Haas F1 Team are in huge trouble after ignoring court rulings to pay an outstanding debt to former Russian sponsor, Uralkali.
Uralkali, the former title sponsor of Haas F1 Team, has initiated legal proceedings in Dutch courts to seize the team’s assets, including cars and equipment, due to an unpaid debt.
The dispute stems from a Swiss arbitration ruling in June, which ordered Haas to refund a portion of the $13 million sponsorship payment made by Uralkali for the 2022 season. In 2022, Uralkali were due to be the main sponsor of Haas F1 team; however following the Russian invasion on Ukraine, the deal was scratched – but only after the sponsor had already payed Haas. The court ruled that while Haas had the right to cancel the contract, they must return the portion of the payment covering the period beyond the 4th of March, 2022, estimated to be around $9 million.
Having being ordered to transfer them the money back earlier this year, Haas have ignored the plea to clear the debt and could now face legal action from Uralkali. Uralkali claims that Haas missed the July deadline for the refund, prompting the Russian company to escalate the matter to Dutch courts. This week, a provisional ruling favoured Uralkali, allowing Dutch bailiffs and police to visit the Haas team at Zandvoort on Thursday night to assess the team’s assets.
Although Haas was cleared to participate in the 2024 Dutch Grand Prix as scheduled, it has been instructed not to remove its cars and equipment from the country until the payment is made.
Statements From the Parties
Haas issued a statement confirming its intention to pay Uralkali the amount owed, stating that it is working with lawyers to ensure the payment complies with all relevant US, EU, UK, and Swiss sanctions against Russian companies;
“Haas intends to pay all amounts due to Uralkali pursuant to the arbitration award, and there is no dispute over the amounts due.” However, Uralkali have confirmed Dutch police enforcements have taken note of their equipment and all assets.”
Uralkali, however, disagrees that the sanctions are a valid reason for the delay, criticising Haas for not sticking to the arbitration ruling sooner. The Russian company issued a statement stating that they’re relieved that Haas is now taking the ruling seriously, urged the team to resolve the issue quickly so both parties can move forward;
“Haas has had over two months to implement the ruling, and, as was reported previously, Uralkali reached out to Haas’ representatives with options about how to make payment and where to send the race car, without ever receiving a substantive answer.
“There are not now and never have been any sanctions issues preventing Haas from fulfilling its obligations. Nevertheless, they have gone unfulfilled.
“We are delighted to hear that, following last night’s visit from Dutch authorities, Haas is finally paying attention to the arbitral ruling. Uralkali wants nothing more than to receive what it was awarded during a fair judicial process and hopes that Haas will move quickly to rectify the situation so that all sides can move on.”
Team Principal Ayao Komatsu has since stated, “I don’t see any issues” implying the situation is all under control.
Featured Image credit: Haas F1 Team
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