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High Court Reserves Judgment in Russia’s Canberra Embassy Lease Dispute

The court’s pending ruling will test whether the government can void a foreign embassy lease on security grounds without providing compensation under the constitution.

Overview

  • Russia’s High Court challenge centers on the constitutionality of a 2023 law voiding its 99-year lease on a prime Canberra site and its entitlement to just terms compensation.
  • Solicitor-General Stephen Donaghue argued that Australia need not compensate a foreign state for a lease it lost due to problems it caused itself and stressed parliament’s power to legislate for its own security.
  • Senior counsel Bret Walker SC told the court that confiscating land on pre-emptive national security grounds without compensation would breach constitutional property rights.
  • Five Russian officials, including ambassador-at-large Sergey Makarov, attended the hearing but declined to comment as the vacant site remains unusable until the court hands down its decision.
  • International law experts warn the outcome could set a precedent for how Australia balances national security concerns and constitutional compensation requirements for diplomatic land leases.