Dmitry Uryakin has analysed for DP the court practice of disputes between businesses and officials in St Petersburg

Dmitry Uryakin - Senior Associate

According to Electronnoe Pravosudie (Electronic Justice) information base Smolny`s committees appeared as plaintiffs and defendants in 3.6 thousand commercial disputes in 2023. This is about 10% more than in 2022 – then officials participated in 3.3 thousand processes.

Analysing the court practice, Dmitry Uryakin, Senior Associate, Head of General Business Law Practice at Maxima Legal, pointed to the preservation of the pro-state approach. “As before, courts are more loyal and lenient towards government agencies, more willing to forgive their representatives for mistakes and turn a blind eye to missteps,” the expert told Delovoy Peterburg newspaper. “Does this mean that officials are statistically more likely to win in court thanks to this? In my opinion, no. Rather, the percentage of victories is due to the fact that the lion’s share of their claims against defendants are of an indisputable nature (claims for rent collection, utility payments, etc.). It is not difficult to win in such disputes,” said Dmitry Uryakin. 

At the same time, according to Dmitry’s assessment, businesses should prepare for an increase in the number of disputes with government agencies this year. The economic situation remains difficult. The number of debtors who stop servicing debts to the state is increasing.

And business in such processes has a risk of being unheard.”A particular judge may have developed a stereotype over the years: a government agency does not sue anyone for nothing,” emphasised Dmitry Uryakin. For this reason, merchants should take a tougher approach to assessing the possible consequences of disputes with officials.And to try to resolve the dispute before the court, and if it is impossible, to try to disperse peacefully, concluding an appropriate agreement.

To read the full article (in Russian), please, see Delovoy Peterburg newspapwer`s website >>>