South African Court Backs Enforcement of Google Russia Bankruptcy Ruling
A significant legal development has occurred as a South African court ruled to support the enforcement of a decision regarding the bankruptcy of Google LLC’s Russian subsidiary. This ruling, made by Judge Lucy Mailula in Johannesburg, opens up possibilities for the seizure of Google's assets in other jurisdictions where Russian media have sought enforcement of court decisions.
The ruling comes in response to a lawsuit challenging the transfer of nearly 10 billion rubles in dividends to Google's US parent company. This is a first for a foreign jurisdiction to back the enforcement of a decision in a bankruptcy case involving a Russian 'daughter' of a major tech company like Google. Google LLC had previously refused to insist on prohibiting Russian media from pursuing legal proceedings in foreign courts. Meanwhile, a settlement agreement was approved by the US District Court for the Northern District of California on September 29.
The South African court's decision paves the way for potential asset seizures in other jurisdictions, where Russian media have been seeking enforcement of similar court decisions. This marks a significant shift in the legal landscape surrounding multinational corporations and their subsidiaries.
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