In February 2024, the Supreme Court of the Russian Federation ruled for the first time on the criteria by which the possibility of bankruptcy of a foreign legal entity in Russian courts should be assessed.
The publication Pravo.ru gathered expert opinions on the new criteria for the bankruptcy of "foreigners" in Russia.
In her commentary, Managing Partner of VLawyers, Natalia Dvenadtsatova, noted that
"The Supreme Court of the Russian Federation left unanswered the question of whether secondary proceedings in a cross-border bankruptcy case in the Russian Federation will be coordinated with the main proceedings in a foreign jurisdiction; whether foreign creditors of the debtor will be able to participate in the secondary bankruptcy case of a foreign debtor in the Russian Federation, given that 'the purpose of initiating such a procedure is to ensure the protection of the interests of Russian creditors'."
For more details on the criteria for bankruptcy of "foreigners" and Natalia Dvenadtsatova's commentary, see the Pravo.ru website.