Peace Talks

Hi ZipLawyer! Today’s Memo:

🎙️ US-Russia peace talks
🚗 Tesla at a red light
💧 Thames Water Lifeline
🤝 Shoosmiths leads speedy deal
🎭 Kennedys, DAC, DWF lead on ceiling collapse claim
🙋 What are Heads of Terms?

Peace Talks?

What happens when two major powers discuss ending a war without the country actually at war? That’s the big question today as senior US and Russian officials meet in Riyadh for talks that the Kremlin claims could restore full US-Russia ties and end the Ukraine war—but Kyiv insists it won’t recognise the outcome.

Why is Ukraine refusing to take part? Ukrainian President Volodymyr Zelenskyy has made it clear: Kyiv wasn’t invited, wasn’t consulted, and won’t accept any deal made behind its back. He warned that “any negotiations on Ukraine without Ukraine” are meaningless—a sentiment echoed by European allies, who are increasingly alarmed.

Why is Russia so keen on these talks? For Moscow, this isn’t just about Ukraine—it’s about breaking out of Western isolation after years of sanctions and diplomatic exile. Framing these talks as a potential breakthrough, the Kremlin hopes to reset ties with Washington and push its own version of a settlement.

What’s the bigger concern? While some see these talks as a first step toward peace, others fear a backroom deal could force Ukraine into a settlement on Russia’s terms, cementing its territorial gains and undermining Western support. Meanwhile, Ukraine’s European allies are split, with tensions flaring over whether they should deploy troops on the ground to counter any weakening US commitment.

Red Light

Tesla’s self-driving ambitions in China are hitting a red light, with Beijing delaying approval for its Full Self-Driving (FSD) technology—and trade tensions with the U.S. aren’t helping. Once expected in Q2 2025, the licence now has no clear timeline, as Chinese regulators weigh it as a bargaining chip in negotiations with Donald Trump. Musk, who has personally lobbied Beijing, admits Tesla is stuck between U.S. and Chinese data laws, preventing it from training its AI where it needs to. Meanwhile, local rivals like BYD are pulling ahead, and with Tesla’s China sales slipping, FSD is seen as a crucial differentiator—but only if it gets the green light.

Thames Water Lifeline

With £19bn in debt and a March 24 cash crisis, Thames Water just got a £3bn lifeline approved by the High Court, buying itself a few more months before the next financial flood. The deal pumps in £1.5bn upfront, with another £1.5bn contingent on an appeal to hike customer bills beyond Ofwat’s 35% cap. Meanwhile, the court case turned into a creditor showdown, with Class A investors demanding 9.75% interest (yikes) and Class B offering a cheaper 8%, though no one’s sure if they can actually cough up the cash. Some MPs argued temporary nationalisation would be the better fix, but for now, Thames is still treading water—just with a fancier, more expensive life raft.

Shoosmiths leads speedy Pension Deal