Chapter 1. General Provisions
Chapter 2. Monopolistic Activity. Unfair Competition
Chapter 3. Prohibition of Acts, Actions (Inactions), Agreements, Concerted Practices of Federal executive authorities, Public Authorities of the Subjects of the Russian Federation, Bodies of Local Self-Government, Other Bodies or Organizations Exercising the Functions of the Above-Mentioned Bodies, as well as Public Extra-budgetary Funds, the Central Bank of the Russian Federation that Restrict Competition
- Article 15. Prohibition of Acts and Actions (Inactions) of Federal executive authorities, Public Authorities of the Subjects of the Russian Federation, Bodies of Local Self-Government, Other Bodies or Organizations Exercising the Functions of the Above-Mentioned Bodies, as well as Public Extra-budgetary Funds, the Central Bank of the Russian Federation that Restrict Competition
- Article 16. Prohibition of Competition-Restrictive Agreements or Concerted Practices of the Federal Executive Authorities, the Authorities of the Constituent Territories of the Russian Federation, Local Self-Government Bodies, Other Bodies or Organizations Exercising the Functions of the Above-Mentioned Bodies, as well as Public Extra-Budgetary Funds, the Central Bank of the Russian Federation
Chapter 4. Antimonopoly Requirements to Tenders and Peculiarities ofSelection of Financial Organizations
Chapter 5. Granting of State or Municipal Preferences
Chapter 6. Functions and Authorities of the antimonopoly body
Chapter 7. State Control over Economic Concentration
Chapter 9. Consideration of Cases on Violating the Antimonopoly Legislation.
Chapter 10. Concluding Provisions and Coming into Effect of this Federal Law
- Article 53. Concluding Provisions
- Article 54. Coming into Effect of this Federal Law

RUSSIAN FEDERATION

FEDERAL LAW

ON PROTECTION OF COMPETITION

Adopted by

the State Duma

on July 8, 2006

Approved by

the Federation Council

on July 14, 2006

Chapter 1. General Provisions

Article 1. Subject and Objectives of this Federal Law

1. The Federal Law determines organizational and legal basis for protection of competition including prevention and restriction of:

1) monopolistic activity and unfair competition;

2) prevention, restriction, elimination of competition by federal executive authorities, public authorities of the subjects of the Russian Federation, bodies of local self-government, other bodies or organizations exercising the functions of the above-mentioned bodies, as well as public extra-budgetary funds, the Central Bank of the Russian Federation.

2. Objectives of this Federal Law are to ensure common economic area, free movement of goods, protection of competition, and freedom of economic activity in the Russian Federation and to create conditions for effective functioning of the goods markets.

Article 2. Antimonopoly Legislation of the Russian Federation and Other Statutory Legal Acts on Protection of Competition.

1. The antimonopoly legislation of the Russian Federation (further on referred to as referred to as antimonopoly legislation) is based on the Constitution of the Russian Federation, the Civil Code of the Russian Federation and consists of this Federal Law, other Federal Laws regulating relations stated in Article 3 of this Federal Law.

2. Relations stated in Article 3 of this Federal Law may be regulated by Regulations of the Russian Federation Government, statutory legal acts of the Federal Antimonopoly body in cases directly provided for in the antimonopoly legislation.

3. If an International Treaty of the Russian Federation establishes different rules than those provided for by this Federal Law, the rules provided for by the International Treaty of the Russian Federation are applied.

Article 3. Sphere of Application of this Federal Law

1. This Federal Law is applied to the relations which are connected with protection of competition, including prevention and restriction of monopolistic activity and unfair competition and in which Russian legal persons and foreign legal persons, organizations, federal executive authorities, public authorities of the subjects of the Russian Federation, bodies of local self-government, other bodies or organizations exercising the functions of the above-mentioned bodies, as well as public extra-budgetary funds, the Central Bank of the Russian Federation, physical persons, including individual entrepreneurs are involved.

2. Provisions of this Federal Law are applicable to the agreements reached between Russian and (or) foreign persons or organizations outside the Russian Federation, as well as to actions performed by them, if such agreements are reached and actions are performed towards the fixed production assets in the Russian Federation and (or) intangible assets, or shares (stock) of economic entities, or right regarding commercial organizations operating in the Russian Federation, or otherwise affecting the state of competition in the Russian Federation.

Article 4. Basic Definitions Used in this Federal Law

The following basic definitions are used in this Federal Law:

1) goods –are the objects of civil rights (including work, service, and financial service) intended for sale, exchange or trade in another form;

2) financial service – is a banking service, an insurance service, a service in the securities market, a leasing service, as well as a service provided by a financial organization and connected with attracting and allocating funds of legal and physical persons;

3) substitute goods – are goods that can be compared by their functional purpose, application, qualitative and technical characteristics, price and other parameters in such a manner that purchaser actually substitutes or is ready to substitute one commodity with another in the process of consumption (including consumption for production purposes);

4) goods market – is an area of circulation of a commodity (including commodity of foreign manufacture), which cannot be substituted by another commodity, or substitute goods (further on referred to as referred to as a certain commodity), within the frames of which (including geographical frames) basing on economic, technical or other possibility, or expediency the purchaser can obtain the commodity and this possibility or expediency is absent outside its frames;

5) economic entity – is an individual entrepreneur, a commercial organization as well as non-commercial organization exercising activity bringing income;

6) financial organization – is an economic entity providing financial services: credit institution, credit consumer cooperative, insurer, insurance broker, mutual insurance association, stock exchange, monetary exchange, pawnshop, leasing company, non-governmental pension fund, management company of investment fund, management company of unit investment fund, specialized depositary of investment fund, specialized depositary of unit investment fund, specialized depositary of non-governmental pension fund, professional Participant of the securities market;

7) competition – is a rivalry between economic entities during which the independent actions of each of them exclude or restrict the possibility for each of them to influence unilaterally on the general conditions of circulation of commodities in the relevant goods market;

8) discriminatory conditions – are conditions of access to a goods market, conditions of production, exchange, consumption, purchase, sale, another way of transfer of goods, when an economic entity or several economic entities are placed at a competitive disadvantage in comparison with another economic entity or the other economic entities;

9) unfair competition – is any actions of economic entities (groups of persons) aimed at getting benefits while exercising business activity, contradicting with the legislation of the Russian Federation, business traditions, requirements of respectability, rationality and equity and which inflicted or can inflict losses to the other economic entities-competitors or harmed or can harm their business reputation;

10) monopolistic activity – is abuse by an economic entity, a group of persons of their dominant position, agreements or concerted practices prohibited by the antimonopoly legislation, as well as other actions (lack of action) recognized as monopolistic activity in accordance with the Federal Laws;

11) systematic implementation of monopolistic activity – is implementation of monopolistic activity by an economic entity exposed more than two times in three years in accordance with the procedure established by this Federal Law;

12) unjustifiably high price of a financial service, unjustifiably low price of a financial service – is the price of a financial service or financial services, which is established by a financial organization occupying a dominant position, and which differs considerably from the competitive price of a financial service and (or) impedes access to the goods market for the other financial organizations and (or) has negative impact on competition;

13) competitive price of a financial service – is the price for which a financial service can be provided in the conditions of competition;

14) coordination of business activity – is coordination of business activities of economic entities by a third person which is not included in one group of persons with any of such economic entities. Actions of a self-regulated organization on establishing conditions for access of its members to a goods market or withdrawal from the goods market, which are exercised in accordance with the Federal Laws, are not coordination of business activity;

15) antimonopoly body – is the federal antimonopoly body and its territorial offices; 16) acquisition of stocks (shares in the authorized capital) of business Partnerships – is purchase as well as gaining of another opportunity to exercise the voting rights given by the stocks of business Partnerships (shares in the authorized capital) on the basis of agreements on trust management, agreements on joint activity, contract of agency, other transactions, or on other grounds;

17) indicators of restriction of competition – are reduction in the number of economic entities, which are not included in one group of persons, in the goods market, increase or decrease in commodity price which is not connected with the relevant changes of other general conditions of commodity circulation in the goods market, refusal of economic entities, which are not included in one group of persons, from independent actions in the goods market, defining of general conditions of commodity circulation in the goods market by agreement between economic entities or in accordance with instructions of another person which are obligatory for fulfillment by them, or in the result of coordination of actions in the goods market by the economic entities not included in one group of persons as well as other circumstances creating opportunity for an economic entity or several economic entities to impact unilaterally on the general conditions of circulation of commodity in the goods market;

18) agreement – is a written understanding contained in a document or several documents, as well as verbal understanding;

19) vertical agreement – is an agreement between economic entities which are not competing with each other, one of which purchases commodity or is its potential purchaser and the other provides commodity or is its potential sellers;

20) state or municipal preferences means granting advantages to economic entities by the federal executive bodies, the authorities of the constituent territories of the Russian Federation, local self-government bodies, other agencies or organizations exercising the functions of those bodies, which put then in more advantageous conditions for economic activity, by transferring state of municipal property, other objects of civil rights or by providing property allowances;

21) economic concentration – is transactions, other actions, which fulfillment influences on the condition of competition

Article 5. Dominant Position

1. Dominant position is recognized when position of an economic entity (a group of persons) or several economic entities (groups of persons) in the market of certain commodity giving such economic entity (a group of persons) or such economic entities (groups of persons) an opportunity to have a decisive impact on the general conditions of commodity circulation in the relevant goods market and (or) to remove other economic entities from this goods market and (or) to impede access to this goods market for the other economic entities. The position of an economic entity (except financial organizations) is recognized as dominant:

1) whose share in the certain goods market exceeds fifty per cent if only in the course of examination of the case of violation of the antimonopoly legislation or in the course of exercising state control over economic concentration it would be established that despite the excess of the aforementioned quantity position of the economic entity in the goods market is not dominant;

2) whose share in the certain goods market is less than fifty per cent in case the dominance of this economic entity was established by the antimonopoly body proceeding from stable or subjected to insignificant changes share of the economic entity in the market as compared to the shares of its competitors in this goods market, opportunities for access to this goods market of new competitors, or proceeding from other criteria characterizing goods market.

2. The position of an economic entity (except a financial organization) whose share in the certain goods market does not exceed thirty five per cent cannot be recognized as dominant, except the cases stated in Part 3 and 6 of this Article.

3. The position of each of several economic entities (except financial organizations) is recognized dominant if all of the conditions below apply to the entity:

1) the aggregate share of not more than three economic entities, share of each of these exceeds the shares of the other economic entities in this market, exceeds fifty per cent, or the aggregate share of not more than five economic entities, the share of each of these exceeds the shares of the other economic entities in the relevant goods market, exceeds seventy per cent (this provision is not applied if the share of at least one of the aforementioned economic entities is less than eight per cent);

2) during a long period (during not less than a year or in case this period is less than a year during the period of the relevant goods market existence) the relevant sizes of such economic entities' shares are stable or subjected to insignificant changes, as well as access of new competitors to the relevant goods market is impeded;

3) the commodity sold or purchased by economic entities cannot be substituted with another commodity in the process of consumption (including consumption for production purposes), growth of the commodity price does not condition corresponding to such growth reduction in demand for this commodity, information about the price, conditions of selling or purchasing of this commodity in the relevant goods market is available to indefinite group of persons.

