Airbus loses bid to use French law in Qatar row

Qatar Airways suing plane-maker for $1.4b over damage to painted surface on jets

LONDON:

A UK judge on Friday rejected an attempt by Airbus to invoke a De Gaulle-era law restricting the way it responds to foreign courts, as a high-profile dispute with Qatar Airways became mired in a growing debate over cross-border legal powers.

Qatar Airways is suing France-based Airbus for $1.4 billion over damage to the painted surface and anti-lightning system on A350 jets, saying safety could be at risk from a design defect. Airbus acknowledges quality flaws but insists the jets
are safe.

Now, the two sides must provide each other with thousands of pages of documents as their dispute heads towards a rare London aerospace trial in mid-2023, barring an elusive settlement.

Airbus says it is prevented from directly handing over documents sought by Qatar Airways by a 1968 law that stops French companies from handing over sensitive economic details to foreign courts, without a special mechanism in place.

The plane-maker applied to a UK judge for permission to appoint a special commissioner responsible for transmitting the documents to Qatar Airways, something it had already done to assist UK authorities during a bribery investigation.

Airbus said that failing to set up such a conduit would expose the company to criminal charges in France.

“This is not something entirely novel, weird or wacky that we are proposing,” its lawyer Rupert Allen told a division of the High Court in an online hearing on Friday.

Judge David Waksman, however, rejected the request, awarding costs to Qatar Airways.

The 1968 law – referred to as the “French blocking statute” – was designed to protect French companies from oppressive foreign court demands especially from the United States, with which Paris was locked in an economic Cold War.  

Published in The Express Tribune, July 17^th, 2022.

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