Sanctions 2025

EU Law and Practice Contributed by: Edward Borovikov, Laurens Engelen, Aurore Ancion and Semen Medvedkov, Dentons

before the CJEU courts in Luxembourg. The General Court is the first instance where one can file a case, and decisions made there can be appealed at the Court of Justice. Legal challenges have often resulted in the annulment of sanctions, with the courts citing various grounds such as lack of sufficient evidence, breaches of due process, imprecise justifications, fac - tual inaccuracies or infringement of the rights of the defence. It is important to note that the process is governed by strict deadlines and follows a detailed legal proce - dure. Moreover, legal representation of a sanctioned individual or entity, or the receipt of funds from frozen assets, may necessitate obtaining a licence from the national competent authority in the EU member state concerned. The complexity of these procedures and the legal nuances involved underscore the importance of the issue at hand. 4.2 Remedies The process of challenging an individual designation involves a legal examination of the reasons and evi - dence underpinning the initial listing decision. Should the court determine that the listing was not substanti - ated by the necessary legal standards or was based on insufficient evidence, it has the authority to annul the listing. This annulment effectively invalidates the decision that placed the entity on the sanctions list. The actual ability to claim damages for the harm caused by an unsubstantiated listing is complex and often depends on the specific legal framework gov - erning the sanctions regime. In many cases, the pos - sibility of claiming damages is limited or excluded, which means that financial compensation for losses such as frozen assets, lost business opportunities or reputational damage may not be readily available. Upon successful de-listing, the entity would regain control over previously frozen assets, including access to bank accounts and property. This restora - tion of access to financial resources is a significant step towards normalising the entity’s operations. 4.3 Timing The timeline for de-listing from sanctions can vary sig - nificantly based on a multitude of factors, including

the specific reasons for the sanctions and the legal and procedural avenues available for contesting them. Many cases average approximately one to two years from the initiation of legal proceedings to the final decision by the court. This duration is not fixed and can extend beyond the average, particularly in cases that are more legally or factually complex. The intrica - cies of each case, including the nature of the sanc - tions, the evidence presented and the legal arguments made, can all influence the time required to reach a resolution. Trade and export restrictions on services can be com - plex and are often subject to change due to geopo - litical events, international agreements and national security concerns. Countries such as Russia, Belarus, Iran, Libya and Syria have been subject to various and long-standing sanctions and restrictions. It is impor - tant to note that the specifics of these restrictions can be complex and may require a thorough review of the relevant legal instruments, which can include international sanctions, national laws and regulatory guidance. Russia and Belarus 5. Trade and Export Restrictions 5.1 Services In response to the conflict in Ukraine, the EU imposed significant sanctions on Russia and Belarus. These sanctions often include restrictions on the provision of certain services. The EU has imposed restrictions on services through several legal instruments, including Council Regula - tion (EU) No 833/2014 concerning restrictive measures in view of Russia’s actions in destabilising Ukraine, and Council Regulation (EC) No 765/2006 as regards Belarus. These Regulations have been amended mul - tiple times to include various service sectors, such as: • financial services; • energy-related services; • services related to military and dual-use goods; • crypto-asset wallets; • accounts or custody services;

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