Indemnity under the Russian law: practical notes

When making a contract there is always a risk that something will go wrong and cause loses to one of the parties. The Anglo-American law provides at least 2 methods to distribute such risks: warranties and indemnities. Among other alterations made in the Russian Civil Code in 2015 was a new Clause 406.1 on indemnification of losses which is very similar to its Anglo-American prototype – indemnity. In this article, we tried to summarize if Russian law borrowed this concept in full.
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Implementation of Representations in Russian Law

Just a few years ago, investment and M&A transactions were executed mainly under English law, largely due to the lack of legal regulation of the aspects relative to such transactions in Russia. However, the situation has changed, and nowadays we see a growing number of investors and start-ups working under Russian law. One of the reasons for this is an implementation of some of the well-accepted institutions of English law into the Russian legal system. Thus an article on representations (431.2) («заверения об обстоятельствах») appeared in the Russian Civil Code (became effective) on June 1, 2015.

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