Exemption from liability of participants in public procurement: balance of interests of the parties

Tyumen State University Herald. Social, Economic, and Law Research


Release:

2023, Vol. 9. № 4 (36)

Title: 
Exemption from liability of participants in public procurement: balance of interests of the parties


For citation: Zimneva, S. V., & Lukyanenko, M. F. (2023). Exemption from liability of participants in public procurement: balance of interests of the parties. Tyumen State University Herald. Social, Economic, and Law Research, 9(4), 122–137. https://doi.org/10.21684/2411-7897-2023-9-4-122-137

About the authors:

Svetlana V. Zimneva, Cand. Sci. (Jur.), Associate Professor, Department of Civil Law Disciplines, University of Tyumen, Tyumen, Russia s.v.zimneva@utmn.ru, https://orcid.org/0000-0002-5164-6982
Marina F. Lukyanenko, Dr. Sci. (Jur.), Judge, Western Siberian District Arbitration Court, Tyumen, Russia diplom7@mail.ru

Abstract:

A noticeable increase in the number of state (municipal) contracts concluded every year hinders the contractual obligations’ fulfillment due to various circumstances beyond the control of the supplier. The state supports the stable functioning of the public procurement system by establishing anti-crisis measures, in particular, the obligation to write off the amounts of penalties (fines, penalties) accrued to the supplier, according to the decree of the Government of the Russian Federation No. 783. This article discusses the grounds and conditions for writing off penalties under state (municipal) contracts and analyzes judicial practice. The purpose of the study is to analyze the grounds for writing off accrued and unpaid penalties (fines, penalties) under government (municipal) contracts, to identify problems and features of the application of grounds for writing off penalties under government contracts, and to determine the interests of participants in public procurement. Based on the analysis of the current legislation and law enforcement practice, it was concluded that the write-off of accrued amounts of penalties (fines, penalties) by legal nature is a case of releasing the supplier from civil liability for violation of its obligations. Such exemption from liability is provided at the subordinate level, ensures a balance of public and private interests with an indefinite period of validity.

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