NIKoil Analyst, "The Time Of Court Battles Is Passing"

NIKoil analyst Gennadiy Krassovsky considers a ban on the resolution of commercial disputes in courts of general jurisdiction to be a positive step. When the ban, which may be imposed by the Russian Supreme Court, comes into force, courts will stop being used as a tool for property repartition, because the practice of acknowledging successful and profitable companies bankrupts will be no longer applicable. On October 10, the Supreme Court is expected to approve a resolution prohibiting courts of general jurisdiction to accept filing from shareholders in the judicial district of their residence and impose payment-ensuring restrictions on corporate assets. Only arbitration courts will have the authority to hear such cases and take restrictive measures, whereas courts of general jurisdiction will be allowed to try commercial cases in the district of issuer registration only.