Case Study: Enforcing Assigned Credit in a Cross-Border Finance Dispute

Introduction

A prominent Turkish export credit institution sought legal representation to enforce a commercial debt obligation exceeding $130,000 arising from an international financing arrangement. The dispute centered around the collection of a claim assigned by a supplier to the financial institution, involving an Algerian importing company. The matter was handled in close collaboration with our international network partner in Greece.

The Challenge

The case presented a high-stakes legal scenario: enforcing a claim before Algerian courts in the absence of an invoice issued directly by the assignor, thus requiring robust legal reasoning to uphold the validity of the assigned credit. Navigating Algerian civil procedure and judicial expectations while defending a foreign financial institution’s rights required strategic litigation planning and familiarity with international debt recovery instruments.

Our Strategy

Fares Legal deployed a targeted litigation strategy designed to uphold the creditor’s legal standing despite evidentiary gaps. Our team:

  1. Validated the Assignment: Demonstrated the enforceability of the assigned claim through legal documentation and jurisprudential references.
  2. Structured Legal Argumentation: Presented a coherent case anchored in Algerian law and the principles of international assignment of credit.
  3. Court Advocacy: Engaged with the judiciary to secure recognition of the foreign creditor’s rights without the need for primary supplier invoices.

The Result

The Algerian court ruled in favor of our client, ordering the full recovery of the claim amount along with damages. This outcome reinforced the credibility of assigned-credit-based financing in Algeria and secured our client’s financial interests without compromising international commercial relations.

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2025 | Master the Legal Landscape of Algeria

Looking to establish or expand your business in Algeria?

Gain clarity on the country’s legal environment with this 65-page guide that covers the essentials:

Legal frameworks, Taxation, Permits, Trade rules, IP protection, and Dispute resolution.

Master the Legal Landscape of Algeria
2025

Looking to establish or expand your business in Algeria?

Gain clarity on the country’s legal environment with this 65-page guide that covers the essentials:

Legal frameworks, Taxation, Permits, Trade rules, IP protection, and Dispute resolution.