https://intellectpro.ru/en/press/works/ en https://intellectpro.ru/DESIGN/SITE/img/logo_print_new.png https://intellectpro.ru/en/press/works/ 139 110 admin@intellectpro.ru intellectpro.ru https://intellectpro.ru/en/press/works/konfiskatsiya_v_grazhdanskom_protsesse/ Attorney Ksenia Ryabkina, Counsel at INTELLECT, comments on Alexander Krakowsky's article "The Reincarnation of Article 169 of the Russian Civil Code" One cannot but agree with the central thesis of A. Krakowsky's article: as of today, the... https://intellectpro.ru/en/press/works/konfiskatsiya_v_grazhdanskom_protsesse/ 2025-05-26 https://intellectpro.ru/en/press/works/intellectual_property_lost/ I Inroduction In 2025 it will be 3 years since many foreign companies left Russian market. Some departing businesses are facing various difficulties related to the exit from Russia: interaction with government agencies, corporate relations, asset management, etc. Among other things, IP risks seem to be underestimated. For example, according to Russian trademark laws, if a trademark has not been used for 3 consecutive years, its protection may be terminated due to non-use. Many international brands have not been carrying any business in Russia since 2022. As a result, they now may be at risk of losing their intellectual property in Russia. We offer for your attention a short guide in relation to IP-related risks of businesses that left Russian market. II Problem described After withdrawing from Russia, many foreign companies stopped monitoring the protection of their Russian intellectual property. This omission can lead to the loss of certain IP rights or even their seizure by third parties (ldquo;patent trollsrdquo;). For example, if a patent troll seizes the intellectual property of a foreign rights holder, it may lead to the termination of imports of the foreign companyrsquo;s goods into Russia. In several examples below, we will discuss the risks of neglecting intellectual property still registered in Russia and the measures one can take to protect onersquo;s interests. CASE STUDY No. 1: Loss of a Trademark (and of ability to import original goods) According to Article 1486 of the Civil Code of the Russian Federation (CC RF), trademark protection may be terminated at the request of an interested party if the trademark has not been used in Russia for more than 3 years. A foreign company left the Russian market more than 3 years ago, and the use of its trademark in Russia ceased. A Russian company filed an application with RuPTO (the Russian patent and trademark office) to register the same trademark. After that, it sent the foreign company a pre-litigation demand to relinquish its rights to the trademark on the grounds of non-use. Having received no response after two months, the Russian company filed a lawsuit under Article 1486 of the Civil Code of the Russian Federation, seeking early termination of trademark protection for the foreign companyrsquo;s mark in Russia. The foreign company was unable to present any evidence of importing its goods into Russia during the last three years (as there were none). So the court ruled to terminate the legal protection of its trademark prematurely. This mechanism allowed the intervening Russian company to register the trademark in its own name. Subsequently, the Russian company entered this newly registered trademark into the Customs Register for import protection. As a result, the foreign company (original trademark owner), its distributors, and any other interested parties lost the ability to import the original goods of the foreign company into Russia. RECOMMENDATIONS Under Article 1486 CC RF, a trademark may be cancelled for non-use no earlier than 3 years from the date of its registration. However, registering identical trademarks is prohibited, which prevents registering an identical mark under onersquo;s own name simply to avoid cancellation. We recommend, before the 3-year period from the date of withdrawal from the Russian market expires (or as soon as possible if it has already expired), to file a new trademark application with RuPTO for a mark that is not identical but slightly different from the currently registered one. If possible, it is preferable to file such an application on behalf of another company within the rights holderrsquo;s group of companies. Registering this new trademark will start a fresh 3e-year period of possible non-use. Consequently, cancelling the first trademark becomes pointless for a patent troll. In this way, an unused brand can remain legally protected for future period. CASE