4. An economic entity has the right to provide evidence before court or antimonopoly body that the position of this economic entity in the goods market cannot be recognized as dominant.

5. The position of an economic entity - subject of a natural monopoly in a goods market, which is in a state of natural monopoly, is recognized dominant.

6. The Federal Laws can establish cases of recognizing as dominant the position of an economic entity whose share in the market of a certain commodity is less than thirty five per cent.

61. Based on the finding of its analysis of the state of competition, an antimonopoly body can find that an economic entity has dominant position if its share of the goods market is less than 35% and exceeds the shares of other economic entities in the relevant goods market, but the economic entity can exercise decisive influence upon the overall conditions of goods circulation of the goods market, provided the following conditions are observed in total:

1) an economic entity can unilaterally determine the level of goods prices and exercise decisive influence upon overall conditions of good circulation on the relevant goods market;

2) the entry of new competitors to the relevant goods market is made difficult, in particular, due to economic, technological, administrative or other restrictions;

3) the goods sold or bought by the economic entity cannot be substituted by other goods in consumption (including consumption for industrial purposes);

4) changing prices of the goods does not cause an appropriate decrease of demand for the goods.»;

62. An antimonopoly body can find that an economic entity has dominant position on the grounds specified in Part 61 of this Article, if the antimonopoly body did not find that the economic entity has dominant position on the grounds specified in Parts 1, 3 and 6 of this Article.

7. The conditions for recognizing as dominant the position of a financial organization (excluding a credit organization) are established by the Government of the Russian Federation taking into consideration the restrictions provided for by this Federal Law. The conditions for recognizing as dominant the position of a credit organization are established by the Government of the Russian Federation in agreement with the Central Bank of the Russian Federation taking into consideration the restrictions provided for by this Federal Law. The conditions for recognizing as dominant the position of a financial organization (excluding a credit organization) are established by the antimonopoly body in accordance with the procedure approved by the Government of the Russian Federation. The procedure of establishing the dominant position of a credit organization is approved by the Government of the Russian Federation in agreement with the Central Bank of the Russian Federation. The position of an business Partnership, whose share in the goods market of the Russian Federation does not exceed ten per cent in the single in the Russian Federation goods market or does not exceed twenty per cent in the goods market when the commodity circulating this market circulates as well in the other goods markets of the Russian Federation, cannot be recognized as dominant.

Article 6. Monopolistically High Price of Goods

1. Monopolistically high price of the goods is the price fixed by an economic entity with dominant position, if this price exceeds the sum of the necessary production and distribution costs of the goods and profit, and exceeds the price formed under competitive conditions in the goods market, with comparable composition of goods buyers or sellers, conditions of goods circulation, market entry conditions, government regulation, including taxation and customs-and-tariffs regulation (further on referred to a comparable goods market), if such a market exists in the Russian Federation or abroad, including the price fixed:

1) by increasing an earlier fixed price of the goods, provided the following conditions are met in their totality:

а) expenses necessary for producing and distributing the goods have remained the same or their change does not match the price change;

b) the composition of goods buyers or sellers remains unchanged or changes were insignificant;

c) conditions of the goods circulation on the goods market, including those caused by government regulation, including taxation and tariff regulation, have remained the same or their changes are disproportionate to the price change;

2) by maintaining or not decreasing earlier fixed prices, provided the following conditions are met in their totality:

а) expenses necessary for producing and distributing the goods decreased considerably;

b) the composition of goods buyers or sellers brings about a possibility to reduce the price of the goods;

c) conditions of the goods circulation on the goods market, including those caused by government regulation, including taxation and tariff regulation, bring about a possibility to reduce the price of the goods.

2. If the conditions specified in Part 1 Article 13 of this Law are met, monopolistically high price shall not be recognized if the goods are the result of innovative activities: activities resulted in creating new goods that do not have substitutes, or new goods that have substitutes but productions costs are decreased and (or) the goods quality is improved.

3. The goods price is not monopolistically high is it is fixed by a natural monopoly within the rates for such goods determined in accordance with the legislation of the Russian Federation.

4. Monopolistically high price shall not be recognized if it does not exceed the price formed under competitive conditions in a comparable goods market.

Article 7. Monopolistically Low Price of Goods

1. Monopolistically low price of the goods is the price fixed by an economic entity with dominant position, if this price is below the sum of the necessary production and distribution costs of the goods and profit, and is below the price formed under competitive conditions in the goods market, with comparable composition of goods buyers or sellers, conditions of goods circulation, market entry conditions, government regulation, including taxation and customs-and-tariffs regulation, if such a market exists in the Russian Federation or abroad, including the price fixed:

1) by reducing an earlier fixed price of the goods, provided the following conditions are met in their totality:

а) expenses necessary for producing and distributing the goods have remained the same or their change does not match the price change;

b) the composition of goods buyers or sellers remains unchanged or changes were insignificant;

2) by maintaining or not increasing earlier fixed prices, provided the following conditions are met in their totality:

а) expenses necessary for producing and distributing the goods increased considerably;

b) the composition of goods buyers or sellers brings about a possibility to increase the price of the goods;

2. Monopolistically low price shall not be recognized if:

1) is fixed by a natural monopoly within the rates for such goods, determined in accordance with the legislation of the Russian Federation;

2) it is not below the price formed under competitive conditions in the comparable goods market;

3) price fixing by the goods seller has not resulted or could not have resulted in restricting competition due to fewer economic entities, not members of the same group of persons with the goods buyers or sellers, operating in the comparable goods market.

Article 8. Concerted Practices of Economic Entities

1. Concerted practices of economic entities are the actions of economic entities in the goods market that meet both the following conditions:

1) the result of such actions meets the interest of each mentioned economic entity only on the condition that their actions are known to each of them in advance;

2) the actions of each mentioned economic entity are caused by the other economic entities’ actions and are not the consequences of the circumstances equally influencing upon all economic entities in the relevant goods market. Such circumstances, in Particular, can include change of the regulated tariffs, change in the prices for raw material used for the commodity production, change in the prices of the commodity in the world goods markets, significant change in commodity demand within the period not less than a year or within the period of existence of the relevant goods market if it exists for less than a year.

2. Implementation of actions on agreement by an economic entity is not referred to concerted practices.

Article 9. Group of Persons

A group of persons is a totality of physical persons and (or) legal persons that meet one or several of the following characteristics:

1) a business entity (partnership) and a physical person or a legal person if such physical person or such legal person has, due to its participation in this a business entity (partnership) or according to the authority given by the other persons, more than fifty per cent of the total vote related to voting stocks (shares) in the authorized (joint) capital stock of this business (partnership);

2) a business entity (partnership) where the same physical person or the same legal person has, due to its participation in this business entity (partnership) or according to the authority given by the other persons, more than fifty per cent of the total vote related to voting stocks (shares) in the authorized (joint) capital stock of each of these business entities (partnerships).

3) a business entity (partnership) and a physical person or a legal person if such physical person or such legal person exercises the functions of the sole executive body of this business (partnership);

4) business entities (partnerships) where the same physical person or the same legal person exercises the function of the sole executive body;

5) a business entity (partnership) and a physical person or a legal person if the physical person or the legal person basing on the articles of association of this business entities (partnerships) or on agreement concluded with this business (partnership) has the right to give this business entity (partnership) determinations obligatory for execution;

6) business entities (partnerships) in which the same physical person or the same legal person has the right on the basis of the articles of association of these business entities (partnerships) or agreements concluded with such business partnerships to give such business entities (partnerships) obligatory for execution;

7) a business entity (partnership) and a physical person or a legal person if on such physical person’s or such legal person’s proposal the sole executive body of this economic unity was appointed or elected;

8) a business entity (partnership), whose sole executive body was appointed or elected upon a proposal of the same physical person or the same legal person;

9) a business entity (partnership) and a physical person or a legal person if on such physical person’s or such legal person’s proposal more than fifty per cent of the quantitative membership of the collegial executive body or the Board of Directors (supervisory board) of this business entity (partnership) was elected

10) business entities (partnerships) where more than fifty per cent of the quantitative membership of the collegial executive body and (or) the Board of Directors (supervisory board) has been elected on proposal of the same physical person or the same legal person;

11) business entities (partnerships) where more than fifty per cent of the quantitative membership of the collegial executive body and (or) the Board of Directors (supervisory board) are the same physical persons

12) persons participating in the same financial-industrial group

13) a physical person, his spouse, parents (including adoptive parents), children (including adopted), own and step brothers and sisters;

14) persons, each of whom is included into a group with the same person, on any ground stated in Clauses 1-13 of the present Part, as well as all the other persons who are the members of a group with any of such persons, on any ground stated in Clauses 1-13 of the present Part.

15) an economic entity (partnership), physical persons and (or) legal persons, that are members of the same group of persons under any of the characteristics listed in Clauses 1 - 14 of this Part, if due to their joint participation in the business entity (partnership) or in accordance with the authority granted to them by other persons, such persons have more than 50% of the total voting shares of the registered (share) capital of the economic entity (partnership).

2. Prohibitions on actions (lack of action) of an economic entity, economic entities, established by this Federal Law are extended to actions (lack of action) of a group of persons.

Chapter 2. Monopolistic Activity. Unfair Competition

Article 10. Prohibition of Abuse of Dominant Position by an Economic Entity

1. Actions (lack of action) of an economic entity occupying a dominant position, which result or can result in prevention, restriction or elimination of competition and (or) infringement of the interests of other persons are prohibited, including the following actions (lack of action):

1) establishment and maintaining of monopolistically high or monopolistically low price for a commodity;

2) withdrawal of goods from circulation, if the result of such withdrawal is increase of price of the commodity;

3) imposing contractual terms upon a counteragent which are unprofitable for the latter or not connected with the subject of agreement (economically or technologically unjustified and (or) not provided for directly by the Federal Laws, statutory legal acts of the President of the Russian Federation, statutory legal acts of the Government of the Russian Federation, statutory legal acts of the authorized federal executive authorities or judicial acts, requirements for transferring financial assets, other property, including property rights, as well as consent to conclude a contract on conditions of including in it provisions, concerning the goods in which the counteragent is not interested and other requirements);

4) economically or technologically unjustified reduction or cutting off the production of goods if there is demand for the goods or orders for their delivery are placed and there is possibility of its profitable production, as well as if such reduction or cutting off the production of goods are not provided for directly by the Federal Laws, statutory legal acts of the President of the Russian Federation, statutory legal acts of the Government of the Russian Federation, statutory legal acts of the authorized federal executive authorities or judicial acts;

5) economically or technologically unjustified refusal or evasion form concluding a contract with individual purchasers (customers) in the case when there are possibilities for production or delivery of the relevant goods as well as if such a refusal or evasion is not provided for directly by the Federal Laws, statutory legal acts of the President of the Russian Federation, the Government of the Russian Federation, authorized federal executive authorities or judicial acts;

6) economically, technologically or otherwise unjustified establishment of different prices (tariffs) for the same goods if not established otherwise by the law;

7) establishment of unjustifiably high or unjustifiably low price of a financial service by a financial organization;

8) creation of discriminatory conditions;

9) creation of barriers to entry into the goods market or leaving from the goods market for the other economic entities;

10) violation of the procedure of pricing established by statutory legal acts.

