Russia loses embassy court bid

A 99-year lease was granted to Russia in 2008, but was withdrawn after laws were passed following advice from ASIO that it could pose a national security threat. Lawyers for the Russian Federation subsequently took the Commonwealth to the High Court, arguing the law was not supported by the constitution. In its judgment, the High Court unanimously agreed the Act was a “valid exercise of legislative power” under the constitution, which empowered lawmakers to enact legislation to acquire property on just terms. The Commonwealth was, though, ordered to pay half the cost of Russia’s legal fees, which Moscow had sought as a “fallback case”. Lawyers for Russia argued that, in ending the lease, Australia was not implementing any international sanctions as it might have been obliged to do. The Commonwealth argued the purpose of the Act was to remove “the national security threat” presented by Russia’s occupation of land so close to Parliament House. It had also argued it would be “incongruous” to pay compensation to a foreign state “because it terminated a lease held by that state in order to prevent a risk to the security of Parliament House that would otherwise be caused by that very state”. “It is neither fair nor just for Australia to compensate a foreign state in those circumstances,” they argued. Embassy site lay derelict Russia was granted a 99-year lease to the Griffith site in 2008, the same year it had a brief war with neighbouring Georgia. The embassy was intended to replace an ageing building nearby which it had occupied for decades, but has instead sat largely incomplete following disputes with a builder and the Covid pandemic. In 2023, the National Capital Authority failed in its bid to have the lease torn up in the Federal Court. Instead, Prime Minister Anthony Albanese introduced new laws to revoke the lease. In a press conference at the time, Mr Albanese said the government had “received very clear security advice as to the risk presented by a new Russian presence so close to Parliament House”.