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RESOLUTION OF THE PLENUM OF THE SUPREME COURT OF THE RUSSIAN FEDERATION AND PLENUM OF THE SUPREME ARBITRATION COURT OF THE RUSSIAN FEDERATION

of February 28, 1995 No. 2/1

About some questions connected with enforcement of part one of the Civil code of the Russian Federation

Due to the enforcement of part one of the Civil code of the Russian Federation the Plenum of the Supreme Court of the Russian Federation and the Plenum of the Supreme Arbitration Court of the Russian Federation decide to explain according to the procedure of judicial interpretation that:

1. Part one of the Civil Code of the Russian Federation * is enacted since January 1, 1995, except for provisions for which other terms of enforcement are established by the Federal Law "About Enforcement of Part One of the Civil Code of the Russian Federation".

Chapter 17 of the Code will be enacted from the date of enforcement of the Land code of the Russian Federation accepted by the State Duma of Federal Assembly of the Russian Federation.

Chapter 4 of the Code is enacted from the date of official publication of part one of the Code, that is since December 8, 1994.

Action of Art. 234 of the Code (acquisitive prescription) is extended also to cases when ownership of property began till January 1, 1995 and continues at the time of enforcement of part one of the Code.

2. According to Art. 2 of the Federal Law "About Enforcement of Part One of the Civil Code of the Russian Federation" since January 1, 1995 the regulations of the Civil Code of the Russian Federation of 1964 listed in this Article, and also the Laws of RSFSR "About property in RSFSR" and "About the companies and business activity" are acknowledged invalid (except st.st.34 and 35).

However the courts, Arbitration Courts (further - to courts) performing protection of the violated or disputed rights according to the jurisdiction of cases established by the procedural legislation should mean that the regulations of the laws recognized voided according to Art. 2 of the Federal Law called above are subject to application in case of the dispute resolution to those rights and obligations which arose before enforcement of part one of the Code.

3. Until reduction of the laws and other legal acts existing in the territory of the Russian Federation according to the Code part one the laws and other legal acts of the Russian Federation, and also the Basis of the civil legislation of USSR and the republics and other acts of the legislation of USSR existing in the territory of the Russian Federation are applied so far as they do not contradict the Code part one.

In case of the dispute resolution courts need to consider that to the rights and obligations of the resolution of the Plenum of the Supreme Court of the Russian Federation and the Plenum of the Supreme Arbitration Court of the Russian Federation which arose since January 1, 1995, the containing explanations on application of the legislation, are applied only in the part which is not contradicting the Code part one.

4. The Code parts one published before enforcement regulations of the President of the Russian Federation, the Government of the Russian Federation and the orders of the Government USSR applied in the territory of the Russian Federation on questions which according to part one of the Code can be regulated only by the Federal Laws are effective until enforcement of the relevant laws.

Taking into account this provision courts should mean that before acceptance of part two of the Civil Code of the Russian Federation or Federal Laws regulating the corresponding legal relationship, Regulations on deliveries of industrial goods and Regulations on deliveries of consumer goods approved by the resolution of Council of Ministers of the USSR of July 25, 1988 transport charters and codes, and also other legal acts and acts of the ministries and departments of the questions stated above are applied in the territory of the Russian Federation in the part which is not contradicting the Code part one.

5. In case of the dispute resolution, connected with organization and registration of legal entities after December 7, 1994, it is necessary to be guided gl.4 the first part of Kodeks, meaning that after the specified date the commercial organizations could be created only in organizationally - the legal forms provided by the this head Kodeksa.

Creation of legal entities, being the commercial organizations, after official publication of part one of the Code in other forms of business is considered as violation of the procedure for their education established by the law. Acts of registration of such legal entities by law shall be recognized invalid.

6. Since December 8, 1994 reorganization or liquidation of the legal entity can be performed only according to Articles 57-65 of the Code. Otherwise the decision on reorganization or liquidation of the legal entity, and also the act of registration of the legal entity created as a result of reorganization of other legal entity are recognized court invalid.

7. According to item 5 of Art. 6 of the Federal Law "About Enforcement of Part One of the Civil Code of the Russian Federation" regulations about the unitary enterprises founded on the right of operational management are applied to the unitary enterprises (individual enterprises, the companies of the trade-union, public, religious organizations, etc.) which are not in the state-owned or municipal property before their transformation to economic partnerships, societies or cooperatives (the Art. of the Art. 113, of 115, of 296, 297 Codes).

With respect thereto courts should consider that in case of insufficiency of property of such companies their creditors have the right to make claims to owners of property (founders of the companies) who bear subsidiary liability for debts of the unitary enterprises founded on the right of operational management.

8. In case of the dispute resolution it must be kept in mind that since December 8, 1994 the created earlier state and municipal companies have property on the right of economic maintaining and can dispose of the real estate only with the consent of the owner.

The transactions made by such companies without the consent of the owner after December 7, 1994 and directed to alienation of real estate or the order to them otherwise are insignificant (Art. 168 of the Code).

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