2. An economic entity has the right to provide evidence that its actions (lack of action) stated in Part 1 of this Article (except actions indicated in Clauses 1, 2, 3, 5, 6, 7 and 10 of Part 1 of this Article) can be recognized as eligible in accordance with the requirements of Part 1 of Article 13 of this Federal Law.

3. To prevent creating discriminatory conditions, the Government of the Russian Federation established the Rules for non-discriminatory access conditions to the goods markets and (or) to the goods, produced or distributed by natural monopolies, which are regulated in accordance with No.147-FZ Federal Law of 17th August 1995 “On Natural Monopolies”. The Rules shall include:

1) the list of goods supplied by economic entities, which are listed in the first paragraph of this Part;

2)information enabling market participants to compare the conditions of goods circulation on the goods market and (or) conditions for entry to the goods market, as well as other essential information necessary for market access and (or) circulating goods in the goods market;

3) the procedures for disclosing information, specified in Clause 2 of this Part, including information about the goods produced or sold by the economic entities listed in the first paragraph of this Part, the cost of those goods, and the fee for market access, possible scope of production or distribution of the goods, and technical and technological possibilities for providing the goods;

4) the procedures for compensating economically reasonable expenses of economic entities, listed in the first paragraph of this Part, for production and (or) distribution of the relevant goods and (or) organization of market access;

5) the conditions for organizing tender procedures for access to the goods market, where the economic entities listed in the first paragraph of this Part operate, subject to economic, technological or other possibilities, if other market access procedures are not provided for by the legislation of the Russian Federation;

6) the essential contract conditions and (or) standard contracts for providing access to the goods market and (or) to the goods of the economic entities listed in the first paragraph of this Part;

7) the procedures for determining consumers that will receive mandatory servicing, establishing the minimum level of service provision and the sequence of providing access to the goods market and (or) to the goods, if it is impossible to fully satisfy the needs for the goods produced and (or) distributed by the economic entities listed in the first paragraph of this Part, taking into account protection of citizens’ rights and legitimate interests, state security, protection of the environment and cultural values;

8) the access conditions to the goods market and (or) the goods of the economic entities listed in the first paragraph of this Part, and in the established cases the requirements for undertaking technological and technical measures (technological connection);

9) the requirements to the relevant goods, if not provided otherwise by the legislation of the Russian Federation.

4. Requirements of this Article are not extended over the actions on implementation of exclusive rights for the results of intellectual activity and equalized to them means of individualization of a legal person, means of individualization of production, executed works or rendered services.

Article 11. Prohibition of Agreements Restricting Competition or Concerted Practices between Economic Entities

1. Agreements between economic entities or concerted practices of economic entities in the goods markets are forbidden if such agreements or concerted practices lead or can lead to:

1) establishment or maintaining of prices (tariffs), discounts, markups (extra charges), and margins;

2) raising, lowering, or maintaining of prices at tenders;

3) division of the goods market according to the territorial principle, the volume of sales or purchases of commodities, the range of sold products or composition of sellers or purchasers (customers);

4) economically or technologically unjustified refusal from concluding contracts with certain sellers or purchasers (customers) if such refusal is not provided for directly by the Federal Laws, statutory legal acts of the President of the Russian Federation, statutory legal acts of the Government of the Russian Federation, statutory legal acts of the authorized federal executive authorities or judicial acts;

5) imposing contractual terms on a counteragent, which are disadvantageous for the latter or are not connected with the subject of agreement (unjustified requirements of transfer of funds, other property, including property rights, as well as consent to conclude a contract on conditions of including in it of provisions, concerning the goods in which the counteragent is not interested and other requirements);

6) economically, technologically or in any other way unjustified establishment of different prices (tariffs) for the same goods;

7) reduction or cutting off the production of commodities for which there is a demand or the orders for their delivery are placed and there is possibility of their profitable production;

8) creation of barriers to entry into the goods market or exit from the goods market for the other economic entities;

9) establishment of conditions for the membership (Participation) in professional and other associations, if such conditions lead or can lead to prevention, restriction or elimination of competition, as well as to establishment of unjustified membership criteria which are barriers to participation in payment or other systems without participation in which competing financial organizations would not be able to provide the necessary financial services.

11. Prohibitions specified in Part 1 of this Article do not cover “vertical” agreements.

12. “Vertical” agreements between economic entities are forbidden (except “vertical” agreements that are allowed under Article 12 of this Federal Law), if:

1) such agreements have resulted or can result in fixing resale prices;

2) by such agreements sellers require buyers to not sell the goods of their competitors. This prohibition does not cover the agreements for buyer’s organizing goods sales under the seller’s or manufacturer’s trademark or brand name.

2. Other types of agreements between economic entities (except “vertical” agreements which are recognized permissible in accordance with Article 12 of this Federal Law) or other concerted practices of economic entities are forbidden if such agreements or concerted practices lead or can lead to restriction of competition.

3. Physical persons, commercial organizations and non-commercial organizations are forbidden to coordinate economic activity of economic entities if such coordination leads or can lead to the consequences indicated in Part 1 of this Article.

4. An economic entity can present evidence that the concluded agreements or exercised concerted actions, specified in Parts 1 and 2 of this Article, can be allowed under Article 12 or Part 1 Article 13 of this Federal Law.

Article 12. Permissibility of “Vertical” Agreements

1. “Vertical” agreements in written form (except “vertical” agreements between financial organizations) are permitted if these agreements are agreements of commercial concession.

2. “Vertical” agreements between economic entities (except “vertical” agreements between financial organizations) are permitted if the share of each economic entity in any goods market does not exceed twenty percent.

Article 13. Permissibility of Actions (lack of action), Agreements, Concerted Practices, Transactions, Other Actions

1. Actions (lack of action) of economic entities provided for in Part 1 of Article 10 of this Federal Law (except actions (lack of action) stated in Clauses 1 (except fixing or maintaining price of the goods, which are the results of innovative activities), 2, 3, 5, 6, 7 and 10 of Part 1 of Article 10 of this Federal Law), agreements and concerted practices provided for in Parts 2 and 3 of art. 11, deals, other actions provided for in Articles 27-30 of this Federal Law can be recognized as permissible if such actions (lack of action), agreements and concerted practices, transactions, other actions do not create for particular persons opportunity to eliminate competition in the relevant goods market, do not impose restrictions superfluous for achievement of the goal of these actions (lack of action), agreements and concerted practices, transactions, other actions on the participants or third persons and also if they result or can result in:

1) perfection of production, sale of goods or stimulation of technical, economic progress or rising competitive capacity of the Russian goods in the world market

2) obtaining by consumers of benefits (advantages) which are proportionate to the benefits (advantages) obtained by the economic entities in the result of actions (lack of action), agreements and concerted practices, transactions, other actions.

2. The Government of the Russian Federation has the right to determine the cases of permissibility of agreements and concerted practices meeting the conditions stated in Clauses 1 and 2 of Part 1 of this Article (general exemptions). General exemptions, concerning agreements and concerted practices indicated in Part 2 of Article 11 of this Federal Law, are defined by the Government of the Russian Federation on proposal of the federal antimonopoly body, are introduced for a specific period of time and provide for:

1) type of agreement or concerted practice;

2) conditions which cannot be considered as permissible in regard to such agreements or concerted practices;

3) obligatory conditions for ensuring competition which should be contained in such agreements;

4) obligatory conditions under which such concerted practices are permissible.

3. General exemptions can provide, alongside with the conditions indicated in Part 2 of this Article, and for other conditions, that agreements and concerted practices should meet.

Article 14. Prohibition of Unfair Competition

1. Unfair competition is not permitted, including:

1) dissemination of false, inaccurate, or distorted information, which can inflict losses on economic entity or cause damage to its business reputation;

2) misrepresentation concerning the nature, method, and place of manufacture, consumer characteristics, quality and quantity of а commodity or concerning its producers;

3) incorrect comparison of the products by an economic entity, manufactured or sold by it, with the products manufactured or sold by other economic entities;

4) sale, exchange or other way of input of a commodity into circulation if there was illegal use of the results of intellectual activity and equalized to them means of individualization of a legal person, means of individualization of production, works, services;

5) illegal receipt, use, and disclosure of information constituting commercial, official or other protected by law secret.

2. Unfair competition, related to acquisition and use of exclusive rights for the means of individualization of a legal person, means of individualization of production, works, and services is not permitted.

3. Decision of the Federal Antimonopoly body concerning violation of the provisions of Part 2 of this Article concerning acquisition and use of exclusive rights to a trademark is sent by an interested Party to the federal executive authority for intellectual property for recognizing invalid the legal protection granted to this trademark.

Chapter 3. Prohibition of Acts, Actions (Inactions), Agreements, Concerted Practices of Federal executive authorities, Public Authorities of the Subjects of the Russian Federation, Bodies of Local Self-Government, Other Bodies or Organizations Exercising the Functions of the Above-Mentioned Bodies, as well as Public Extra-budgetary Funds, the Central Bank of the Russian Federation that Restrict Competition

Article 15. Prohibition of Acts and Actions (Inactions) of Federal executive authorities, Public Authorities of the Subjects of the Russian Federation, Bodies of Local Self-Government, Other Bodies or Organizations Exercising the Functions of the Above-Mentioned Bodies, as well as Public Extra-budgetary Funds, the Central Bank of the Russian Federation that Restrict Competition

1. It is forbidden for the federal executive authorities, public authorities of the subjects of the Russian Federation, bodies of local self-government, other bodies or organizations exercising the functions of the above-mentioned bodies, as well as public extra-budgetary funds, the Central Bank of the Russian Federation to pass acts and (or) exercise actions lack of action) which lead or can lead to prevention, restriction, elimination of competition, except the cases of passing acts or exercising of actions (lack of action) provided for by the Federal Laws, in particular, the following is forbidden:

1) introduction of restrictions concerning creation of economic entities in any sphere of activity as well as imposition of bans or introduction of restrictions concerning exercising specific activities or production of certain types of products;

2) unreasonably preventing activities of economic entities, in particular, by establishing requirements to goods or economic entities that are not provided for by the legislation of the Russian Federation;

3) imposition of bans or introduction of restrictions concerning free movement of products on the territory of the Russian Federation, other restrictions of the rights of economic entities for sale, purchase, other acquisition, exchange of commodities;

4) issuing requests to economic entities on priority supply of products for a certain category of purchases (customers) or on conclusion of contracts in priority order;

5) imposing restrictions for purchasers of products on the choice of economic entities which provide such products.

