Changes in legislation

The Federal law of June 8, 2020 No. 171-FL introduced the amendments to the Arbitration Procedure Code of the Russian Federation (hereinafter “the Code”) providing the Russian legal entities and individuals under restrictive measures of foreign countries the right to transfer case from foreign courts to the Russian ones.

The following new articles were included in the Code:

Article 248¹. Exclusive competence for the arbitration courts of Russia concerning cases involving parties under restrictive measures.

Article 248². Prohibition to initiate or continue trials involving parties under restrictive measures.

Thus, the arbitration courts of Russia are endowed competence concerning the following cases:

involving parties under restrictive measures imposed by foreign countries, associations, unions or state institutions;

disputes between the Russian legal entities and individuals and foreign parties, if the ground is restrictive measures imposed by the foreign state.

Persons against whom lawsuits are filed or held in the foreign courts have a right to file to the domiciliary arbitration courts of the RF regions or courts local to them an application for prohibition of initiating or continuing cases in the foreign courts and international arbitration courts outside Russia.

The arbitration court of Russia has a right to deliver a judgement on recovering monies in favor of such applicants from those against whom this prohibition has been issued if they fail to comply with the judicial act. The amount of money recovered may not exceed the amount of claims in the relevant foreign courts and legal expenses of the party.

All arbitration cases in the section “Arbitration proceedings” or cases of a certain counterparty in the similar section of the company’s profile are available for the subscribers of the Information and Analytical system Globas.