LIA Welcomes French Court Ruling Rejecting Kuwaiti Al-Kharafi's Appeal

The Libyan Investment Authority (LIA) has welcomed a ruling issued on 1 October 2026 by France's Court of Cassation in its favour, rejecting an appeal filed by Kuwaiti company Al-Kharafi and upholding a judgment that voided seizure measures the company had taken against LIA assets in France.

The LIA said the case concerned seizure measures taken against it in a manner not provided for by law, and that it had not been informed of them until a later stage. Once it discovered the measures, the LIA stated it began all necessary legal proceedings to contest them and defend its rights, a process it said has now ended in a final ruling in its favour.

The authority said the ruling affirms the soundness of its legal position and the legality of its investments, and that its assets cannot be enforced against on the basis of an arbitration award to which the LIA was not a party. It added that the ruling confirms the absence of any contractual relationship or legal obligation linking it to the Kuwaiti company.

The LIA reiterated its commitment to pursuing all necessary legal measures to protect its assets and safeguard its rights in a manner serving the interests of the Libyan people.

The dispute dates back to a 2006 agreement under which Al-Kharafi was granted a 90-year lease to develop a tourism complex east of Tripoli, a project that collapsed after Libyan authorities terminated the construction licence in 2010 amid competing land claims. Al-Kharafi took the matter to arbitration and was awarded roughly $900 million in compensation in 2013, and has since pursued Libyan state assets in France, including those of the LIA and the National Oil Corporation, to enforce the award.