ARCHIVE FOR 2024 RUSSIAN
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Август 2024
CONTENT
Andrey Egorov What Happens to Ownership of the Leased Item if the Limitation Period for Leasing Payments Is Missed? The article substantiates that the credit nature of leasing and the secured nature of the lessor’s ownership of
the leased item prevent the application of any approaches developed in court practice with respect to leasing as
applied to rent. There are significant differences between the claims for the return of property transferred to the
lessee and the tenant (in a traditional rent contract, i.e. transfer of possession for a rent), as their purposes differ,
and this difference is predetermined by the different legal nature of leasing and rent.
The limitation period for the return of the leased asset is akin to a pledgee’s claim for foreclosure. The lessor takes
back the leased item for one purpose — to sell it at an auction or in another manner established by the parties
and to obtain satisfaction of its monetary claims. Thus, this right depends on the status of monetary settlements
between the parties.
If the lessor’s claims are current and outstanding, the limitation period for a claim for the return of the leased
asset shall be calculated from the date of the lessee’s breach of an obligation secured by the lessor’s title to the
property. If the lessor has missed the limitation period for the lease payments, the lessor can no longer recover
them from the lessee through (provided that the latter rises this objection). In this case, the lessor’s security
interest, which is obviously accessory in nature, also loses its basis.
The lessor’s security interest is to take the leased asset for itself in order to satisfy its claim against the lessee
from the proceeds of the sale. However, this interest cannot be realised, therefore, the satisfaction of the claim to
take away the leased object is legally meaningless. By virtue of clause 3 of art. 199 and art. 411 of the Civil Code
of the Russian Federation, the lessor will not be entitled to receive satisfaction from the said proceeds due to the
omission of the limitation period for recovery of the leasing debt. Having sold the leasing object, it will be obliged
to return its value in full to the lessee.
Keywords:
leasing, security interest, limitation on ancillary claims, concessionality of lessor’s claims for return of the leased asset upon termination of the agreement
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Aleksei Basharin Protection of Investor Rights When Adjusting Master Plans This article explores the issue of protecting the rights of land plot owners involved in construction projects
when changes are made to master plans. It specifically examines the types of damages that may arise
from such changes and the question of whether courts can assess the appropriateness of modifications to
the master plan. The article also analyses the different actions public authorities may take when altering
the master plan.
Keywords:
master plan, general plan, comprehensive plan, investment project, functional zoning, losses, compensation for decline land values, zoning, land use law
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Konstantin Kiktenko The ‘Walled Garden’ Doctrine In the article, the author has set out to reveal to the Russian reader the concept and practice of application of
the so-called ‘walled garden’ doctrine formed in the United States of America. It contributed to the growth and
development of the largest American IT corporations in the early days of their existence, granting them almost
absolute judicial immunity, but the time when they needed protection has passed, and the corporations themselves
have become so powerful that the question has arisen whether it is time to abandon absolute immunity and revise
the regulation of Internet platforms.
Keywords:
digitalization of law, private and public law, branches of law, principles of law, ‘walled garden’ doctrine, Internet platforms, Internet law, Internet liability
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Anatoly Borisov On the Generalisation of the Proportionate Price Reduction and Its Boundaries This paper analyses the trend towards generalising the institution of price reduction. The author examines various
approaches to the proportional reduction of price within the civil law remedies framework in foreign jurisdictions
and international sources of private law unification. Through comparative legal research, the author concludes
that the institution of price reduction should be included in the general part of the Russian Civil Code. It is also
suggested that proportionate price reduction be applied mutatis mutandis to divisible non-monetary obligations,
while also recommending limitations on the scope of this generalization through contract law.
Keywords:
proportionate reduction of price, civil law remedy, contract law, comparative law, synallagmatic obligation
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Maxim Marasanov, Rodion Grenaderskiy Lease with Option to Purchase: Terra Incognita of Russian Civil Law The article provides multi-faceted analysis of a lease with option to purchase, covering its scope of application and
legal nature. Authors demonstrate that treating a lease with an option to purchase as a mixed contract is incorrect,
contrary to the prevailing view in case law. Instead, authors suggest viewing it as a system of linked contracts of
lease and option. The article also considers some practical issues: the admissibility of the assignment of rights
from a lease with option to purchase; the status of the option when the owner of the leased property changes;
the consequences of the termination of the agreement; the moment of transfer of ownership when exercising the
option, etc. The authors come to the conclusion that the concept of related contracts is much more convenient for
market participants due to its flexibility.
Keywords:
lease with option to purchase, mixed contract, linked contracts, assignment of conditional right, option agreement
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Valerii Khludkov, Diana Mardareva Challenging a Transaction Made without a Spouse’s Consent: Application of Paragraph 2, Clause 3, Article 35 of the Family Code of the Russian Federation This study examines para. 2, clause 3, art. 35 of the Family Code of the Russian Federation, comparing its
version as of September 1, 2022, with the previous version. The article explores doctrinal perspectives on this
norm and its application in judicial practice. Historically, the norm allowed a spouse to invalidate a transaction
without considering the good faith of the counterparty who engaged in the transaction with the other spouse.
Judicial practice adhered to this literal interpretation, providing no protection for bona fide purchasers. However,
the updated version of the norm, effective from September 1, 2022, introduces a debatable change, linking the
invalidation of a transaction to the good faith of the counterparty. The authors argue that this change protects
both individual bona fide parties and the civil turnover as a whole. It is noted that judicial practice remains
inconsistent in interpreting the new version of the norm, though a recent ruling by the Supreme Court of the
Russian Federation is expected to clarify and resolve many contentious issues.
Keywords:
spousal consent, invalidation of the transaction, bona fide counterparty, stability of civil turnover
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