6) proving priority access to information for an economic entity

7) granting state or municipal preferences in breach of the procedures established in Chapter 5 of this Federal Law.

2. It is forbidden to vest the authorities of the constituent territories of the Russian Federation, local self-government bodies with powers execution of which lead or can lead to prevention, restriction or elimination of competition, except cases provided for by Federal Laws.

3. It is forbidden to combine functions of the federal executive authorities, the authorities of the constituent territories of the Russian Federation of the Russian Federation, other authorities and local self-government bodies, and functions of economic entities, except the cases provided for by Federal Laws, Decrees of the President of the Russian Federation, Regulations of the Government of the Russian Federation, as well as granting economic entities with functions and rights of the above-mentioned bodies, including the functions and the rights of the bodies of state control and supervision.

Article 16. Prohibition of Competition-Restrictive Agreements or Concerted Practices of the Federal Executive Authorities, the Authorities of the Constituent Territories of the Russian Federation, Local Self-Government Bodies, Other Bodies or Organizations Exercising the Functions of the Above-Mentioned Bodies, as well as Public Extra-Budgetary Funds, the Central Bank of the Russian Federation

Agreements between federal executive authorities, public authorities of the constituent territories of the Russian Federation, local self-government bodies, other bodies or organizations exercising the functions of the above-mentioned bodies, as well as public extra-budgetary funds, the Central Bank of the Russian Federation or between them and economic entities or execution of concerted practices by these bodies and organizations are forbidden if such agreements or such execution of concerted practices lead or can lead to prevention, restriction or elimination of competition, in Particular, to:

1) increase, decrease or maintaining of prices (tariffs) except the cases when such agreements are provided for by Federal Laws or statutory legal acts of the President of the Russian Federation, statutory legal acts of the Government of the Russian Federation;

2) economically, technologically or in any other way unjustified establishment of different prices (tariffs) for the same commodity;

3) division of the goods market according to the territorial principle, volume of sale or purchase of commodities, range of sold products or composition of sellers or purchasers (customers);

4) restriction of entry into a goods market (exit from a goods market) or removal of economic entities from it.

Chapter 4. Antimonopoly Requirements to Tenders and Peculiarities of

Selection of Financial Organizations

Article 17. Antimonopoly Requirements for Tenders

1. The actions that lead can lead to prevention, restriction or elimination of competition in the course of tender are prohibited, including:

1) coordination of activities of the participants of tenders by the tenders’ organizers or customers;

2) creation of preferential conditions for participation in the tender to one or several Participants, including by means of access to information, unless is determined otherwise by the Federal Law;

3) violation of the order of procedure of estimation of a winner or winners of the tender;

4) participation of the tender’s organizers or of the tender’s customers and (or) employees of the tender’s organizers or employees of the tender’s customers in the tender.

2. Alongside with the established by Part 1 of this Article prohibitions concerning tenders’ procedure, if the tender’s organizers or the tender’s customers are federal executive authorities, executive authorities of the subjects of the Russian Federation, bodies of local self-government, public extra-budgetary funds, as well as during tenders’ procedure on placement of orders for goods, works and services for state and municipal needs it is forbidden to restrict access to participation in tenders which is not provided for by the Federal Laws or other statutory legal acts.

3. Alongside with the established by Part 1 and 2 of this Article prohibitions concerning tenders’ procedure on placement of orders for goods, works and services for state and municipal needs it is forbidden to restrict competition by means of including in the tenders’ lots structure of production (goods, works, services) which technologically and functionally are not connected with goods, works, services which provision, execution, rendering are the subject of the tender.

4. Violation of the rules established by this Article is a ground for the court to admit invalid the relevant tender and the transactions concluded in the result of such tender, including at the suit of the antimonopoly body.

Article 171. Specific procedures for agreements regarding state and municipal property

1. Lease contracts, gratuitous use agreements, trust management contracts, other contracts for transfer of possession and (or) use of state and municipal property, not registered on the basis of economic control rights or operative management, can be concluded only upon the outcome of tenders of auctions for the right to conclude such agreements, except when the above rights for such property are granted:

1) on the basis of international treaties with the Russian Federation (including inter-governmental agreements), the Federal Laws, establishing other procedures for распоряжения этим имуществом, Decrees of the President of the Russian Federation, Decrees of the Government of the Russian Federation, judicial rulings, that came into force;

2) to the authorities, local self-government bodies and state extra-budgetary funds and the Central Bank of the Russian Federation;

3) to state and municipal agencies, state-run corporations, state-run companies;

4) to non-profit organizations formed as associations and unions, religious and voluntary organizations (associations), including political parties, voluntary movements, public foundations, community agencies, bodies of communal self-activity, trade unions, their unions (associations), primary trade union organizations, associations of employers, home owners associations;

5) bar, notary and commerce-and-industry chambers;

6) educational institutions regardless of their business legal structures, including state and municipal educational institutions listed in Clause 3 of this Part and medical institutions in the private health care system;

7) for postal facilities;

8) to a person who has the rights of ownership and (or) use of an engineering support network, if the transferred property is part of the relevant engineering support network and if those part of the network and the network are technologically connected in accordance with the laws on urban development activities;

9) according to the procedures established by Chapter 5 of this Federal Law;

10) to a person who has a state or a municipal contract following the outcome of a tender or an auction, organized in accordance with No.94-FZ Federal Law “On State and Municipal procurement of Goods, Works and Services” of 21st July 2005, if those rights were provided for by the tender or auction documentation for the purposes of executing the state or municipal contract. The rights for such property cannot be granted for a period exceeding the period of executing the state or municipal contract;

11) for no more than thirty calendar days within six consecutive calendar months (the rights for such property cannot be granted to a single person for the total period more than thirty calendar days within six consecutive calendar months without a tender or an auction);

12) instead of the real estate, the rights to which are terminated due to demolition or reconstruction of the buildings, structures, or installations, which, or part of which constitutes such real estate, or due to granting the rights for such real estate to state or municipal educational institutions or medical institutions. The real estate, to which the rights are granted, must be equal to the previous real estate in terms of its location, space and value, determined in accordance with the laws of the Russian Federation regulating assessment activities. The conditions under which real estate is recognized equal to the previous real estate are determined by the federal antimonopoly body;

13) to the legal successor of a privatized unitary enterprise, if such property is not included in the assets of the privatized unitary enterprise that are subject to privatization, but is functionally and technologically connected to the privatized property and the Federal Laws classify it as objects of civil rights, circulation of which is prohibited, or the facilities that can only be in state or municipal property.

2. The agreement procedures, listed in Part 1 of this Article, are not applicable to the property, managed in accordance with the Land Code of the Russian Federation, the Water Code of the Russian Federation, the Forestry Code of the Russian Federation, the laws of the Russian Federation on mineral resources, and the laws of the Russian Federation on concessionary contracts.

3. Lease contracts, gratuitous use agreements, other contracts for transfer of possession and (or) use of state and municipal property, in relation to:

1) state or municipal real estate, owned on the basis of economic control rights or operative management of state or municipal unitary enterprises;

2) state or municipal real estate, registered for state or municipal autonomous agencies on the basis of operative management;

3) state or municipal property, owned on the basis of operative management of state or municipal budgetary institutions

are concluded according to the procedures specified in Part 1 of this Article.

4. A person who, under Parts 1 and 3 of this Article, is granted the rights of possession and (or) use of a building, structure or installation, can transfer such rights for a part of parts of a building, structure, or installation to the third persons upon the owner’s consent without tenders or auctions. The overall space of a part or parts of a building, structure or installation, transferred for possession and (or) use by the third persons, cannot exceed 10% of the space of the buildings, structures, or installations, the rights for which are granted права under Parts 1 and 3 of this Article, and be more than twenty square meters.

5. The procedures for tenders or auctions for the right to enter into the agreements specified in Parts 1 and 3 of this Article, and the list of the types of property, the agreements for which can be concluded through competitive bidding, shall be established by the federal antimonopoly body.

6. From 1st January 2011, information about tenders or auctions for the right to enter into the agreements specified in Parts 1 and 3 of this Article, shall be published at the official Internet site of the Russian Federation determined by the Government of the Russian Federation for publishing information about tenders.

Article 18. Peculiarities of Selection of Financial Organizations

1. The federal executive authorities, executive authorities of the constituent territories of the Russian Federation, bodies of the local self-government, state extra-budgetary funds, subjects of natural monopolies select financial organizations by means of holding open tender or open auction in accordance with provisions of the Federal Law on placement of orders for goods, works and services for state and municipal needs for providing the following financial services:

1) attraction of the funds of legal person in;

2) opening and keeping of accounts of legal persons, settlement on these accounts;

3) credit granting;

4) encashment of funds, bills, payment and account documents and cash servicing of legal persons;

5) issue of bank guarantees;

6) services in the securities market;

7) leasing services;

8) property insurance;

9) personal insurance, including medical insurance;

10) private pension insurance;

11) liability insurance.

2. Violation of the rules established by Part 1 of this Article constitutes grounds for a court of law to invalidate the relevant transactions or tenders, in particular upon a lawsuit of an antimonopoly body.

Chapter 5. Granting of State or Municipal Preferences

Article 19. State or Municipal Preferences

1. State or municipal preferences can be granted on the basis of legal acts of the federal executive bodies, authorities of the constituent territories of the Russian Federation, local self-government bodies, other agencies or organizations exercising the functions of the above bodies, exclusively for the purposes of:

1) securing vital activities of the population residing in areas of the Extreme North and regions equal to them;

2) advancing education and science;

3) carrying our research projects;

4) protecting the environment;

5) preservation, use, popularization, and state protection of cultural heritage (monuments of history and culture) of the peoples of the Russian Federation;

6) developing art and culture, and preserving cultural values;

7) developing sport and physical culture;

8) ensuring national defence and state security;

9) producing agricultural products;

10) providing social security;

11) providing labour protection;

12) protecting citizens’ health;

13) supporting small and medium business;

14) and for the purposes determined by other Federal Laws, normative legal acts of the President of the Russian Federation and normative legal acts of the Government of the Russian Federation.

2. It is forbidden to use state and municipal preferences for the purposes other than stated in the application for consent to granting state or municipal preferences.

