I recently provided comments for an article in Law360 about the legal and financial challenges faced by energy companies who are scrambling to sever ties with Russian entities in the wake of the Russia-Ukraine situation. On March 8, President Biden announced a ban on Russian oil and gas imports into the United States further complicating the already complex and evolving sanctions imposed on Russian companies in the wake of the country’s invasion of Ukraine.
Because the U.S. sanctions include a ban on doing business with many Russian financial institutions, U.S. companies trying to close deals to get out of the market has become even more difficult. “What we’re seeing is, even if it’s permitted … it may be very hard to find a U.S. or a European bank to do the business, just because they don’t want to take the risk on it,” I explained in the article. “So the financial piece is going to be, at least, very challenging practically, if not legally.”
The full article, “Path Out Of Russian Energy Riddled With Legal Potholes,” was published by Law360 on March 8 and is available online.
The Bass, Berry & Sims International Trade team is actively monitoring the situation in Russia and Ukraine and providing real-time advice to clients on managing the situation. To read our previous coverage concerning the Russia-Ukraine situation, click the links below: