Rory Phillips KC and Emmanuel Sheppard successful in first decision by the Court of Appeal in relation to the National Security and Investment Act 2021

Rory Phillips KC and Emmanuel Sheppard have successfully resisted an appeal in the first case  in relation to the National Security and Investment Act 2021 to come before the Court of Appeal.

Investment firm LetterOne, founded and ultimately owned by Russian oligarchs, was ordered to divest its shareholding in telecoms start-up, Upp, on national security grounds.

At first instance, Farbey J dismissed the challenge that this decision was disproportionate and contrary to LetterOne’s right to property under A1P1. She also rejected the argument that the absence of compensation breached A1P1. Challenges based on procedural unfairness and irrelevant considerations were also dismissed.

The Claimant obtained permission to appeal on a single ground, namely whether it should have been awarded compensation under A1P1.

The judgment of Singh LJ is notable for its consideration of the statutory regime under the NSIA 2021, as well as of the operation of A1P1 in the commercial context.

The full counsel team for the Government Defendant was: Sir James Eadie KC of Blackstone Chambers, Rory Phillips KC of 3VB, Georgina Wolfe of 5 Essex Chambers, Emmanuel Sheppard of 3VB and Karl Laird of Landmark Chambers.

Read the judgment in full here.