Russian Claim for Indemnities

Russian Claim for Indemnities: Arrears of interest claimed by Russia in indemnities due individuals injured in the war or 1877-1878.
Emblem of the Permanent Court of Arbitration
Date of Award: 11 November 1912

This dispute concerned the commitment made by the Turkish government to indemnify the Russian subjects and institutions for the losses they suffered during the war of 1887-1878. Turkey’s pledge to pay indemnities was made in 1879, but the Turkish government did not discharge its debt until 1902. This delay in the payment led to Russia’s demand of moratory interest. The two governments entered into negotiations on this issue in 1902 and in 1910 the matter was submitted to arbitration.

The governments submitted two questions to the Arbitral Tribunal.  First, was the Turkish government bound to pay interest to Russian indemnities?  In the case of an affirmative answer to this question, the Tribunal was charged with determining the amount of interest owed to Russia. The Tribunal found that while moratory interest could be granted in principle, Russia had renounced its rights to interest through the actions of its embassy at Constantinople.

Russian Claim for Interest on Indeminities: Award


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