3. For the purposes listed in Clause 1 of this Article, state or municipal preferences are granted upon a preliminary written consent of an antimonopoly body, except when such preferences are granted:

1) on the basis of the Federal Law, the laws of the constituent territories of the Russian Federation on the budget, normative legal acts of local self-government bodies on their budget, which include or establish procedures determining the scope of a state or a municipal preference and its beneficiary;

2) for financing of unexpected spending of reserve funds in accordance with the budget laws of the Russian Federation;

3) when the size of the preference does not exceed the threshold for cash settlement in a single transaction between legal persons in the Russian Federation, determined by the Central Bank of the Russian Federation, if such a preference is not granted more often than once a year to a single person.

4. State or municipal preferences do not include:

1) providing property and (or) other objects of civil rights upon the outcome of tenders organized in the cases provided for by the laws of the Russian Federation, as well as upon the outcome of other procedures, provided for by the legislation of the Russian Federation on state and municipal procurement of goods, works and services;

2) transferring, allocating, distributing state or municipal property to individual persons in order to liquidate the consequences of emergencies, military operations and counterterrorist operations;

3) formalizing economic control rights or operative management of state or municipal property by economic entities;

4) granting property and (or) other objects of civil rights on the basis of a Federal Law or a judicial ruling that came into force.

Article 20. Procedure of Granting of State or Municipal Preferences

1. A federal executive body, authority of a constituent territory of the Russian Federation, a local self-government body, other agencies or organizations intending to grant a state or municipal preference, should file an application to an antimonopoly body for consent for granting the preference in the form, determined by the federal antimonopoly body. The following documents should be enclosed to the application:

1) a draft act for granting a state or municipal preference, specifying the goal and scope of the preference, if it is granted by transferring property;

2) a list of activities in which the economic entity, to whom a state or municipal preference is intended, has been involved and (or) was involved during two years, preceding the date when the application is filed or within the period of activity, if less than two years, and copes of the documents confirming the rights to perform those activities, if under the laws of the Russian Federation special permissions are and (or) were required for exercising such activities;

3) types of goods, and volume of goods produced and (or) distributed by the economic entity, to whom a state or municipal preference is intended, during two years, preceding the date when the application is filed or within the period of activity, if less than two years, specifying the product codes;

4) financial statements of the economic entity, to whom a state or municipal preference is intended, as of the last accounting date preceding the date when the application is filed, or, if the economic entity does not file financial statements to the tax bodies, other documents specified by the laws of the Russian Federation on taxes and charges;

5) a list of persons, members of the same group of persons with the economic entity, to whom a state or municipal preference is intended, specifying the grounds for persons’ joining the group;

6) notarized copies of the articles of association of the economic entity.

2. An antimonopoly body shall consider an application for consent for granting a state or municipal preference, and enclosed documents and shall make one of the decisions specified in Part 3 of the Article within the period not exceeding one month after the application and documents were received. If the filed application and (or) documents did not meet the recruitments specified in Part 1 of the Article, within ten days after receiving the application the antimonopoly body shall make a reasonable decision about nonconformity of the application and (or) documents according to the procedures established by the federal antimonopoly body, and shall return the application for consent for granting a state or municipal preference by registered mail with notification of delivery, enclosing a copy of the decision certified according to the established procedures. The antimonopoly body shall keep the filed documents for a period of fourteen days after the date when the applicant received the notification, within which the applicant can request the application and the documents. If considering the application for consent for granting a state or municipal preference, the antimonopoly body concludes that the actions regarding which the consent of antimonopoly body is sought, do not constitute state or municipal preferences, within ten days after the application was filed, the antimonopoly body, in accordance with the procedures established by the federal antimonopoly body shall make a decision that such actions do nor require a consent of the antimonopoly body, and shall inform the application on the day when the decision was made by registered mail with notification of delivery, enclosing a copy of the decision certified according to the established procedures.

3. Upon processing the application for consent for granting a state or municipal preference, the antimonopoly body, in accord with the procedures established by the federal antimonopoly body, shall make one of the following reasonable decisions, and inform the application about the decision on the day when the decision was made by registered mail with notification of delivery, enclosing a copy of the decision certified according to the established procedures:

1) granting consent for a state or municipal preference, if a state or municipal preference is for the purposes specified in Part 1 Article 19 of the Federal Law and granting the preference cannot result in eliminating or preventing competition;

2) extending the period for considering the application, if processing the application the antimonopoly body concludes that granting the preference can result in eliminating or preventing competition, or that the preference possible does not conform with the purposes specified in Part 1 Article 19 of the Federal Law, and additional information is required to pass the decision under Clauses 1, 3 or 4 of this Part. For such decisions, the period for processing the application cannot be extended for more than two months;

3) refusing a state or municipal preference, if a state or municipal preference does not conform with the purposes specified in Part 1 Article 19 of the Federal Law, or if granting the preference can result in eliminating or preventing competition;

4) granting consent for a state or a municipal preference but introducing restrictions for a state or a municipal preference. A reasonable decision with grounds for applying the restriction(s) shall be made by the antimonopoly body to secure conformity of a state or municipal preference to the purposes specified in Part 1 Article 19 of the Federal Law and to reduce adverse impact on competition. Restrictions can include:

а) the deadline for granting a state or a municipal preference;

b) a range of persons to whom a state or a municipal preference can be granted;

c) the scope of a state or a municipal preference;

d) the purposes for granting a state or a municipal preference;

e) other restrictions that would affect the state of competition.

4. If the decision for consent to a state or a municipal preference was given in accord with Clause 4 Part 3 of this Article, the applicant must present documents confirming compliance with the restrictions within a month after a state or a municipal preference was granted; the list of confirming documents is established by the antimonopoly body.

Article 21. Consequences of Violating the Requirements of This Federal Law While Enjoying State or Municipal Preferences

If an antimonopoly body, exercising control over the use of state or municipal preferences in accordance with the procedures established by the federal antimonopoly body, discovers that the preference has not been used in compliance with the purposes stated by the applicant in the application, the antimonopoly body shall issue a determination to the economic entity to which the preference was granted, the federal executive body, the authority of a constituent territory of the Russian Federation, the local self-government body, other agencies and organizations exercising the functions of the above bodies, or organizations that granted the preference, about undertaking measures to return the property or other objects of civil rights provided that a state or municipal preference was granted by transferring state or municipal property, or other objects of civil rights, or shall issue a determination on undertaking measures to stop using the preference by the economic entity that was granted a state or municipal preference, provided that a state or municipal preference was granted in another form.

Chapter 6. Functions and Authorities of the antimonopoly body

Article 22. Functions of the antimonopoly body

The antimonopoly body fulfills the following main functions:

1) ensures state control over observance of the antimonopoly legislation by federal executive authorities, public authorities of the subjects of the Russian Federation, bodies of local self-government, other bodies or organizations exercising the functions of the above-mentioned bodies, public extra-budgetary funds, economic entities, physical persons, including use of land, mineral resources, water and other natural resources;

2) reveals violations of the antimonopoly legislation, takes measures to stop violations of the antimonopoly legislation and calls to account for such violations;

3) prevents monopolistic activity, unfair competition, other violations of the antimonopoly legislation by federal executive authorities, public authorities of the subjects of the Russian Federation, bodies of local self-government, other bodies or organizations exercising the functions of the above-mentioned bodies, public extra-budgetary funds, economic entities, physical persons;

4) exercises state control over economic concentration, including use of land, mineral resources, water and other natural resources, as well as in the course of tenders in the cases provided for by the Federal Laws.

Article 23. Authorities of the antimonopoly body

1. The antimonopoly body fulfills the following authorities:

1) initiates and examines cases of violation of the antimonopoly law;

2) issues binding determinations to economic entities in cases stated by this Federal Law:

а) on termination of concerted practices restricting competition and (or) termination of agreements restricting competition and fulfillment of actions aimed at ensuring competition;

b) on termination of abuse of dominant position by economic entity and fulfillment of actions aimed at ensuring competition;

c) on termination of violation of rules of non-discriminative access to products;

d) on termination of unfair competition;

e) on prevention of actions which can be obstacle for beginnings of competition and (or) can lead to prevention, restriction or elimination of competition and violation of the antimonopoly legislation;

f) on elimination of the consequences of violation of the antimonopoly legislation;

g) on termination of other violations of the antimonopoly legislation;

h) on restoration of the situation that existed prior to the violation of the antimonopoly legislation;

i) on conclusion of contracts, change of contractual terms or abrogation of contracts in the case if in the course of examination by the antimonopoly body of the case of violation of the antimonopoly legislation the persons whose rights were breached or can be breached applied the relevant application or in the case when the antimonopoly body exercises state control over economic concentration;

j) on transference of the profit gained in the result of breach of the antimonopoly legislation to the federal budget;

k) on change or restriction of use of brand name in the case if in the course of examination by the antimonopoly body of the case of violation of the antimonopoly legislation the persons whose rights were breached or can be breached applied the relevant application or in the case when the antimonopoly body exercises state control over economic concentration;

l) on fulfillment of economic, technical, informational, and other requirements on elimination of discriminative conditions and prevention of its creation;

m) on fulfillment of actions aimed at supporting competition, including actions on ensuring access to production facilities or information according to the procedures established by the Federal Law or other statutory legal acts, on granting a right to facilities of industrial property protection according to the procedures established be the Federal Law or other statutory legal acts, on transference of property rights or prohibition of transference of property rights, on preliminary informing of the antimonopoly body about intention to fulfill actions provided for in the determinations, on selling particular volume of products through commodity exchange, on preliminary agreement by an antimonopoly about specifics of determining starting prices for the products to be sold through commodity exchange in accord with the procedures established by the Government of the Russian Federation;

3) issues binding determinations to the federal executive authorities, public authorities of the subjects of the Russian Federation, bodies of local self-government, other bodies or organizations exercising the functions of the above-mentioned bodies, public extra-budgetary funds, as well as their officials, except the cases established by Clause 4 of this Article:

а) on cancellation or amendment of acts violating the antimonopoly legislation;

b) on cancellation or amendment of contracts violating the antimonopoly legislation;

c) on terminating other violations of the antimonopoly legislation, in particular, undertaking measures to return property or other objects of civil rights transferred as a state or a municipal preference;

d) on fulfillment of actions aimed at ensuring competition.

