Real Estate. Land. Construction - Services - Infralex

Services Real Estate. Land. Construction

Advising on investments in capital construction, legal support for activity of developers, investors, contractors. Assistance in the registration of titles, real estate disputes resolution.


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Single system of real estate registration – step to sole subject

On the 1st of January’2017 the new Law “On the State Registration of Real Estate” (the Law) will come into force. The Law shall unify the Federal system of the state registration of rights to real estate and the State Real Estate Cadastre. The Law provides in Russia the single system of real estate registration – it was one of the main principles of the Civil Law Development Concept. In perspective the Law shall provide a background for implementation of another significant principle – superficies solo cedit. It means a sole real estate subject including parcel of land end every building upon it. Infralex attorney Irina Zimina analyzed the most substantial provisions of the new Law in the context of the judicial practice (see the attached file).


2016 – Legal results

On the eve of the New Year Infralex traditionally has summed up the outgoing year. Infralex partners Artem Kukin, Alexey Popov and Artur Rokhlin have named the most important events in the legal area. The passing year is not marked by new fundamental laws, substantial precedents, “trials of the century”. The more notable amendments to the Russian Law will come into force on the 1st of January’2017: the new Law “On the State Registration of Real Estate”, the Law on titles to a car-parking space, the new provisions for challenging of companies’ transactions. These laws significantly affect the fundamentals of the economy and the regulation.


Bankruptcy for shared construction participants and raiders

Infralex partner Artem Kukin has given his expert opinion in the special project “Bankruptcy” hosted by the website “”. The experts discussed the principal problems of bankruptcy in Russian such as inefficiency of the procedure, the impossibility of reestablishing debtor solvency, status of insolvency officer, difficulties in bringing controlling persons of debtors to subsidiary liability, cross-border bankruptcy issues. Artem Kukin gave the reasons for the weak protection of shared construction participants in developer's bankruptcy cases. Artem Kukin also believes that currently the risk of bankruptcy for raiding is increasing.


Economic decisions of the Russian Constitutional Court

Infralex took part in the newspaper “KommersantЪ”special project on choosing the most significant decision s of the Russian Constitutional Court in economic area. The decisions have been held for 25 years of the Court’s activity. The expert chose the 14 decisions related to taxes, right to housing, liquidation of companies, payment of damages to shareholders, courts of private arbitration. The today’s publication of the special project has been timed to the hearing of the case under the Ministry of Justice’s request. The Constitutional Court shall decide whether Russia must pay 1,9 bln euro compensation to formers YUKOS’s shareholders. The judgement about this compensation has been delivered by the European Court for Human Rights but the Russian Ministry of Justice believes that there are a number grounds for refusal to perform this judgement in Russia.


Value given clause stayed put

Infralex head of real estate practice Sergey Shumilov spoke yesterday at the conference“The Top-10 of Civil (Commercial) Cases” hosted by the newspaper “The Moscow Times”. A prominent dispute “Vimpelcom v. Tizpribor” concerning the office rental payments in respect of the growth of the dollar has got into the top ten of the outgoing year cases. Sergey Shumilov represented Tizpribor’s (an owner) interests in this litigation. In August the process completed with an amicable agreement of the parties. Yesterday Sergey Shumilov noted that in 2015-2016 this notable dispute wasn’t the only one related to the sharp growth of the dollar. The Russian courts dismissed every claim to apply the Article 451 of the Russian Civil Code and modify the terms of contracts. So the courts have confirmed their acceptance of the practice formed during the crises of 1998 and 2008.


Moscow ownership interest is out of the bankruptcy estate

Infralex head of real estate practice Sergey Shumilov has commented to the website “” on the case related to apportionment of Moscow participatory share in the house, built at an investment contract by the company which became insolvent (№ 305-ЭС14-5756). The courts of lower instances rejected to apportion a participatory share but the Russian Supreme Court remanded the case for a new trial. According to the Supreme Court, investment contracts with governmental units are regulated by the special rules. For this reason the Moscow participatory share in the house shall not be included in the bankruptcy assets of the insolvent company and can be transferred in kind.



Real estate market changes the regulation

Infralex Head of real estate practice Sergey Shumilov spoke yesterday at the conference “Real estate of the XXI century: Yesterday! Today! Tomorrow!” hosted by the Moscow Business-Club for the market leaders. The new Law “On the State Registration of Real Estate” coming into force on the 1st of January’2017 has aroused great interest from developers. Sergey Shumilov told that this Law provides unification in the new register of real estate the data from the two current registers – the State Real Estate Cadastre and the Unified State Register of Rights. According to Sergey Shumilov the transition period is fraught with serious risks because the information in the both abovementioned registers often has discrepancies.


