The Supreme Court of Russia Issued a New Ruling on Disputing Major and Interested Party Transactions
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Key takeaways:
- On 26 June 2018, the Plenary Session of the Supreme Court of the Russian Federation issued Ruling No. 27 on Disputing Major Transactions and Interested Party Transactions. The Supreme Court provided guidance on certain issues of applying new regulations to major and interested party transactions.
- The Supreme Court clarified that corporate shareholders, which are not formally interested in a transaction but at the same time are under control of an interested party, are not entitled to vote for the approval of such interested party transaction.
- The Supreme Court also stated that approval of an interested party transaction may be requested at any time both prior to and after entering into a transaction.