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Decree of the Plenary Session of the Supreme Commercial Court of 10 October 2011 № 71

In this Decree the Plenary Session of the Court has addressed a number of important issues of judicial practice relating to administrative offences. In particular, the Plenary Session held that:

  • if an individual entrepreneur has already lost this status after the commission of an offence, his case is nevertheless still falls within the jurisdiction of commercial courts;
  • - if an application of a public prosecutor with a view to imposing an administrative sanction upon a person has been dismissed by a court, the litigation costs shall be reimbursed by the Treasury;
  • litigation costs borne by the person relieved from an administrative sanction due to the insignificance of his offence shall not be reimbursed;
  • what may and what may not count as a lasting offence (for example, the failure to fulfill an obligation by a certain date may not be regarded as such);
  • in which cases it is possible to apply to a court at the place of the commission of an administrative offence; - whether legal holidays may be added to the terms provided for submitting an application to an appellate court;
  • if the infringer is not an owner of the things which served as an object or an instrument of his offence, such things may not be forfeited;
  • qualification of a certain conduct given by a court of general jurisdiction when considering an administrative offence is not binding upon a commercial court if the latter should subsequently give its own qualification of the same (for instance, when in the first place a natural person is brought to a court of general jurisdiction and subsequently a legal entity is sued in a commercial court in connection with the same offence);
  • which offences should be regarded as homogenous and thus aggravate the sanctions in case of the repeated commission of such offences;
  • even a partially executed decision on the imposition of administrative sanction may not be executed beyond the limits of the periods of limitations; - an application challenging a decision of an administrative body to impose sanctions upon a foreign person, not having a registered address or domicile in the territory of the Russian Federation, shall be submitted to the commercial court at the location of the administrative body which took the contested decision.

Practical consequences: the Judgment says that prior court decisions in analogous cases if inconsistent with these interpretations may be reversed in the procedure and within the limits envisaged by Art 311 of the Commercial Procedure Code.

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