THE SUPREME COURT OF RUSSIA: INTERIM MEASURES CANNOT BE LIFTED BY ARGUMENT OF INCONVENIENCE

THE SUPREME COURT OF RUSSIA: INTERIM MEASURES CANNOT BE LIFTED BY ARGUMENT OF INCONVENIENCE

THE SUPREME COURT OF RUSSIA: INTERIM MEASURES CANNOT BE LIFTED BY ARGUMENT OF INCONVENIENCE
The participant of the debtor in the framework of the insolvency case of the latter applied to the court with a demand to terminate the interim measures imposed on the property of his company. The courts of three instances satisfied the claim, but the Supreme Court of Russia pointed out the incorrect application of legal norms.

The participant of the debtor in the framework of the insolvency case of the latter applied to the court with a demand to terminate the interim measures imposed on the property of his company. The courts of three instances satisfied the claim, but the Supreme Court of Russia pointed out the incorrect application of legal norms.

The applicant's arguments boiled down to the fact that the ban on the sale of real estate belonging to the debtor was an excessive measure.

The debtor did not take any action to withdraw assets, and the collateral prevents him from carrying out the economic activities.

When satisfying the application, the court of first instance referred to the violation of the balance of interests, since the seizure of property prevents the fulfillment of obligations to a third party not participating in the bankruptcy case.

The court of appeal, supporting a colleague, noted that the debtor was a large taxpayer, owned a large number of assets and did not take measures to alienate them.

The District Court agreed with the arguments of colleagues and upheld the rulings.

As for the position of the Supreme Court, it was radically different. The Economic Board noted that on the part of the debtor, dishonest behavior was noticed in the form of an attempt to hide information important for the case, and the very fact of some inconvenience due to the introduction of interim measures cannot become a reason for their cancellation (decision in case No. 302-ES21-523 dated May 24, 2021).

22.06.2021