STUDY No. 2: Loss of an Internet Domain and Losing the Russian Segment of the Internet A foreign company left the Russian market. Its former general distributor in Russia ceased operations. While active this general distributor used to own popular at the time Russian-language websites within .RU domain. The domain name address included the name of that foreign company. Because payment to renew the domain name registration was not made on time, the relevant domain name became available, and a competitor used an opportunity and registered it. The competitor then linked this domain name with its own website featuring competing products, therefore unfairly benefitting from the reputation of the foreign company and its former website, which was well-indexed in the Russian segment of the Internet. Meanwhile, the original owner foreign company lost the opportunity to resume its business operations using that domain name. RECOMMENDATIONS Registering a domain name in the .RU and .ĐÔ zones may require annual renewals to avoid the risk of losing it permanently. If the relationship with the former distributor and its management permits, we recommend arranging for the domain name to be transferred to the foreign company itself or its representative in Russia. The representative can then keep making the necessary payments and maintain the domain name registration for potential use. If there is no remaining connection with the former distributor or its management, other options may be found, based on the specific situation. Possible measures might range from re-registering the domain after it lapses to filing a lawsuit to have it transferred to the foreign company by a court order. If the trademark used in the domain name of the foreign company was not registered in Russia, it might be good idea to register iteven if the foreign company has left the Russian market. CASE STUDY No. 3: Loss of a Russian registered Patent and a Trademark Due to Non-Payment of Renewal Fees Patents for inventions, utility models, and industrial designs must be kept in force by periodic patent fees. If the fees are not paid within the prescribed deadline, the patent lapses (Article 1399 CC RF). A trademark registration must be renewed every ten years from the date of filing the application and every ten years thereafter (Article 1491 CC RF). If the relevant application for renewal is not submitted before the trademark expires and the fee is not paid, trademark protection ends, and another party may register it in their own name. A foreign company left the Russian market and did not renew either its Russian invention patent or a trademark. As a result, this trademark has been re-registered by a Russian company, making it impossible to regain those rights by the initial rights holder. Obtaining a new patent for the same invention is also impossible, since any new patent application would be found lacking novelty (given that the previous patent had been published). As a result, if the foreign company or its partners decide to have any business relations with Russian market, it would have above mentioned IP problems. RECOMMENDATIONS We strongly recommend to continue tracking the status of previously registered patents for inventions, utility models, industrial designs, and trademarks in Russia and to pay the necessary renewal fees to maintain rights and protection documents (patents, certificates). A qualified Russian representative can handle this. Fees can only be paid in rubles. Useful to note: Russian law provides additional grace periods during which rights can be restored and renewed after the initial term has expired. For patents on inventions, utility models, and industrial designs, this period is 3 years; for trademarks, it is 6 months. Therefore, if the standard renewal deadline has passed but the additional grace period has not, it is still possible to use that option to preserve onersquo;s legal rights. Our law firm is ready to accept instructions in all of the above scenarios and in any other situations to preserve or restore your intellectual property, as well as to assist with any other legal matters in Russia. https://intellectpro.ru/en/press/works/intellectual_property_lost/ 2025-03-20 https://intellectpro.ru/en/press/works/tsivilisticheskiy_sposob_myshleniya/ The other day, a client puzzled me with a question. He rents premises in an office center owned as a single real estate object by four co-owners with unequal shares. Accordingly, there are four lessors in the contract, and the monthly ... https://intellectpro.ru/en/press/works/tsivilisticheskiy_sposob_myshleniya/ 