If the contract is changed or terminated in court, the court will be able to determine the date from which the obligations are considered changed or terminated
The corresponding amendments have been made to Article 453 of the Civil Code of the Russian Federation defining the consequences of the amendment and termination of the contract.
Under the new rules, the court considering the issue of amendment or termination of the contract will be able to determine in its decision the date from which contractual obligations are considered amended or terminated. Such a date is established by the court based on the substance of the contract or the nature of its amendment, but cannot be earlier than the date of the occurrence of the circumstances that served as the basis for the amendment or termination of the contract.
The previous version of paragraph 3 of Article 453 of the Civil Code of the Russian Federation provided that if the contract is changed or terminated in court, the corresponding consequences occur from the moment the court decision enters into force.
As the authors of the bill explained, the amendments are designed primarily for cases of contract changes based on Article 451 of the Civil Code of the Russian Federation (due to a significant change in circumstances). They will allow the court, if necessary, to recognize the obligation as changed immediately from the moment of a significant change in circumstances (that is, retroactively) and, thus, exclude the grounds for liability for subsequent violations of the contract committed for reasons beyond the control of the parties.
The amendments entered into force on July 24 and apply, among other things, to previously concluded contracts, provided that the obligations under them have not ceased and they have not been changed or terminated in court.
Recall that when concluding and executing a contract, changing its essential conditions is allowed only in cases provided for by Federal Law No. 44. Termination of the contract is allowed, including by a court decision (part 2 of Article 34, part 8 of Article 95 of Federal Law No. 44). At the same time, Federal Law No. 223 does not contain rules that exclude or restrict the possibility of changing the terms of the contract and its termination, including in court.
Document: Federal Law No. 347 of July 24, 2023