4) sends to the federal body of executive authority of the securities market, the Central Bank of the Russian Federation proposals on bringing in correspondence with the antimonopoly legislation of acts adopted by them and (or) on remission of actions if such acts and (or) actions violate the antimonopoly legislation;

5) brings to responsibility for violation of the antimonopoly legislation commercial organizations, non-commercial organizations, their officials, officials of the federal executive authorities, of the bodies of executive authority of the constituent territories of the Russian Federation, of the local self-government bodies, and of other bodies or organizations exercising the functions of the said bodies, as well as other officials of the public extra-budgetary funds, physical persons, including individual entrepreneurs in the cases and in accordance with the procedure established by legislation of the Russian Federation;

6) applies to arbitration court with claims and applications concerning violations of the antimonopoly legislation, including claims and applications:

а) on pronouncing inoperative or invalid, fully or partially, or contradicting to the antimonopoly legislation, in particular, creating unreasonable obstacles for entrepreneurial activities, statutory legal acts or non-normative acts of federal executive bodies, the authorities of constituent territories of the Russian Federation, local self-government bodies, other bodies or organizations exercising the functions of the above-mentioned bodies, as well as public extra-budgetary funds, the Central Bank of the Russian Federation;

b) on admitting ineffective or invalid fully or partially of contracts not conforming to the antimonopoly legislation;

c) on obligatory conclusion of a contract;

d) on changing or canceling of a contract;

e) on liquidation of legal persons in the cases provided by the antimonopoly legislation;

f) on recovery of the profit gained in the result of violation of the antimonopoly legislation to the federal budget;

g) on holding persons that allowed such violation of the antimonopoly legislation liable for violating the antimonopoly laws;

h) on admitting tenders invalid;

i) on forcing to execution of decisions and determinations of the antimonopoly body;

j) in other cases provided for by the antimonopoly legislation;

7) Participates in examination by the court or the arbitration court of the cases connected with application and (or) violation of the antimonopoly legislation;

8) keeps the Register of economic undertakings (except financial organizations) that control over thirty five percent in the certain goods market. The order of forming and keeping the Register is established by the Russian Federation Government;

9) posts on the website of the antimonopoly body in Internet decisions and determinations concerning the interests of indefinite range of persons;

10) establishes dominant position of economic undertaking in the course of examination of the case of violation of the antimonopoly legislation and while exercising control over economic concentration;

11) controls compliance with the antimonopoly legislation of commercial organizations, non-commercial organizations, federal executive authorities, bodies of public authority of the subjects of the Russian Federation, bodies of local self-government, other bodies or organizations exercising the functions of the above-mentioned bodies, as well as by public extra-budgetary funds, physical persons, gets from them the necessary documents and information, explanations in written and verbal form, and in accordance with the procedure established by the legislation of the Russian Federation applies to the agencies discharging operative investigatory activities with request to carry out operative investigations;

12) exercises, according to the procedure established by the Government of the Russian Federation, control over the activity of economic undertakings ensuring organization of trade in the markets of certain products, for example electrical energy (capacity) market in the conditions of stopping of the state regulation of prices (tariffs) for such products;

13) exercises other authorities provided for by this Federal Law, other Federal Laws, Decrees of the Present of the Russian Federation, Regulations of the Government of the Russian Federation.

2. Alongside with the authorities indicated in Part 1 of this Article the federal antimonopoly body exercises the following authorities: 1) approves the forms of presenting data to the antimonopoly body during the conclusion of transactions and (or) actions provided by Article 32 of this Federal Law; 2) approves methodology of determination of an unjustifiably high and unjustifiably low price of a credit organization's service and methodology of determination of justification for a price set by a dominant credit organization for a service not provided by other financial organizations, on coordination with the Central Bank of the Russian Federation;

3) approves the procedure of conducting analysis of condition of competition in order to establish dominant position of an economic undertaking and to reveal other cases of prevention, restriction or elimination of competition (procedure of conducting analysis of condition of competition in order to establish dominant position of a financial organization is approved by the federal antimonopoly body, on coordination with the Central Bank of the Russian Federation);

4) issues legal statutory acts provided for by this Federal Law;

5) gives explanations on issues connected with application of the antimonopoly legislation by it;

6) gives conclusions, in accordance with the established procedures, on the consequences of special protective, antidumping and compensation measures, or the consequences of changing the rates of customs duties for the state of competition in the goods markets in the Russian Federation;

7) submits proposals to licensing bodies on cancellation, revocation of economic undertakings’ violating the antimonopoly legislation licenses for exercising some types of activities or suspension of such licenses;

8) cooperates with international organizations and State bodies of foreign countries, Participates in development and implementation of international treaties of the Russian Federation and the work of intergovernmental or interdepartmental commissions coordinating international cooperation of the Russian Federation, implementation of international programs and projects on the questions of protection of competition;

9) sums up and analyzes the practice of application of the antimonopoly legislation, works out recommendations on its application;

10) annually submits report on condition of competition in the Russian Federation to the Government of the Russian Federation and posts it in the website of the antimonopoly body in Internet.

Article 24. The Rights of the Officers of Antimonopoly Bodies during the Inspections of Compliance with the Antimonopoly Legislation

When exercising control over compliance with the antimonopoly legislation, officers of an antimonopoly body, in accord with their authority and upon presenting their certificates of employment and the order of the Head of the antimonopoly body about organizing an inspection of compliance with the antimonopoly legislation (further on referred to as an inspection), have the rights of unimpeded access to the federal executive bodies, the executive bodies of the constituent territories of the Russian Federation, local self-government bodies, other agencies and organizations exercising the functions of the above bodies, as well as state extra-budgetary funds, and non-profit organizations in order to obtain documents and information required by the antimonopoly body.

Article 25. Obligation to Provide Information to the Antimonopoly Body

1. Commercial organizations and non-commercial organizations (their management), the federal executive bodies (their officials), executive bodies of the constituent territories of the Russian Federation (their officials), local self-government bodies (their officials), other agencies or organizations exercising the functions of the above bodies, as well as state extra-budget funds (their officials), physical persons, including individual entrepreneurs, are obliged to provide to the antimonopoly body, upon its reasonable request, and in accordance with its scope of reference, documents, explanations, and information, orally or in writing (including information constituting commercial, official, other legally protected secrets), including official electronic correspondence, within the established period.

2. The Central Bank of the Russian Federation is obliged to produce its standard acts and other information necessary for making analysis of the condition of competition in the market of services of credit organizations and execution of control over its condition, except the information constituting banking secret, on letter of inquiry of the federal antimonopoly body.

3. Information constituting commercial, official or other legally protected official secret is produced to the antimonopoly body in accordance with the requirements established by the Federal Laws.

Article 251. Inspections by an Antimonopoly Body

1. To control compliance with the antimonopoly legislation, an antimonopoly body can carry out scheduled and unscheduled inspections of the federal executive bodies, the authorities of the constituent territories of the Russian Federation, local self-government bodies, other agencies and organizations exercising the functions of the above bodies, as well as state extra-budgetary funds, commercial and non-commercial organizations, physical persons, including individual entrepreneurs (further on also referred to as an inspected person). Non-commercial organizations can only be inspected for compliance with Articles 10, 11, 14 – 171, 19 – 21 of this Federal Law when they are involved in entrepreneurial activities or coordinate economic activities of other economic entities. This Federal Law does not provide for inspections of non-commercial organizations for compliance with the objectives of their activities, specified in the articles of association of those organizations. Scheduled and unscheduled inspections should be organized in the form of on-site inspections.

2. Grounds for scheduled inspections - upon expiration of three years after:

1) a legal person or an organization was formed or official registration of an individual entrepreneur in accord with the procedures established by the laws of the Russian Federation;

2) the last scheduled inspection of the inspected person was completed by an antimonopoly body.

3. Scheduled inspections can take place no often than once per three years. The subject matter of a scheduled inspection is compliance of the inspected person with the antimonopoly legislation in exercising economic activities.

4. Grounds for unscheduled inspections:

1) materials received from the law enforcement bodies, other government agencies, local self-government bodies, voluntary associations, which indicate elements of violations of the antimonopoly legislation;

2) reports and statements from physical persons and legal entities, information in mass media, which indicate elements of violations of the antimonopoly legislation;

3) expiration of the period for executing иa determination issued upon investigating a case on violations of the antimonopoly legislation.

5. The subject matter of an unscheduled inspection is compliance of the inspected person with the antimonopoly legislation in exercising economic activities, or execution of the earlier issued determination, if the grounds for inspection relate to Clause 3 Part 4 of this Article.

6. An inspection is organized in accordance with an order by the Head of the antimonopoly body.

7. An order by the Head of the antimonopoly body on organizing an inspection must include the following information:

1) the name of the antimonopoly body;

2) the family name, first name, patronymic of the official(s) authorized to carry out the inspection and of the experts and representatives of expert organizations brought into the inspection;

3) the name of the legal entity or the family name, first name, patronymic of the individual entrepreneur who are inspected ;

4) the inspection’s objectives, goals and period;

5) the legal grounds for the inspection;

6) the list of control actions, required to achieve the inspection’s goals and objectives, and their period;

7) the list of Administrative Regulations about inspections;

8) the dates for the start and end of the inspection.

8. A standard form of the orders on organizing inspections shall be approved by the federal antimonopoly body.

9. The period of inspection shall be no longer than one month from the date when the inspection was started, as specified in the order, to the date when the Inspection Act is handed over or sent by mail to the inspected person. As an exception, the Head of the antimonopoly body can extend this period for two months upon reasonable proposals from the officers, carrying out the inspection.

10. Grounds for extending the period of inspection include the need for expert examinations, research, testing, translation into Russian of the documents presented by the inspected person in foreign languages, and other necessary actions, without which it is impossible to assess whether the inspected person has complied with the antimonopoly legislation. The procedures for extending the inspection period shall be established by the federal antimonopoly body.

11. As part of an inspection, an antimonopoly body can inspect the work of business units of the inspected person, including subsidiaries and representative offices.

12. The inspected person shall be informed about a scheduled inspection no later than three working days before the inspection by forwarding a copy of the order of the Head of the antimonopoly body on organizing the inspection by registered mail with notification of delivery or by other available means. The inspected person shall be informed about an unscheduled inspection no later than twenty four hours before the inspection by any available means. This provision is not applicable to unscheduled inspections for compliance with Article 11 of this Federal Law.

Article 252. Access of officers of an antimonopoly body to a territory or premises for the purposes of inspection

1. Officers of an antimonopoly body, carrying out an inspection, have access to a territory or premises of the inspected person upon presenting their certificates of employment and the order of the head of the antimonopoly body on organizing the inspection of the inspected person. Officers, carrying out the inspection, are not allowed to have access to the dwelling of the inspected person.

2. If access of the officers of the antimonopoly body, carrying out an inspection, have impeded access to a territory or premises of the inspected person, the officers must draw up a report in accordance with the procedures established by the federal antimonopoly body. If the inspected person refuses to sign the report, it should be put on record in the report.

3. The report form shall be approved by the federal antimonopoly body.

Article 253. Examination

1. To clarify the circumstances, important for completeness of an inspection, officers of an antimonopoly body, carrying out the inspection, can examine territories, premises (except the dwelling of the inspected person), documents and objects of the inspected person.

2. The inspected person, his representatives, as well as other persons brought into the inspection by the antimonopoly body can take part in the examination. The examination shall take place in the presence of at least two attesting witnesses. Any physical persons, not interested in the outcome of the case, can be called as attesting witnesses. Officers of antimonopoly bodies cannot be attesting witnesses. If special knowledge is required for exercising the examination, the antimonopoly body can initiate participation of professional specialists and (or) experts.