2025-03-07 https://intellectpro.ru/en/press/works/travma_na_korporative/ A wave of corporate events dedicated to March 8 is about to sweep across the country. And starting in May, companies will actively begin organizing summer off-site events: from simple barbecues after sitting in a stuffy office to specially p... https://intellectpro.ru/en/press/works/travma_na_korporative/ 2025-03-05 https://intellectpro.ru/en/press/works/narusheniya_nalogovikov_pri_blokirovke_scheta/ The termination of all outgoing transactions on a taxpayer's account by a bank at the instruction of a tax authority is one of the methods for securing the fulfillment of a tax obligation (para. 1, Art. 76 of the Russian Tax Code). Account ... https://intellectpro.ru/en/press/works/narusheniya_nalogovikov_pri_blokirovke_scheta/ 2025-03-03 https://intellectpro.ru/en/press/works/otvetstvennost_subsidiarnogo_dolzhnika/ Subsidiary liability refers to the responsibility of a person who is not a party to an obligation, in addition to the primary debtor's liability. Subsidiary liability arises in the following cases: The primary debtor refuses to satisfy th... https://intellectpro.ru/en/press/works/otvetstvennost_subsidiarnogo_dolzhnika/ 2025-02-25 https://intellectpro.ru/en/press/works/kak_fiksirovat_oshibki_sledovatelya/ How to address investigator errors and properly document them to ensure court acceptance of defense objections by Dmitry Zagainov, attorney and partner at law firm INTELLECT. Documentation is mandatory! When errors by an investigator are i... https://intellectpro.ru/en/press/works/kak_fiksirovat_oshibki_sledovatelya/ 2025-02-21 https://intellectpro.ru/en/press/works/nalogovye_narusheniya_prestuplenie_i_nakazanie/ Marina Mungalova, a lawyer at INTELLECT, examines current judicial approaches to the issue of holding executives liable for failure to submit accurate financial statements to tax authorities, delayed tax payments, or the inability to fully ... https://intellectpro.ru/en/press/works/nalogovye_narusheniya_prestuplenie_i_nakazanie/ 2025-02-20 https://intellectpro.ru/en/press/works/osobennosti_primeneniya_otstupnogo/ Settlement by compromise is one of the most flexible methods for terminating obligations. However, its practical application raises numerous questions: what instruments can be used as a settlement, what are the peculiarities of qualifying a... https://intellectpro.ru/en/press/works/osobennosti_primeneniya_otstupnogo/ 2025-02-19 https://intellectpro.ru/en/press/works/povyshennye_obyazatel_stva_rabotodateley_moskvy/ The Moscow Tripartite Agreement for 2025-2027 (hereinafter referred to as the "Agreement") was adopted on December 28, 2024, and published on the official portal of the Mayor and Government of Moscow on December 31. The Agreement imposes in... https://intellectpro.ru/en/press/works/povyshennye_obyazatel_stva_rabotodateley_moskvy/ 2025-01-17 https://intellectpro.ru/en/press/works/tsifrovye_valyuty_tsifrovye_prava/ More and more often the issue of legal regulation of cryptocurrencies is on the agenda, namely, the question of the nature of cryptocurrency and its content (property, liability or virtual), the principles of organization of the legal turnov... https://intellectpro.ru/en/press/works/tsifrovye_valyuty_tsifrovye_prava/ 2022-08-08 https://intellectpro.ru/en/press/works/parallel_nyy_import_v_novyh_usloviyah/ Polina Murygina, Associate INTELLECT Legalisation of parallel imports was among the retaliatory measures introduced by the Russian Government in order to reduce the burden of sanctions that affected all sectors of the Russian economy. Parallel import is ... https://intellectpro.ru/en/press/works/parallel_nyy_import_v_novyh_usloviyah/ 2022-05-12 https://intellectpro.ru/en/press/works/obzor_deystvuyushih_sanktsiy_v_otnoshenii_rossii/ In response to Russia's invasion of Ukraine, the international community - the USA, European Union, Great Britain, Canada, Australia and other countries - introduced broad packages of sanctions against it. Our INTELLECT team monitors the new restrictions ... https://intellectpro.ru/en/press/works/obzor_deystvuyushih_sanktsiy_v_otnoshenii_rossii/ 2022-04-06 https://intellectpro.ru/en/press/works/russian_counter_sanctions/ The president signed a broad range of decrees, according to which, enhanced restrictions are introduced on working with foreign bank accounts and payment systems. Moreover, some restrictive measures seem to be taken in order to complicate the efforts of international investors to divest their interests in Russian