SMBC Aviation Capital has discontinued litigation against some of its insurers in an Irish court regarding aircraft stranded in Russia.
The terms of the commercial resolutions remain confidential.
"SMBC Aviation Capital has discontinued proceedings against certain of its insurers pursuant to commercial resolutions, the terms of which are confidential," a spokesperson said in an email to BestWire.
The aircraft lessor has also made progress with its remaining insurers, stating: "As confirmed in public hearings in Dublin on 26 March 2025, SMBC Aviation Capital has also reached commercial resolution in principle with its remaining insurers, with final orders to discontinue proceedings against them to follow."
This development follows a similar move by another aircraft lessor, Air Lease Corp., which recently announced a partial settlement of $328.5 million with insurers over aircraft stranded in Russia.
Air Lease Corp. will record this amount as an insurance recovery in its first-quarter 2025 financial statements, according to its filing with the U.S. Securities and Exchange Commission.
Air Lease Corp.'s California litigation continues against a majority of insurers under a contingent and possessed insurance policy as the company seeks to recover losses related to aircraft detained in Russia.
SMBC previously secured a whooping $710 million settlement with a Russian insurer in October 2023 for insurance and reinsurance claims related to Russian airline Aeroflot. The settlement involved aircraft that SMBC had leased to the Russian carrier.
The recent settlements stem from legal actions initiated in 2022, when SMBC filed a lawsuit in the Irish High Court against 11 aviation underwriters, including Lloyd's Insurance Co. SA.
This lawsuit was part of a broader trend of legal actions by aircraft lessors against insurers following the Russia-Ukraine conflict.
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