Lawyers evaluated Putin's initiative to get rid of security guarantees for executors of state contracts
Companies that did not have, during a period of three years, complaints against them concerning the execution of state contracts, should be free from having to make security guarantee contributions. Vladimir Putin personally presented such a proposal at the latest meeting of the Chamber of Commerce and Industry. The government was instructed to prepare the necessary amendments to the law on the contract system. The State Duma has expressed support for this initiative, but legislators are afraid of state customers facing financial risks upon the cancellation of major contracts and/or bankruptcy of the executor. Lawyers are predicting a decline of interest in public procurement contracts for new companies, and are arguing about contractor integrity criteria.
