After almost 15 years of proceedings, the Vienna Commercial Court has vindicated the position of the Austro-Arab entrepreneur Mohamed Bin Issa Al Jaber in the legal dispute with Austrian Airlines.
Entitled to withdraw from an investment contract concluded in April 2008
The verdict of the Vienna Commercial Court of March 31, 2023, has vindicated the position of the Austro-Arab entrepreneur Mohamed Bin Issa Al Jaber in the legal dispute with Austrian Airlines (AUA), after almost 15 years of proceedings. The court ruled that Sheikh Al Jaber was entitled to withdraw from an investment contract concluded in April 2008 due to clear misconduct on the part of Austrian Airlines.
A lawsuit against Austrian Airlines to compensate for the business and reputational damage
The court not only dismisses the lawsuit for payment of 156.4 million euros plus 12.2% interest per year, which the Austrian Airlines (AUA) brought against Al Jaber in autumn 2008. In its detailed justification, the verdict also criticizes the behaviour and communication of the AUA management at the time as incorrect, misleading and in violation of market rules. In light of the verdict, Sheikh Al Jaber announced that he will file a lawsuit against AUA to compensate for the business and reputational damage his group of companies suffered as a result of AUA's baseless lawsuit in the course of the over 14 years of court proceedings.
The damage amounts to more than 1 billion euros
According to preliminary estimates, this damage amounts to more than 1 billion euros. According to Sheikh Al Jaber, a major share of the compensation he will seek would be dedicated to philanthropic activities of the MBI Al Jaber Foundation - e.g. to support universities and medical centers and to fund scholarships and to realize commercial investments in Europe which were previously hampered by the lengthy legal battle against AUA.