LONDON: Vietnamese budget airline VietJet owes a leasing firm just over US$180 million in a dispute over four planes, London’s High Court ruled yesterday.

FW Aviation, part of London-based investment firm FitzWalter Capital, sued VietJet in 2022 over four Airbus A321 passenger jets, which were previously grounded in Vietnam.

The company had argued that VietJet was liable under the planes’ leases, which were terminated for non-payment of rent after air travel was curtailed during the Covid-19 pandemic.

VietJet’s lawyers said that FW Aviation had recovered possession of the four planes and argued that making the airline return the planes and pay would amount to a “double penalty”.

However, the high court ruled that VietJet owed FW Aviation US$181.8 million, the latest ruling in a dispute which has been playing out in courts in London, Hanoi and Singapore.

Last year, VietJet was granted permission to appeal against an earlier high court ruling that it was liable to FW Aviation, which will be heard next month.

“The airline has consistently fulfilled its financial obligations to dozens of banks and aircraft lessors supporting its fleet of hundreds of aircraft.

“The dispute concerning four aircraft is isolated and exceptional,” a VietJet spokesman said in a statement.

In a further statement today, VietJet said that in addition to its ongoing core appeal, it had requested a stay of execution and that no immediate payment was required.

LONDON: Vietnamese budget airline VietJet owes a leasing firm just over US$180 million in a dispute over four planes, London’s High Court ruled yesterday.

FW Aviation, part of London-based investment firm FitzWalter Capital, sued VietJet in 2022 over four Airbus A321 passenger jets, which were previously grounded in Vietnam.

The company had argued that VietJet was liable under the planes’ leases, which were terminated for non-payment of rent after air travel was curtailed during the Covid-19 pandemic.

VietJet’s lawyers said that FW Aviation had recovered possession of the four planes and argued that making the airline return the planes and pay would amount to a “double penalty”.

However, the high court ruled that VietJet owed FW Aviation US$181.8 million, the latest ruling in a dispute which has been playing out in courts in London, Hanoi and Singapore.

Last year, VietJet was granted permission to appeal against an earlier high court ruling that it was liable to FW Aviation, which will be heard next month.

“The airline has consistently fulfilled its financial obligations to dozens of banks and aircraft lessors supporting its fleet of hundreds of aircraft.

“The dispute concerning four aircraft is isolated and exceptional,” a VietJet spokesman said in a statement.

In a further statement today, VietJet said that in addition to its ongoing core appeal, it had requested a stay of execution and that no immediate payment was required.