(MENAFN) Nayara Energy, India’s second-largest private oil refiner, has filed a lawsuit against Microsoft after the tech company suspended access to essential services, citing European Union sanctions.

In a statement on Monday, Nayara—partly owned by Russian energy giant Rosneft—accused Microsoft of restricting access to its own data and licensed tools without legal justification. The company argued that the decision was solely based on Microsoft’s interpretation of EU sanctions and warned that it sets a troubling precedent of corporate overreach.

The sanctions in question were recently imposed by the EU on Nayara’s Vadinar refinery, marking the first time an Indian refinery was targeted. These measures include bans on refined petroleum products derived from Russian crude. Rosneft has condemned the sanctions as both “unjustified and illegal.”

Nayara challenged Microsoft’s decision, noting that the sanctions apply only within the EU and that the U.S.-based tech firm has no obligation under American or Indian law to act on them. The company claimed it was given no advance notice or opportunity for dialogue.

On Monday, Nayara filed a petition in the Delhi High Court seeking an interim injunction and immediate restoration of Microsoft services, stressing the need to maintain digital operations to fulfill its obligations to Indian consumers and stakeholders.

MENAFN30072025000045015687ID1109861936