The Supreme Arbitration Court of the Russian Federation clarified the problematic issues of awarding money to a claimant for non-execution of a judicial act

This resolution provides clarifications on the issue of awarding monetary funds to the recoverer for failure to comply with a judicial act. In particular, according to the published explanations of the Supreme Arbitration Court of the Russian Federation, it is necessary to be guided by the following. The legislation allows you to accrue interest for the use of other people’s funds, including on the amount awarded by the court. Satisfying the claim for the recovery of funds, the court awards the plaintiff the indicated interest on the entire amount to be recovered from the moment the judicial act enters into force until its actual execution. At the same time, the operative part of the judicial act states that interest is charged at the refinancing rate of the Bank of Russia, if the parties do not present sufficient arguments justifying an increase in the rate by a certain amount.

If the court has not considered the issue of awarding the specified interest, the recoverer has the right to file an application for the adoption by the court of an additional decision on this issue.

Even if the claim of the plaintiff is not monetary, the court has the right, in the operative part of the decision, obliging the defendant to perform certain actions or refrain from doing so, to award funds in case of non-execution of the judicial act. Moreover, the execution of the judicial act should be more profitable for the defendant than its non-execution.

Monetary funds awarded in case of non-execution of a judicial act are determined in a fixed amount, collected at a time, or in an amount accrued periodically. A progressive scale can also be set. For example, one amount for the first week, more for the second, and so on.

If the plaintiff did not demand the award of monetary funds in case of non-execution of the judicial act and, therefore, the court did not award them, and the court decision on the merits of the dispute is not enforced, the claimant has the right to submit to the court that made this decision an application for their recovery.

The defendant has the right to apply for a deferral or installment plan for the execution of a judicial act for valid reasons. Such a request can be made at any stage of the process, including before a court decision is made.

This resolution of the Plenum of the Supreme Arbitration Court of the Russian Federation is of great practical importance, since the issue of the execution of judicial acts is, at the moment, the most problematic in the interaction of economic entities with the judicial system.

28/04/2014