Skyscraper «Mercury» reached out the courts

Infralex head of practice Sergey Shumilov has commented to the newspaper “KommersantЪ” on the litigations concerning the skyscraper “Mercury City Tower” construction in Moscow City. The courts in Moscow consider mutual claims of the Turkish developer “Rasen Stroy”, a general contractor of the project, and the main low level contractors – “Gartner”, “Thyssen Krupp Elevator” from Germany and “Yuanda” from China. “Rasen Stroy” claims from its contracting parties totally about 2 bln rub. in reply to the counter demands for debt for work performed by the low level contractors. The problems turned up in the period of the political conflict between Russia and Turkey which has been settled now. Sergey Shumilov believes that there’re some “management problems” inside “Rasen Stroy” itself. In June “KommersantЪ” reported about a criminal case against “Rasen Stroy” on the fact of 337 mln rub. tax evasion.


Privatization is about to take a hike in the wood

Infralex head of practice Sergey Shumilov has commented to the website “” on the case of a forest plot privatization (№ 306-кг16-7898). Tolyatti municipal authorities transferred to a commercial company a parcel of land occupied by health resort. The Federal Service For State Registration, Cadastre and Cartography (Rosreestr) revealed however that the parcel in question is in fact a parcel of forest land. Privatization of timber land is prohibited. The case has been considered by the Russian Supreme Court. According to Sergey Shumilov, there can be complicated collisions between forest organization and town-planning documents.

Does the limitation depend on good faith?

Infralex head of practice Sergey Shumilov has commented to the website “” on a peculiar case of limitation. The courts of lower instances refused to apply the limitation on the motion of the party which seemed to abuse the right. The cassation court cancelled this decision and noted that the limitation doesn’t depend on bona fide. Sergey Shumilov believes it’s dangerous to put the limitation in dependence on such the subjective factors as good faith, abuse of right.


Moscow shall adopt the Land-use Rules

Neat year Moscow shall adopt the Land-use and Development Rules which hasn’t been passed since 2010. These Rules can end the popular Moscow practice of infill construction. Moscow Deputy Mayor for Urban Development and Construction Marat Khusnullin stated that the Moscow Government planned to adopt the Rules until July’2017. The public discussion shall start in Desember’2016. Marat Khusnullin made this statement on the 26th of October at the X Moscow Real Estate Forum (MREF-2016). Infralex attorney Evgeny Pugachev took part in MREF-2016. 


Authorization of unauthorized structure requires title to land

Infralex head of practice Sergey Shumilov has commented to the website “” on the case of unauthorized structure authorization delivered by the Judicial Chamber on Economic Disputes of the Russian Supreme Court (№ 305-ЭС16-8051). The tenant of a parcel of land in Moscow claimed to authorize a building constructed on this parcel without the local building permit. The court dismissed the tenant’s claim, refused to authorized the structure and expressed for the first time the facts to be proven in such cases.

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Competition Law Advising on economic concentration and the application of antitrust legislation, legislation on advertising, on foreign investment in Russian strategic enterprises, on government procurement. Representation of the clients’ interests. Infrastructure. Transport. PPP Legal support for PPP participants by both private investors and public entities that is the Russian Federation, Russian regions, municipals, entitled state corporations and state companies. Concepts for infrastructure projects structuring. Corporate Law and M&A Advising on corporate relations in overall economy, legal support for transactions including ones under foreign law, legal due diligence, corporate disputes resolution. Tax Law Advising on Russian and international taxation, tax risks assessment,  representation in administrative and judicial disputes with tax authorities. Real Estate. Land. Construction Advising on investments in capital construction, legal support for activity of developers, investors, contractors. Assistance in the registration of titles, real estate disputes resolution. Insolvency (Bankruptcy) Advising on the insolvency (bankruptcy) legislation and procedures related to individuals and legal entities including banks and other financial institutions. Legal support for bankruptcy proceedings.
Dispute Resolution Representation of our clients’ interests in all instances of the judicial system, including in the Constitutional Court of the Russian Federation, arbitration proceedings, including in the International Commercial Arbitration Court under the Russian Federation Chamber of Commerce and international arbitration institutions. Criminal Law and Procedure Advising of our clients and their representation and defense in criminal proceedings for tax crimes and other cases of corruption and economic disputes. Intellectual Property Advising on intellectual property related issues, drafting of agreements, legal due diligence of intellectual property, patent and trademark dispute resolution including non-use cancellation actions, assistance in registration.