businesses and real estate. This article will further analyse these counter-sanctions and the effect these measures have on business. Polina Murygina, Associate INTELLECT Currency Regulations and other Economic Measures Due to the Decree of the President of the Russian Federation from February 28, 2022 N 79 "On the application of special economic measures in connection with the unfriendly actions of the United States of America and foreign states and international organizations that have joined them": a provision was introduced for the mandatory sale by Russian exporters of 80% of foreign exchange earnings under foreign trade contracts. This requirement also applies to the proceeds already credited to the accounts of resident participants in foreign economic activity starting from January 1, 2022; from March 1, 2022, residents (Russian legal entities and citizens, but not local branches of non-Russian entities) are prohibited from providing foreign currency in favor of non-residents under loan agreements and crediting foreign currency to their bank accounts outside the country, as well as making transfers without opening a bank account using ESP provided by foreign payment service providers; until December 31, 2022, PJSCs can acquire their shares subject to a number of conditions. Following the Decree N 79 - Decree of the President of the Russian Federation from March 1, 2022 N 81 "On additional temporary economic measures to ensure the financial stability of the Russian Federation" was introduced, aiming to restrict divestment of foreign investors from their Russian assets. Decree N 81 provides for, inter alia: from March 2, 2022, a special procedure, namely, obtaining approval by a special Government Commission, for making certain transactions with persons of foreign states that commit unfriendly actions, is introduced. A certain transaction may not be performed if a permission is not granted by the Commission. In particular, these transactions include the provision of credits and loans (in rubles) to foreign investors, as well as transactions that entail the emergence of ownership of real estate and securities; from March 2, 2022, a ban on the export of cash in foreign currency exceeding 10 thousand US dollars was also introduced. The introduction of a procedure, implying the need for permission, may complicate the efforts of international investors to divest their interests in Russian businesses and real estate. Nevertheless, currently not much can be predicted as the enforcement practice did not develop any positions on the topic. Further Rules on obtaining permits for the performance by residents of transactions (operations) with foreign persons were approved by the Decree of the Government of Russia from March 6, 2022 N 295. By means of Federal Law N 30-FZ from March 4, 2022 "On Amendments to the Federal Law "On Measures to Influence Persons Involved in Violations of Fundamental Human Rights and Freedoms, Rights and Freedoms of Citizens of the Russian Federation" and Article 27 of the Federal Law "On the Procedure for Departure from the Russian Federation and Entry into the Russian Federation", the list of persons subject to counter-sanctions has been adjusted. Now the latter includes citizens of any country, not only the United States, as well as stateless persons. Counter-sanctions include a ban on entry, seizure of assets, suspension of the activities of Russian branches of controlled organizations. Decree of the President of the Russian Federation of March 5, 2022 N 95 "On the temporary procedure for the fulfillment of obligations to certain foreign creditors" from March 5, 2022, established a special temporary procedure for the fulfillment of obligations to certain foreign creditors. Due to the named procedure Russian citizens and legal entities, as well as the state, its regions and municipalities having foreign exchange obligations to foreign creditors from the list of "unfriendly countries", will be able to pay them in rubles. The temporary procedure applies to payments exceeding 10 million rubles per month (or a similar amount in foreign currency equivalent). The Decree of the Government of the Russian Federation from March 5, 2022 N 430-r specified the list of "foreign states and territories committing unfriendly actions against the Russian Federation, Russian legal entities and individuals". The latter includes the following countries: Australia Albania Andorra Great Britain (including the island of Jersey (crown possession of the British crown) and controlled overseas territories - the island of