of letters of credit – Ralli Bros principle – Sanctions and Anti-Money Laundering Act 2018, section 44 – Russia (Sanctions) (EU Exit) Regulations 2019, SI 2019 No 855, regulation 28(3).