White & Case Latest Firm To Drop Russian Client

(March 14, 2022, 3:25 PM EDT) -- New York-based White & Case LLP is the latest firm to drop a Russian client in the wake of the invasion of Ukraine and U.S. sanctions against associates of Russian President Vladimir Putin.

The international firm told the New York Supreme Court on Friday that it will no longer represent Russian billionaire Viktor Vekselberg, who is a Putin associate and was sanctioned by the U.S., in a dispute over an unpaid share of a joint venture.

In a letter to Judge Andrea Masley, White & Case partner Kimberly Havlin said White & Case is ending its relationship with Vekselberg and "actively seeking" counsel to replace the firm in the court proceedings.

"As soon as substitute counsel for Mr. Vekselberg is engaged, counsel will file appropriate papers," Havlin said in the letter, noting that White & Case doesn't expect the change of counsel to disrupt court proceedings.

Vekselberg and Ukrainian businessman Leonard Blavatnik, who is a citizen of the U.S. and U.K., were sued in 2014 by Russian businessman Leonid Lebedev, who alleges they failed to pay him a 15% share worth $2 billion of an oil and gas joint venture when it was sold in 2013.

In August 2019 the court dismissed Lebedev's suit, finding that their investment agreement wasn't enforceable. Lebedev appealed.

But in February 2021 the Appellate Division overturned the dismissal and sent the case back to the lower court for trial, finding that the investment agreement was a binding contract.

A White & Case spokesperson said in a statement Monday that the firm declines to comment on any specific client matters. Counsel for Lebedev declined to comment Monday.

Blavatnik's counsel said in a statement Monday that Quinn Emanuel Urquhart & Sullivan LLP will continue to represent him in the suit.

Earlier this month, Cleary Gottlieb Steen & Hamilton LLP and Freshfields Bruckhaus Deringer LLP said that they were dropping clients with ties to the Russian government.

Russia's invasion of Ukraine has also prompted many BigLaw firms, including White & Case, Dechert LLP, Debevoise & Plimpton LLP and Hogan Lovells, to close their offices in Moscow.

Lebedev is represented by Michael Campion Miller, Leah M. Quadrino, Evan Glassman and Jeremy Glen of Steptoe & Johnson LLP, James Catterson of Pillsbury Winthrop Shaw Pittman LLP, Thomas E. L. Dewey of Dewey Pegno & Kramarsky LLP and Andrew W. Hayes.

Blavatnik is represented by Richard I. Werder, Stephen A. Broome, Ron Hagiz, Kimberly E. Carson and Wesley T. Hartman of Quinn Emanuel Urquhart & Sullivan LLP and Mark C. Zauderer and Jason T. Cohen of Ganfer Shore Leeds & Zauderer LLP.

Vekselberg is represented by Paul B. Carberry, Heather K. McDevitt and Kimberly A. Havlin of White & Case LLP.

The case is Leonid L. Lebedev v. Leonard Blavatnik et al., case number 650369/2014, in the Supreme Court of the State of New York, County of New York.

--Editing by Gemma Horowitz.

Update: This article has been updated to include additional counsel information for Lebedev.

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