Representation in Arbitrazh Courts

Arbitrazh courts in Russia are state courts that hear commercial disputes between companies and individual entrepreneurs, as well as bankruptcy and disputes with state bodies. Despite the name, they are not private arbitration. A foreign company with a claim against a Russian partner, or defending against one, will usually meet its opponent in an arbitrazh court under the Arbitrazh Procedure Code (APK).

Attorney Elena Petrova, Moscow Bar, represents clients from the United States in these courts, from the pre-trial demand to enforcement of the judgment.

Structure of the Arbitrazh Court System

The system has four levels. Each region has a first-instance arbitrazh court. Appeals go to one of the arbitrazh appeal courts. Cassation is heard by the district arbitrazh courts. The Supreme Court's economic disputes chamber reviews selected cases.

Case files, hearing dates and judgments are published on kad.arbitr.ru, which allows a client abroad to follow the case online.

Bringing a Claim

Most money claims require a pre-trial demand and a 30-day wait before filing. The claim is filed electronically with evidence, proof that a copy was sent to the defendant and the state duty receipt.

A foreign claimant must show its legal status with a recent extract from its home registry, apostilled and translated. The attorney also prepares a power of attorney signed by the company's authorised officer. Small claims may be heard in simplified proceedings on written evidence, without oral hearings.

Defending Against a Claim

A defendant should file a written response before the preliminary hearing. It sets out objections, counter-evidence and, where relevant, a statement that the limitation period has expired. The court applies limitation only on the request of a party.

Other defence tools include a counterclaim, a motion for a court expert examination and a request to reduce a penalty. A foreign defendant may challenge jurisdiction if the contract refers disputes to another forum.

Review by Higher Courts

An appeal allows full reconsideration of facts. New evidence is accepted only if the party shows it could not present it earlier for valid reasons. The cassation court checks only the application of law and procedure.

Each complaint must identify concrete errors: evidence ignored, rules misapplied or procedural breaches. General disagreement with the result is not a ground for cancellation.

Collecting on a Judgment

After the judgment takes effect, the court issues a writ of execution. It can be sent to the debtor's bank directly or to the bailiffs. Bailiffs may freeze accounts, seize property and restrict the debtor's actions.

If the debtor has no assets, bankruptcy proceedings may be considered. In bankruptcy, recent transactions that harmed creditors can be challenged, and controlling persons may be held liable for the debts.

Interim Measures and Security

To prevent a defendant from moving assets during the case, the claimant can ask the court to freeze money or property. The request must show a real risk that enforcement will be impossible. The court may require security for possible losses to the defendant.

Instructing the Attorney

Send the contract, correspondence with the other side and a summary of the dispute. The attorney will assess the claim or defence and suggest the first steps.

The main channel of communication with the attorney is email: attorneypetrova1@gmail.com.