Tangled situation with Mistrals

A tangled situation with the purchase of two naval ships continues. Time passes by, but Russia is still waiting for the French side to fulfill the provision of the contract and to start the process of Mistral transferring. A whisper goes round that sailors were going to the port of registration straight from the military test, but lawyers set about their work. Taking the treaty engagements into account, the contractor could pay the penalty ranging from €3 billion to €10 billion. Besides financial charges, the reputation of the French government could be seriously hurt. If Mistrals are not being passed, then a question about the reliability of France as an honest partner will come up. On the other hand, a current troublesome geopolitical situation and future security issues of Eastern Europe are at stake. Representatives of the parties are carefully studying the contract details and do not hurry to draw final conclusions using formalities as cover. According to the contract terms, it is possible to extend time of delivery without imposing any fine sanctions up to a maximum period of three months. So, France still has some time. However, the Russian side has already prepared an appeal to the international arbitration, and at the end of permissible period it is going to seize the court immediately. Representatives of the contractor claim that Moscow could count on compensation in amount of nearly €3 billion. The part of the amount includes the cost of Mistrals (€1.2 billion), plus additional €800 million for each ship. Ordering customer is sure that the penalty on the contract could reach nearly €10 billion.