Hungary loses suit against former airport operator

City

Hungary has lost a long-running court battle against Airport Development Corp. (ADC), the Canadian company that built and had a 12-year operating concession for Ferihegy Airport's terminal 2B until the end of 2001, daily Népszabadság reported, citing a London court decision. ADC, which held a 34% stake in Ferihegyi Utasterminál Fejlesztő Kft (FUF), the company set up in the mid-90's to run the terminal, filed a suit against Hungary in 2003, over "expropriation without compensation" after Hungary's Fidesz-led government unilaterally canceled FUF's operation in Dec 2001 and handed over the terminal's management to Budapest Airport Zrt. In the ruling handed down this Tuesday, Hungary was ordered to pay ADC Ft 17 billion-18 billion in damages within 30 days. The Hungarian government in July set aside a total Ft 70 billion for potential compensation in the lawsuit brought by the Canadian airport operator. (Népszabadság)

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.

Support the BBJ

Events