Russian beer giant taking Carlsberg to court – Kommersant

Baltika Breweries has filed a lawsuit trying to keep Danish brewer Carlsberg from terminating a licensing agreement for the use of some popular brands in Russia, Kommersant reported on Sunday, citing relevant documents.

The government took temporary control of Carlsberg Group’s Russian unit Baltika in August, transferring the business to the Federal Property Management Agency. The Danish brewer has since said that it was shocked by the move and promised to take “reciprocal steps,” but has not taken any legal action so far.

According to Kommersant, citing a ruling by the Arbitration Court of St. Petersburg and Leningrad Region dated September 25, 2023, Baltika has requested prohibiting the Federal Service for Intellectual Property Rospatent from making any changes to contracts for the brands Tuborg, Kronenbourg, Seth & Riley’s Garage, Holsten and LAV.

In addition, Baltika has asked the court to stop Carlsberg from initiating a process in Denmark to terminate the framework license agreement. The Russian company explained the request by pointing out the potential significant losses it would suffer as a result of “the jurisdiction of disputes in Denmark and their termination.” The court has reportedly refused interim measures.

According to Kommersant, there is currently no information in Danish courts about possible Carlsberg claims regarding the cancelation of Baltika’s licenses.

Carlsberg was operating eight production facilities in Russia before announcing its exit from the country in March 2022 in the light of Western sanctions.

Last year, the group took a $1.5 billion write-down on its Russian Baltika subsidiary. Under the Russian presidential decree, the Danish brewer retained ownership of the unit but no longer has any control or influence over it.

For more stories on economy & finance visit RT's business section