Dmitry Uryakin commented to Pravo.ru on the prospects of a dispute over the return of budget funding in the Russian Supreme Court

This week, the economic panel of the Supreme Court of the Russian Federation will consider case No. A40-133808/2020, in which the state budgetary institution Mosremont is trying to recover RUB 32.2 million from Moskapstroyengineering JSC. In 2018, the defendant performed landscaping work that was accepted by the plaintiff and paid in full. A year later, an inspection revealed defects in the work and the client filed a claim with the court. The courts of three instances found no grounds to recover money from Moskapstroyengineering because the customer had signed an acceptance certificate. However, Mosremont points to clauses in the contract which allow the agency to invoke defects in the work identified as a result of inspections after the end of the contract period.

Analyzing for portal “Pravo.ru” the prospects of the case in the Supreme Court, lawyer of Maxima Legal Dmitry Uryakin noted that “the Supreme Court has consistently upheld the position that in cases related to return of budget financing, courts cannot give priority to private interests, limited to a formal indication of signing the acts of acceptance of works between the customer and the contractor. Therefore, it is likely that the case will be remitted for a new examination”.

To read the full article (in Russian) please visit Pravo.ru website >>>