The Sofia Court of Appeal confirmed the decision of the Sofia City Court on commercial case No 6768/2015 which rejected as unfounded the claim of “Toplofikatsia Sofia” EAD against “BA Glass Bulgaria” AD (previously named “Drujba Glassworks” AD). The claims were grounded on Art. 59 of the Obligations and Contracts Act and related to payment of compensation for alleged unjustified enrichment in connection with the use of gas-pipeline diversion without payment of fees and any other remuneration.

The core of the dispute was whether our client “BA Glass Bulgaria” AD owes to “Toplofikatsia Sofia” EAD payment of transfer fees, minding that has settled its relations on the access and transfer of natural gas with “Bulgargas” EAD and pays to the public provider the transfer fees, legally determined by the Energy and Water Regulatory Commission.

Having carefully considered the relevant provision of law and the facts on the case, the court has indisputably established that “Toplofikatsia Sofia” EAD is not entitled to claims to our client, whereby in line with the Energy Act, it may seek relations settlement with regard to the usage of its facility with the public provider.

This decision creates undisputed case law based on the provisions of the Energy Act, which will benefit all users of gas-pipeline diversions, who have lawfully concluded transmission and access contracts and pay fees to the public provider, although the transmission is carried out through third-party facilities. These users will not be put in a position to pay twice the same fee for the same service.