TERMINATION OF CONTRACT BETWEEN CUSTOMER AND SUPPLIER IN COURT DOES NOT AUTOMATICALLY INCLUDE CONTRACTOR IN THE REGISTER OF UNSCRUPULOUS SUPPLIERS

For this purpose, significant violations of the terms of the contract by the contractor should be found

FAS Russia recalls that information about the supplier is subject to inclusion in the Register of Unscrupulous Suppliers if the contract between the customer and the contractor has been terminated by the  court due to violations of the essential terms of the contract concluded between them*.

However, the application of liability measures is possible only if there are conclusions that the violations committed are substantial. The court must state that the contractor has breached the essential terms of the contract.

Any other position may lead to infringement of the rights and legitimate interests of the contractor under the contract. It will allow, by default, to apply liability measures based on the termination of the contract, regardless of the reasons.

Arbitration Court of the City of Moscow and the Ninth Arbitration Court of Appeal confirmed the position of FAS Russia**.

* Article 5 of the Federal Law of July 18, 2011 No. 223-FZ

** Case No. A40-96409/23