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17
May
2016

Legal or contractual penalty – dispute resolved by the Supreme Court of the Russian Federation

The Civil Code establishes two types of penalties for untimely performance of obligations – contractual and legal.In practice, there appear disputes related to the different interpretations of the legality of reducing the size of legal penalties, agreed upon by parties to an agreement. According to one position, such a reduction is possible because of the discretionary nature of civil legislation. The second opinion holds that the legal penalty is a minimum amount due for the delay in the fulfilment of obligation, and therefore its reduction is not possible. Recently, the Supreme Court has eliminated the legal uncertainty in this matter when considering a specific dispute.
Alexander Sitnikov, Managing partner
Evgeniy Rodin, Partner, Head of "Resources. Industry. Restructuring"
19
April
2016

The Supreme Court is against illegal tax control over price levels

On 11 April 2016, the Judicial Chamber on Economic Disputes of the Supreme Court issued a ruling on Case No. A63-11506/14, and with that, sided with the taxpayer in a dispute with the tax authorities. The Supreme Court of the Russian Federation stated that the territorial tax authorities, within cameral and field tax audits, are not allowed to control the market price levels in transactions between related parties.
Alexander Sitnikov, Managing partner
Yuriy Ivanov, Head of Tax practice
24
February
2016

Disputes in IT: precedents set in 2015

In this analytical review, we present for your consideration information on the five most interesting legal disputes in the field of IT in the year 2015.

Alexandra Vasyukhnova, Partner, Head of Technology and Investment group
16
February
2016

Retail Generation: guaranteeing supplier should pay for electricity not demanded by buyers

On the right of retail electric power producers to recover from guaranteeing suppliers of unjust enrichment in the form of revenues received by the network from “surplus” electricity.

Alexander Sitnikov, Managing partner
Evgeniy Rodin, Partner, Head of "Resources. Industry. Restructuring"
Yuriy Tatarinov, Head of Energy practice
18
December
2015

Review of practice: Decisions of the Supreme Court of the Russian Federation on the Protection of Competition in 2015

We are nearing the end of 2015. Over the past year, the Supreme Court ruled on over 400 judicial acts related to violations of antitrust laws, and bringing companies to administrative responsibility for such violations. Some of the acts, the Supreme Court of the Russian Federation supported and confirmed by already existing legal positions, while for others, it formulated new approaches to certain issues of antitrust legislation. This research report consists of a description of the most significant and interesting, in our opinion, decisions made by the Supreme Court in 2015.
Alexander Sitnikov, Managing partner
24
November
2015

Unfair competition: precedents of 2014–2015

The Federal Law dated 05.10.2015 No. 275-FZ “On Amendments to the Federal Law – On Protection of Competition, and certain legislative acts of the Russian Federation”, better known as the “fourth antimonopoly package”, highlighted the issues of unfair competition in a separate chapter. This chapter contains a more detailed description of the forms of unfair competition, based on previous law enforcement practice of bringing legal entities to accountability for such violations. In this regard, we have analyzed court practice on the question of unfair competition for the years 2014–2015. This review presents the most interesting and principle decisions that can set the direction of future court practice on unfair competition.
Alexander Sitnikov, Managing partner
Alexandra Vasyukhnova, Partner, Head of Technology and Investment group
9
October
2015

The actual owner of the housing facilities should be responsible for paying for electricity

In Case No. A73-6824/2014, the Supreme Court considered a non-standard situation in which the supplier of last resort filed a claim for the recovery of electrical energy debts directly against the owner of the property, referring to the fact that the transactions involving the transfer of the said property, via a lease to a third party, had been recognized by the courts as invalid.
Alexander Sitnikov, Managing partner
Evgeniy Rodin, Partner, Head of "Resources. Industry. Restructuring"
27
August
2015

The adoption of VAT deductions in respect of compensation for the loss of electricity. Decision of the Supreme Court dated 29.07.2015

On 29 July 2015, the Judicial Panel on Economic Disputes of the RF Supreme Court issued a ruling on Case No. A51-5267/2013 and supported the position of the taxpayer – Artemovskaya Power Grid LLC, in a dispute with the tax authority about the possibility of making VAT deductions from the electricity purchased to compensate for losses. (This legal update is available only in Russian)
Yuriy Ivanov, Head of Tax practice
28
July
2015

Summer harvest of laws

In the final days of the spring session of & nbsp; the State Duma of the Russian Federation adopted a number of important laws,   issues relating to public   procurement and competition   regulation. This article provides an analysis of the key provisions of the said legislation. (This legal update is available only in Russian)
Alexander Sitnikov, Managing partner
9
July
2015

Special investment contract: novel amendment to Russian legislation

Federal Law dated 31 December 2014 No. 488-FZ “On industrial policy in the Russian Federation” provides for the establishment of a new institution to promote industrial activities in the Russian Federation – a special investment contract. (This legal update is available only in Russian)
Alexander Sitnikov, Managing partner
29
April
2016

FAS will not pay interest on illegal fine

The Supreme Court of the Russian Federation has confirmed that current legislation does not provide for the possibility of reimbursing interest on borrowed funds used to pay administrative fines unlawfully levied by the Russian Federal Antimonopoly Service.
Alexander Sitnikov, Managing partner
13
April
2016

Changes to the APC RF were made at the initiative of the Supreme Court of the Russian Federation

