Artur Zurabyan, Head of International Arbitration and Dispute Resolution Practice in ART DE LEX Law Firm, answers to the question by ITAR TASS whether Ukraine could challenge the agreement and gas markup

Ukraine may contest the gas markup from $ 385.5 to $ 485.5 for 1000 cubic meters, having referred to the International Court of Justice. Such opinion was voiced to ITAR TASS by the Head of Head of International Arbitration and Dispute Resolution Practice in ART DE LEX Law Firm, Artur Zurabyan.

"In order to challenge the gas markup, Ukraine, in fact, needs to contest the termination of the agreements on residency of the Black Sea Fleet since the grounds for discount are provided by them. Pursuant to the Vienna Convention on the Law of Treaties as of 1969, the competent tribunal in this case shall be the International Court of Justice. Thereby, the matter on lawfulness/unlawfulness with regard to the termination by Russia of the agreements on residency of the Black Sea Fleet will eventually bump into confirmation/disconfirmation of legitimacy of Crimea’s annexation into the Russian Federation", - views Zurabyan

"So, by reference to the provisions of the Vienna Convention, the issue on the ICJ’s competence over the dispute should be examined separately, as the provisions of the aforementioned convention do not stipulate the direct opportunity to submit cases to the ICJ’ jurisdiction", - notes the attorney.

As far as the gas contract is actually concerned, to Zurabyan’s mind, Ukraine may take the formal position and decline to make payment on new gas price. Should this happen, the very Russian party has to resort to arbitration for discharge of debts.