3. If necessary, the examination shall include taking photographs and filming, video recording, or taking copies of the documents.

4. A protocol shall be drawn up upon the findings of the inspection. The protocol form shall be approved by the federal antimonopoly body»;

Article 254. Requesting documents and information in course of an inspection

1. Officers of an antimonopoly body, carrying out an inspection, can request documents and information required for inspection from the inspected person by handing a reasonable request to present documents and information over to the inspected person or his representative upon receipt. The form for requesting documents and information shall be approved by the federal antimonopoly body.

2. The requested documents shall be presented as copies, certified in accordance with the procedures established by the legislation of the Russian Federation. If necessary, officers of an antimonopoly body, carrying out the inspection, have the right to check the original documents.

3. Documents and information requested in course of the inspection shall be presented within three working days after the date when after the request was served. If the inspected person does not have a possibility to present the requested documents within three working days, then within the day following the day when the request for presenting documents and information, this person shall inform officers of an antimonopoly body, carrying out an inspection, in writing that it is impossible to present documents and information within the designated period, specifying the reasons, why the documents and information cannot be presented within the designated period and the period within which the inspected person is able to present the requested documents and information. Within two working days after the date when the notice was received, an officer of the antimonopoly body shall make a reasonable decision, on the basis of the received notice and according to the procedures established by the federal antimonopoly body, on a new deadline for presenting documents and information, or a reasonable decision to refuse to grant an extension, specifying the reasons for such a refusal. A copy of the decision, certified in accordance with the established procedures, shall be forwarded to the inspected person by any available means.

4. If the inspected person refuses to present documents and information requested in course of the inspection or fails to present them within the designated period, the person is held liable in accordance with the legislation of the Russian Federation.»;

Article 255. General Requirements to a Protocol Drawn up when Exercising Actions of Antimonopoly Control

1. In cases specified by this Federal Law, when exercising actions of antimonopoly control (further on referred to as actions, antimonopoly bodies must draw up Protocols. The Protocols shall be drawn up in Russian.

2. The Protocols should indicate:

1) the content of actions;

2) place and date of actions;

3) time of starting and termination of actions;

4) position, family name, first name, patronymic of the person that drew up the Protocol;

5) family name, first name, patronymic of each person who participated in actions or was present when those actions took place, and if necessary address and citizenship of such persons and information whether they are fluent in Russian;

6) the content of actions, and their consequence;

7) essential facts and circumstances revealed in course of actions.

3. The Protocol shall be signed by all persons who took part in exercising actions and were present when actions took place. Those persons can make comments that should be included in the Protocol.

4. . The Protocol shall be signed by the officer of an antimonopoly body who drew up the Protocol and by all persons who took part in exercising actions and were present when actions took place. A copy of the Protocol must be handed over or forwarded to the inspected person by registered mail with notification of delivery.

5. Photographs and negatives, reels of films, video records and other materials made in course of exercising actions should be enclosed to the Protocol, киноленты.»;

Article 256. Registering Inspection Findings

1. Inspection Findings shall be presented in a report, a copy of which shall be handed over or forwarded to the inspected person or his representative by registered mail with notification of delivery.

2. The report form shall be approved by the federal antimonopoly body.

3. Inspection findings, containing information that constitutes state, official, or other legally protected secrets, shall be registered in compliance with the legislation of the Russian Federation.

Article 26. Obligation of the antimonopoly body to Observe Commercial, Official, and Other Legally Protected Secret

1. Information constituting commercial, official, and other legally protected secret and obtained by the antimonopoly body in the process of execution of its authorities, must not be disclosed except the cases established by the Federal Laws.

2. Employees of the antimonopoly body bear civil, administrative, criminal liability for disclosing information constituting commercial, official, or other legally protected secret.

3. The damage inflicted on a natural or a legal person in the result of disclosure of information constituting commercial, official, other legally protected secret by the antimonopoly body or its officials must be compensated at the expense of the Russian Federation treasury.

Chapter 7. State Control over Economic Concentration

Article 27. Incorporation and Restructuring of Commercial Organizations subject to the antimonopoly body prior consent

1. The following actions shall only be performed with the antimonopoly body’s prior consent:

1) the merger of commercial organizations (with the exception of financial organizations), if the aggregate value of the assets thereof (assets of their group of persons) in accordance with the accounting balance sheets as at the latest reporting date preceding the date of submission of the petitions (further on referred to as the latest balance sheet, in case of submission of a notice, shall be deemed to be the accounting balance sheet as at the latest reporting date preceding the date of merging the commercial organizations) exceeds three billion Rubles ot if the aggregate revenues from sale of commodities of such organisations (their group of persons) for the calendar year preceding the merger exceed six billion Rubles, or where one of the organisations is included into the Register of economic entities because its share in a particular goods market exceeds thirty five percent (further on referred to as the Register);

2) joining one or several commercial organizations (with the exception of financial organizations) with another commercial organization (with the exception of a financial organization) if the aggregate value of the assets thereof (assets of their groups of persons) in accordance with their latest balance sheets exceeds three billion Rubles or if the aggregate revenues from the sale of commodities of such organizations (their group of persons) from the calendar year preceding the consolidation year exceed six billion Rubles or where one of the organizations is listed in the Register.

3) the merger of financial organizations or joining of one or several financial organizations with another financial organization, if the aggregate value of the assets thereof in accordance with their latest balance sheets exceeds the amount established by the Government of the Russian Federation (in case of a merger or consolidation of landing institutions, this amount shall be established by the Government of the Russian Federation in coordination with the Central Bank of the Russian Federation);

4) incorporation of a commercial organization if its authorized capital is paid by stocks (shares) and (or) property (except monetary funds) of another commercial organization (with the exception of a financial organization), on the basis of an act of transfer or dividing balance sheet and in relation to those stocks (shares) and (or) property (except monetary funds), the commercial organization shall acquire the rights stipulated by Article 28 of this Federal Law, and the aggregate value of the assets in accordance with the latest balance sheets of the organisation’s founders (their groups of persons) and persons (their groups of persons), whose stocks (shares) and (or) property (except monetary funds) are contributed to the authorized capital, exceeds seven billion Rubles or if the aggregate revenues of the founders of the commercial organization (their groups of persons) and persons (their groups of persons), whose stocks (shares) and (or) property (except monetary funds) are contributed to the authorized capital, from selling goods in the last calendar year exceed ten billion Rubles, or if the organization whose stocks (shares) and (or) property (except monetary funds) are contributed to the authorized capital, is included in the Register;

5) the incorporation of a commercial organization if the authorized capital thereof shall be paid by stocks (shares) or assets of a financial organization, the commercial organization being incorporated shall acquire, in respect of these stocks (shares) or assets, the rights stipulated by Article 29 of this Federal Law, and the aggregate value of the assets in accordance with the latest balance sheet of the financial organization whose stocks (shares) or assets are being contributed to the authorized capital exceeds the amount established by the Government of the Russian Federation (in case of the stocks (shares) or assets of a financial organization are being contributed to the authorized capital this amount is established by the Government of the Russian Federation in coordination with the Central Bank of the Russian Federation).

2. The requirement for obtaining the antimonopoly body’s prior consent for exercising actions, as stipulated by Part 1 of this Article, shall not apply if actions specified in Part 1 of this Article are performed by members of the same group of persons on the grounds specified in Clause 1 Part 1 Article 9 of this Federal Law, or if transactions specified in Part 1 of this Article are completed in compliance with conditions specified in Article 31 of this Federal Law, or the performance of such actions are stipulated be acts of the President of the Russian Federation or acts of the Government of the Russian Federation.

Article 28. Transactions with Shares (Ownership Interest), the Property of Commercial Organizations, or Rights in respect of Commercial Organizations Subject to the antimonopoly body’s Prior Consent

1. If the aggregate value of assets in accordance with the latest balance sheets of the person acquiring stocks (shares), rights and (or) property and the person’s group of persons and the person, whose stocks (shares) and (or) property and (or) rights related to whom are being acquired, exceeds seven billion Rubles, or if their aggregate revenues from goods sales in the last calendar year exceeds ten billion Rubles and the aggregate asset value according to the last balance sheet of the person, whose stocks (shares) and (or) property and (or) rights related to whom are being acquired, exceeds two hundred and fifty million Rubles, or if one the mentioned persons is included in the Register, the following transactions with stocks (shares), rights and (or) property shall be conducted subject to the antimonopoly body’s prior consent:

1) the acquisition by a person (group of persons) of voting stocks of a joint-stock company if such person (group of persons) acquires the right to manage more than twenty five percent of the stocks prior to this acquisition such person (group of persons) did not manage the voting stocks of the joint-stock company or manages no more than twenty five percent of voting stocks of the joint stock company. This requirement shall not apply to the founders of the joint-stock company during its incorporating;

2) the acquisition by a person (group of persons) of shares in the authorized capital of a limited liability company if such person (group of persons) acquires the right to manage more than one third of stocks in the authorized capital of the company provided that prior to this acquisition such person (group of persons) did not manage any stock of this Particular company or managed less than one third of stocks in the authorized capital of the company. This requirement shall not apply to the founders of the limited liability company during its incorporation;

3) the acquisition of shares in the authorized capital of a limited liability company by a person (group of persons), managing not less than one third of the stocks and not more than fifty percent of the stocks in the authorized capital of the company if such person (group of persons) acquires the right to manage more than fifty percent of the shares;

4) acquisition by a person (a group of persons) administering not less than twenty five percent and not more than fifty percent of voting stocks of a joint stock company, of the voting stock of such joint stock company if this person (a group of persons) gets the right to administer more than fifty percent of these voting stocks;

5) acquisition of shares in the authorized capital of a limited company by a person (a group of persons) administering not less than fifty percent and not more than two thirds of shares in the authorized capital of this company if this person (a group of persons) gets the right to administer more than two thirds of the indicated shares;

6) acquisition by a person (a group of persons) administering not less than fifty percent and not more than seventy five percent of voting stocks of a joint stock company if this person (a group of persons) gets the right to administer more than seventy five percent of such voting stocks;

7) obtaining by an economic entity (a group of entities) of fixed production assets (except plots of land and non-industrial buildings, structures, installations, premises and parts of premises, incomplete construction facilities) and (or) non-material assets of another economic entity (with the exception of a financial organization) in possession, usage or ownership, if the balance value of property, which constitutes the subject of transaction or mutually related transactions exceeds twenty percent of the book value of the fixed production assets and non-material assets of the economic entity alienating or transferring the property;

8) acquisition by a person (a group of persons) in the result of one or several transactions including transactions based on agreement on trust management, joint activity or agency contract, of rights enabling to determine the terms of exercising business activity of the economic entity (except a financial organization) or exercise the functions of its executive body.