On 29 October 2014, the Supreme Court of the Russian Federation introduced to the State Duma a draft federal bill No. 638178-6 “On Amendments to the Arbitration Procedure Code of the Russian Federation and in the second part of the Tax Code of the Russian Federation”. The bill not only makes significant changes to the existing provisions of the Arbitration Procedure Code, but also offers an innovation, previously unknown in arbitration procedural law, the institute of summary procedure.
Alexander Sitnikov, Managing partner
Evgeniy Rodin, Partner, Head of "Resources. Industry. Restructuring"
17
February
2016

Changes to anti-offshore legislation in early 2016

On the 15th of February 2016, Russian President Vladimir Putin signed Federal Law No. 32 “On Amendments to Parts One and Two of the Tax Code and the Federal Law – On Amendments to Parts One and Two of the Tax Code (regarding the taxation of profits of controlled foreign companies and income of foreign organizations). “ This law amends existing Russian anti-offshore legislation. We present here the most interesting amendments, which should be taken into account when working with affiliated foreign companies and non-corporate tax planning tools.
Yuriy Ivanov, Head of Tax practice
21
January
2016

“To know everything” (Continued)

In 2014, the Astrel Publishing House, as the legal owner of the trademark “I want to know everything”, prohibited the AST-PRESS KNIGA Publishing House to publish a book in its “Baby’s Library” series that carried the working “I want to know everything” on its cover page. Astrel also sought to recover compensation for the illegal use of its trademark to the tune of 2.9 million rubles. However, the dispute over trademark “I want to know everything” continues.
Alexandra Vasyukhnova, Partner, Head of Technology and Investment group
8
December
2015

Unfair competition: discrediting, misleading, and incorrect comparison

Coming into force on 05 January 2016 will be a number of significant changes to the Federal Law of 26 July 2006 No 135-FZ “On Protection of Competition”, also known as the “fourth antimonopoly package”. Among the amendments was a change to the existing Article 14 of the Law on Protection of Competition – by the addition of the new Chapter 2.1, dealing with unfair competition. The new Chapter 2.1 of the Law on the Protection of Competition has seven distinct prohibitions on unfair competition, as well as points to the openness of the list of forms of unfair competition. This analytical review is devoted to three separate formulations of unfair competition, standing out as a result of the adoption of the new amendments – discrediting, misrepresentation, and incorrect comparison – as well as the court practice that preceded the amendments, and the possible effect of the adoption of these amendments on law-enforcement practice.
Alexander Sitnikov, Managing partner
23
November
2015

New developments in patent cases in pharma

In November 2015 the Arbitration court of Moscow region rejected the originator's patent claim against the local drug manufacturer. Following the decision of the Supreme Arbitration Court in well-known Imatinibum case in 2009 the Arbitration court of Moscow region decided that no patent infringement may occur prior to state registration of a pharmaceutical product. Furthermore, the court gave several potentially important interpretations of IP regulations applied to pharmaceutical products. The relevant conclusions of the court may influence the future development of IP practice in pharmaceutical sector in Russia.
Alexander Sitnikov, Managing partner
Alexandra Vasyukhnova, Partner, Head of Technology and Investment group
6
October
2015

Long-awaited novel amendments of the fourth antimonopoly package

On 05 October 2015, the Russian President signed Federal Law No. 275-FZ “On Amendments to the Federal Law – On Protection of Competition and Certain Legislative Acts of the Russian Federation”, also known as the “fourth antimonopoly package”. For several years, the fourth antimonopoly package was the focus of lively debate and subjected to numerous changes and adjustments. Its final version was the result of a compromise reached between the Federal Antimonopoly Service of the Russian Federation and the business community. Such a compromise in the fourth antimonopoly package largely explains the fact that, in some aspects, the antimonopoly regulations have been liberalized, while in others, they have been toughened. In this review, we will briefly analyse the key changes that were made to these regulations.
Alexander Sitnikov, Managing partner
30
July
2015

PPP Law: what's in a name?

July 1, 2015 the State Duma adopted a   the Federal Law "On public-private partnership, municipal-private partnership in the Russian Federation and the Introduction of Amendments to Certain Legislative Acts of the Russian Federation" regulates the relations connected with the preparation, conclusion and implementation of agreements on public-private and municipal-private partnership, establishes the authority of public law entities, public authorities and local governments in the fields of PPP and MPP, and also provides for changes in the legislation of the Russian Federation in terms of integration into a PPP agreement and MPP. (This legal update is available only in Russian)
Irina Nikolaeva, Junior associate, Energy practice
16
July
2015

The tri-zone version of a tariff does not violate the rights of the population

Ensuring uniform electric energy consumption by the population, taking into account the peak loads on the power grid in the mornings and evenings, as well as its significant reduction at night-time is one of the tasks of the state policy in the field of energy efficiency. (This legal update is available only in Russian)
Alexander Sitnikov, Managing partner
Evgeniy Rodin, Partner, Head of "Resources. Industry. Restructuring"
3
July
2015

Russian software to receive priority in state tenders

On 30 June 2015, the government published Federal Law dated 29.06.2015 No. 188-FZ “On Amendments to the Federal Law – On Information, Information Technologies, and Protection of Information” and Article 14 of the Federal Law “On the Contract System in the Procurement of Goods, Works, Services for State and Municipal Needs”.
Alexandra Vasyukhnova, Partner, Head of Technology and Investment group
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