Practices
Industries

The Withdrawal from The Russian Market Has Resulted in Multimillion-Dollar Lawsuits for IT-Companies

10 November 2023

Over the past two years, the number of arbitration disputes on the recovery of unjust enrichment from foreign IT-companies has increased significantly. For the period from 2022 to 2023, according to the Arbitration Case File, dozens of claims were filed by Russian legal entities against the largest foreign software manufacturers: IBM Eastern Europe/Asia LLC, Dell LLC, Hewlett Packard Enterprise LLC, and HP Inc LLC.

Decree On “Exchange of Blocked Assets” and Other Updates for Deals With Foreign Securities Has Been Signed

10 November 2023

Over the past two years, the number of arbitration disputes on the recovery of unjust enrichment from foreign IT-companies has increased significantly. For the period from 2022 to 2023, according to the Arbitration Case File, dozens of claims were filed by Russian legal entities against the largest foreign software manufacturers: IBM Eastern Europe/Asia LLC, Dell LLC, Hewlett Packard Enterprise LLC, and HP Inc LLC.

Changes of Control Criteria on EU Regulation

31 October 2023

On October 23, 2023, the European Commission issued updated Consolidated FAQs on the implementation of Council Regulation No 833/2014 and Council Regulation No 269/2014 regarding the definition of criteria for control of companies.

Restrictions on Transactions with Economically Significant Organizations May Be Cancelled

31 October 2023

On 20 October 2023, the draft law “On Amending Article 13 of the Federal Law 'On Peculiarities of Regulation of Corporate Relations in Business Companies that are Economically Significant Organizations'” was submitted to the State Duma. The Draft Law amends Federal Law No. 470 and cancels some restrictions for transactions aimed at obtaining direct control over ESO by Russian citizens and residents indirectly owning stocks/shares of ESO owned by a foreign holding company.

Russian Courts Began to Invalidate Transactions Made Without the Permission of the Government Commission

23 October 2023

On 14 August 2023 the Tenth Arbitration Court of Appeal invalidated a real estate purchase and sale deal completed without the permission of the Government Commission for Monitoring the Implementation of Foreign Investments in the Russian Federation (hereinafter referred to as the “Government Commission”). On 16 October 2023 the Arbitration Court of the Moscow District upheld the decision of the Court of Appeal, confirming the illegality of such transactions bypassing the procedure provided for by current legislation.

The Court Ordered for the First Time a Compulsory License for a Series of Pharmaceutical Patents on the Grounds of Lack of Use in Russia

05 October 2023

By its Ruling of 25.09.2023 in case No. A40-185112/2022, the Ninth Commercial Court of Appeal ordered the pharmaceutical company Vertex, the right holder of a series of patents for the drug Trikafta (INN: Ivacaftor+Tezacaftor+Elexacaftor, Ivacaftor), to grant a simple (non-exclusive) license to the Russian pharmaceutical company MIK under Article 1362(1) of the Russian Civil Code (insufficient use of patents).