Law on Special Economic and Coercive Measures Amended

29 September 2023

Special economic and coercion measures were mentioned in Russian legislation in 2006 with the adoption of Federal Law No 281-FZ “On Special Economic Measures and Coercion Measures” dated 30 December 2006 (“Law”).

Special economic measures are applied when a set of circumstances arise that require an immediate response to an internationally unlawful act or unfriendly action by a foreign state or its bodies and officials that threatens the interests and security of the Russian Federation and (or) violates the rights and freedoms of its citizens.

The Ministry of Finance Has Softened the Conditions for Paying Dividends to “Unfriendly” Non-Residents

24 August 2023
On 23 August 2023, the Ministry of Finance of the Russian Federation has published on its website an extract from the minutes of the meeting of the Subcommittee of the Government Commission for the Control of Foreign Investment in the Russian Federation No. 182/5 dated 9 August 2023 (“Extract”). This Extract allows residents to pay dividends to foreign “unfriendly” creditors without complying with the conditions specified in paragraph 2 of the minutes of the meeting of the Subcommittee No. 171/5 dated 14 June 2023(«Conditions»). 

New Legal Requirements for User Registration on Internet Sites

08 August 2023

The President has signed a law which may have an impact on Internet users and website owners.

The Law amends the Act "On Information, Information Technologies and the Protection of Information" and the Act "On Communications". The law introduces new requirements for the owners of Internet sites and their users.

Liability for Failing to Provide Assistance to Military Commissariats During Mobilization May Increase

28 July 2023

The bill “On Amendments to the Code of Administrative Offences of the Russian Federation” regulating responsibility in the field of military registration (the “Bill”) was submitted to the State Duma of the Russian Federation back in 2019. On 25 July 2023, the Bill was adopted in the third reading and sent for approval to the Federal Council. The planned changes will affect both individuals liable for military service, and their employers.

The Government Commission Has Unified the Requirements for Transactions on Sale of Shares in Russian Companies and Payment of Dividends, Which Carried Out with Shareholders from Unfriendly States

17 July 2023

The Ministry of Finance of the Russian Federation published the Extract from the Decision of the Subcommission of the Government Commission for Control over Foreign Investments in the Russian Federation (the “Subcommission”) No. 171/5 dated 7 July 2023, which unifies and clarifies the requirements for deals on sale and purchase of stocks (shares) in Russian companies by persons from unfriendly states and payment of dividends to such persons. At the same time, the previously published Extracts from the Minutes of the Subcommission meetings No. 118/1 dated 22 December 2022 and No. 143/4 dated 02 March 2023 are no longer in force.

The table with the main criteria used by the Subcommission when considering the issue of approving transactions is set out in this update

Fifth Antitrust Package: Amendments and Updates

13 July 2023

Federal Law No. 301-FZ “On Amendments to the Federal Law “On Protection of Competition”” (the “Law”) was signed by the President of the Russian Federation on 10 July 2023 and will enter into force on 1 September 2023. As follows from the explanation note, the Law provides a set of norms aimed to improve antitrust regulation in the digital economic development. The main amendments of the fifth antitrust package you can find in this legal update.