Anguilla, the British Virgin Islands, Gibraltar) Member States of the European Union Iceland Canada Liechtenstein Micronesia Monaco New Zealand Norway The Republic of Korea San Marino North Macedonia Singapore United States of America Taiwan (China) Ukraine Montenegro Switzerland Japan Export and Import of Goods Due to the Decree of the President of the Russian Federation of March 8, 2022 N 100 "On the Application of Special Economic Measures in the Sphere of Foreign Economic Activity for the Purpose of Ensuring the Security of the Russian Federation" a ban and restrictions are introduced on the export from the territory of the Russian Federation and (or) the import into the territory of the Russian Federation of products and (or) raw materials according to the lists determined by the Government of the Russian Federation. This ban will take place until the end of 2022. What next? On March 10, 2022 the second government package of bills (N 84920-8, N 84923-8, N 84931-8, N 84933-8, N 84949-8, N 84991-8) in connection with sanctions was submitted to the State Duma, therefore, it can reasonably be assumed that the counter-sanctions measures will be broadened in the nearest future. Press reports state that an initiative on enabling imposition of "external administration" by a court order on organizations that are at least 25% owned by foreign persons of "unfriendly states" in case the latter cease operations in Russia, was approved. This initiative was designed in order to prevent bankruptcies and preserve jobs. At the same time, it may violate the rights of such organizations and actually prohibits international investors from leaving the market to comply with the sanction-regime introduced by the international community. Our team monitors the initiatives being considered and updates the counter-sanctions introduced on an everyday basis. We are always available for discussing the current events and providing support for our clients facing challenges due to the sanction and counter-sanction regimes. https://intellectpro.ru/en/press/works/russian_counter_sanctions/ 2022-03-22 https://intellectpro.ru/en/press/works/koronavirusnye_ogranicheniya_i_arenda/ The more numerous and stricter the government's anti-pandemic measures become from mandatory days off "on the house" and QR code feis kontrol to curfews and total lockdowns the more evident it is that all this is here to stay for quite a w... https://intellectpro.ru/en/press/works/koronavirusnye_ogranicheniya_i_arenda/ 2021-11-03 https://intellectpro.ru/en/press/works/onlayn_al_ternativy_razresheniya_sporov/ INTELLECT's Senior Associate Anatoly Zazulin analyses advantages and disadvantages Western ODR methods, arriving at an opinion that ODR, coupled with the budding "e-justice", may substantially relieve Russian courts and permit them to regain... https://intellectpro.ru/en/press/works/onlayn_al_ternativy_razresheniya_sporov/ 2021-10-14 https://intellectpro.ru/en/press/works/arendnye_otnosheniya_v_usloviyah_epidemii_1/ Due to the pandemic, in many regions of Russia, strict containment measures have been taken. Among other measures, various businesses (such as shopping malls, restaurants, hairdressers and even office buildings) have to stop operating for a ... https://intellectpro.ru/en/press/works/arendnye_otnosheniya_v_usloviyah_epidemii_1/ 2020-04-02 https://intellectpro.ru/en/press/works/covid_19_i_ispolnenie_dogovornyh_obyazatel_stv/ In Russia, a number of strict containment measures have been taken in connection with COVID-19 pandemic. Effectively, the country is in lockdown. Of course, these measures and the pandemic itself have an enormous influence upon other sphere... https://intellectpro.ru/en/press/works/covid_19_i_ispolnenie_dogovornyh_obyazatel_stv/ 2020-03-25 https://intellectpro.ru/en/press/works/kraudfanding_dlya_naroda/ On January 1, 2020, a new Federal Law No. 259-FZ (dated August 2, 2019) 'On the attraction of investments with the use of the investment platforms...' has come into force in Russia. This legislative act has already been named as 'the Law on... https://intellectpro.ru/en/press/works/kraudfanding_dlya_naroda/ 2020-01-30 https://intellectpro.ru/en/press/works/vvedenie_rezhima_sokrashennogo_rabochego_dnya/ Subject to specified provisions of the Labor Code of the Russian Federation, the employer has a right to introduce part time day (shift) and/or reduced week (art. 74 of the Labor Code of the Russian Federation). In this type of employment th... https://intellectpro.ru/en/press/works/vvedenie_rezhima_sokrashennogo_rabochego_dnya/ 2019-12-27