THE STAY OF ACTION IN OBLIGATION FAILURE CASES

At first sight, the stay of court action due to another trial, the results of which may affect the outcome of present requirements (cl. 1 p. 1 Art. 143 of the Arbitration Procedure Code of the Russian Federation), is not problematic. Both the doctrine and the arbitration practice claim that this regulation is aimed at ensuring legal certainty and compliance with the requirements of judicial prejudice and binding power of judicial acts. The authors analyse the possibility of using this institution when there are two parallel trials in fictitious transaction cases. They state that the direct application of the Plenum Regulation of the Russian Supreme Arbitration Court of July 23, 2009 No. 57, which is widely used in cases of improper fulfilment of contractual obligations, will certainly lead to violation of the party’s rights. The viable defence of the defendant, who believes that the obligations are properly fulfilled, cannot be ensured by a counterclaim or objections to the invalidity of these relations.