Russia lost its lawsuit over the location in Australia where the embassy was planned to be built. The country's Supreme Court ruled in favor of the government, returning the land to Canberra. In this case, Russia will receive compensation and Australia will pay half of Russia's legal costs.
“On Wednesday, the Supreme Court ruled in favor of the federal government, declaring the law valid. However, the court ruled that Russia is entitled to compensation and the government is also obliged to pay half of Russia's legal costs,” the SBS News article said.
The dispute started with the termination of the lease where the Russian embassy was planned to be built. After that, the Russian side went to court. The site was leased in 2008 for 99 years and in 2011 permission was granted to build an embassy. But in August 2022, the National Capital Authority (NCA) terminated the agreement – construction has not been completed within three years of receiving permission.
At first, federal courts ruled the terminations illegal, but Congress later passed a law allowing terminations for national security reasons. The Supreme Court approved this law. The Russian Embassy called Australia's action “an unprecedented and extremely undesirable step”.
