Supreme Court rules on first Russia sanctions challenge (Shvidler v Foreign Secretary)
Corporate Crime analysis: The court held (in a majority judgment (4:1)) that sanctions imposed by the Secretary of State for Foreign, Commonwealth and Development Affairs (the Foreign Secretary) on Mr Shvidler, and (in a unanimous judgment) that sanctions imposed by the Secretary of State for Transport (the Transport Secretary) on a yacht (M/Y Phi) owned by Dalston Projects, in the immediate aftermath of Russia’s invasion of Ukraine, were—despite their acknowledged interference with the appellants’ rights under the European Convention on Human Rights, proportionate and lawful. In a strong dissent, however, Lord Leggatt deprecated the decision of the majority in Mr Shvidler’s case, finding that the sanctions against him, as a UK citizen, were disproportionate and hence unlawful. Of broader application in a public law context, the court departed from the Court of Appeal on the question of the approach to proportionality cases by an appellate court. Written by Kerri McGuigan, senior associate and Liam Lane, associate at Peters & Peters Solicitors LLP.