2. Requirements provided for by Part 1 of this Article on getting preliminary consent of the antimonopoly body for execution of actions is not applied if the actions stated in Part 1 of this Article are exercised in accordance with the conditions established in Article 31 of this Federal Law or if their execution is provided for by the acts of the President of the Russian Federation or acts of the Government of the Russian Federation or if the transactions are exercised with stocks (shares) of financial organizations.

Article 29. Transactions with Stocks (Shares), Assets of Financial Organizations and Rights in respect of Financial Organizations Subject to Prior Consent of an Antimonopoly Body

1. If the value of the assets according to the latest balance sheet of a financial organizations exceeds the amount established by the Government of the Russian Federation (in case of conclusion of transactions with stocks (shares), assets of a lending institutions or with rights in respect of a lending institution, this amount shall be established by the Government of the Russian Federation in coordination with the Central Bank of the Russian Federation), the following transaction with stocks (shares), assets of a financial organizations or with rights in respect of a financial organizations shall be conducted subject to the antimonopoly body’s prior consent:

1) the acquisition by a person (group of persons) of voting stocks of a joint-stock company if this person (group of persons) acquires the right to manage more than twenty five percent of the voting stocks provided that prior to this person (group of persons) did not manage the voting stocks of the joint-stock company This requirement shall not apply to the founders of the financial organizations during its incorporation;

2) the acquisition by a person (a group of persons) of stocks in the authorized fund of a company of limited liability if this person (a group of persons) gets the right to administer more than one third of stocks in the authorized fund of this Particular company on the condition that before the acquisition such person (a group of persons) did not administer stocks of this company or administered less than one third of stocks in the authorized fund of the mentioned company. This requirement is not applied to the promoters of a financial organization during its foundation;

3) acquisition of stocks in the authorized fund of a company of limited liability by a person (a group of persons) administering not less than one third of stocks and not more than fifty percent of stocks in the authorized fund of this company if this person (a group of persons) gets the right to administer more than fifty percent of the mentioned stocks;

4) acquisition of voting stocks of a joint stock company by a person (a group of persons) administering not less than twenty five percent and not more than fifty percent of voting stocks of a joint stock company if this person (a group of persons) gets the right to administer more than fifty percent of such voting stocks;

5) acquisition of shares in the authorized fund of a company of limited liability by a person (a group of persons) administering not less than fifty percent and more than two thirds of stocks in the authorized fund of this company if this person (a group of persons) gets the right to administer more than two thirds of the mentioned stocks;

6) acquisition of voting stocks of a joint stock company by a person (a group of persons) administering not less than fifty percent and not more than seventy five percent of voting stocks of a joint stock company if this person (a group of persons) gets the right to administer more than seventy five percent of such voting stocks;

7) acquisition by a person (a group of persons) in the result of one or several transaction of assets of a financial organization, the amount of which exceeds the amount established by the RF government;

8) acquisition by a person (a group of persons) in the result of one or several transactions, including transactions based on agreement on trust management, joint activity or agency contract, of rights enabling to determine the terms of conducting business activity or exercise the functions of its executive body.

2. Requirements provided for by Part 1 of this Article on getting preliminary consent of the antimonopoly body for execution of transactions is not applied if the transactions specified in Part 1 of this Article are exercised by members of the same group of persons on the grounds, specified in Clause 1 Part 1 Article 9 of this Law, or if transactions specified in Part 1 of this Article are exercised in accordance with the conditions established in Article 31 of this Federal Law or if their execution is provided for by the acts of the President of the Russian Federation or the acts of the Government of the Russian Federation.

Article 30. Transactions, Other Actions, about Execution of Which the Antimonopoly Body Should be Notified

The antimonopoly body should be notified:

1) by a commercial organization about its creation in the result of merger between commercial organizations (except mergers between financial organizations) if the aggregate asset value according to the last balance sheet or aggregate revenues from the sale of products for the calendar year preceding the year of merger of commercial organizations, whose activity is terminated in the result of merger, exceed four hundred million Rubles – not later than forty five days from the date of merger;

2) by a commercial organization about one or several commercial organizations joining it (except financial organizations) if the aggregate asset value of the mentioned organizations, according to the last balance sheet or the aggregate revenues from the sale of goods in the calendar year preceding the year of joining exceeds four hundred million Rubles, - no later than forty five days from the date of joining;

3) by a financial organization about its creation in the result of merger between financial organizations if the aggregate asset value according to the last balance sheets of financial organizations, whose activities shall be terminated as a result of the merger, does not exceed the amount established by the Government of the Russian Federation (if the credit organization is created in the result of merger this amount is established by the Government of the Russian Federation in coordination with the Central Bank of the Russian Federation), - not later than forty five days from the date of merger;

4) by a financial organization on the joining to it of one of several financial organizations if the aggregate asset value of those financial organizations according to the last balance sheet does not exceed the amount established by the Government of the Russian Federation (if the credit organization is created in the result of joining this amount is established by the Government of the Russian Federation in coordination with the Central Bank of the Russian Federation), - not later than forty five days from the date of joining;

5) by persons acquiring stocks (shares), rights and (or) property (except stocks (shares) and (or) assets of financial organizations) about transactions, other actions specified in Article 28 of this Federal Law, if the aggregate asset value, according to the last balance sheet, or the aggregate revenue, from selling the goods, of the person acquiring stocks (shares), rights and (or) property and its group of persons and the person, whose stocks (shares), and (or) property, and the rights in its relation are acquired, and its group of persons, in the calendar year preceding the year of such transactions, other actions, exceeds four hundred million Rubles, and at the same time the aggregate asset value according to the last balance sheet of the person, whose stocks (shares) and (or) property are acquired, or concerning whom the rights are acquired, and its group of persons, exceeds sixty million Rubles, - no later than forty five days from the date of completing such transaction, or other actions;

6) the persons acquiring stock (shares), rights and (or) property of a financial organization, on completing transaction, or other actions, specified in Article 29 of this Law, if their asset value according to the last balance sheet exceeds the threshold established by the Government of the Russian Federation (for transactions with stock (shares) and (or) property of a credit organization or the rights concerning a credit organization the value threshold is established by the Government of the Russian Federation upon agreement with the Central Bank of the Russian Federation), - no later than forty five days from the date of completing such transaction, or other actions.

2. Requirement on notification of the antimonopoly body provided for by Part 1 of this Article is not applied if transactions, other actions are exercised with preliminary consent of the antimonopoly body.

Article 31. Specifics of the State Control over Economic Concentration Exercised by a Group of Persons

1. Transactions, other actions stated in Articles 27 – 29 of this Federal Law are exercised without preliminary consent of the antimonopoly body, but with its further notification about their implementation in accordance with the procedure established by Article 32 of this Federal Law in the case if in aggregate the following conditions are observed:

1) transactions, other actions stated in Articles 27 – 29 of this Federal Law are exercised by persons included in one group of persons;

2) list of persons included into one group with indication of the grounds, on which these persons were included into this group, was submitted by any included into this group person (applicant) to the federal antimonopoly body in the established form not later than one month before the implementation of transactions, other actions;

3) the list of persons included into this group has not changed for the moment of implementation of transactions, other actions in comparison with the list of such persons submitted to the federal antimonopoly body.

2. Within fourteen days from the date of receipt of the list of persons included into one group with indication of the grounds on which these persons were included into this group the federal antimonopoly body sends the applicant one of the following notifications about:

1) receipt of such a list and its displaying on the official site of the federal antimonopoly body in the Internet, if this list was submitted in the form approved by the antimonopoly body;

2) violation of the form of submitting of such list and non-compliance with the conditions stated by Part 1 of this Article.

3. The antimonopoly body must be informed about transactions, other actions, exercised in accordance with the conditions established by this Article, by a person which was interested in implementation of transactions, other actions stated in Articles 28 and 29 of this Federal Law or by a person which was created in the result of implementation of transactions, other actions stated in Article 27 of this Federal Law, - not later than forty five days from the date of implementation of such transactions, other actions.

4. The federal antimonopoly body approves the form of submitting list of persons included into one group with indication of the grounds on which these persons were included into one group.

5. The federal antimonopoly body shall remove information published at the official Internet site of the federal antimonopoly body from the site, if it ascertains the fact that information presented about members of the same group of persons is unreliable.

Article 32. Persons, Submitting Pre-merger and Post-merger Notifications about Implementation of Transactions and Other Actions Subjected to State Control, as well as Documents and Information to the antimonopoly body

1. For the purposes of getting preliminary consent of an antimonopoly body in the cases specified in Articles 27 – 29 of this Federal Law or for the purposes of notifying the antimonopoly body in the cases specified in Articles 30 and 31 of this Federal Law, the following persons shall petition to the antimonopoly body:

1) persons exercising actions specified in Clauses 1-3 Part 1 Article 27 of this Federal Law;

2) persons or one of the persons that make decision on creating a commercial organization in the cases specified in Clauses 4 and 5 Part 1 Article 27 of this Federal Law Articles 30 and 31 of this Federal Law to notify the antimonopoly body about implementation of transactions, other actions;

3) persons, acquiring stock (shares), property assets of economic entities, the rights concerning economic entities, as a result of transactions specified in Articles 28 and 29 of this Federal Law;

4) the persons that under of this Federal Law are obligated to notify the antimonopoly body about completing transactions or other actions.

2. Persons listed in Clauses 1-3 Part 1 of this Article should petition to the antimonopoly body for granting consent for transactions or other actions.

3. Persons who are obliged by Articles 30 and 31 of this Federal Law to notify the antimonopoly body about implementation of transactions, other actions submit to the antimonopoly body a pre-merger notification about implementation of such transactions, other actions.

4. Pre-merger or post-merger notification about implementation of transactions, other actions can be submitted to the antimonopoly body by a representative of applicant.

5. The following documents are submitted to the antimonopoly body together with the pre-merger or post-merger notification about implementation of transactions, other actions subjected to state control:

1) notarized copies of constituent documents for the petitioner – a legal person or family name, first name, patronymic of the petitioner – a physical physical person, data of his/her identity document (series and (or) number of the document, date and place of issue, the body that issued the document) as of the date when submission of a pre-merger petition or a post-merger notification;

2) notary certified documents and (or) information defining the subject and content of the transactions, or other actions subject to state control;

3) information about the types of activity exercised by the applicant during the last two years before the date of submitting pre-merger or post-merger notification or the period of activity if it is less than two years, as well as copies of the documents confirming the right for implementation of those types of activity, if according to the legislation of the Russian Federation a special permission required to exercise those activities, which can be exercised only by special permission in accordance with the law;

4) description of types of products, volume of products produced and sold by the petitioner in the last two years before the date of submitting a pre-merger petition or a post-merger notification or the period of implementation of the activity if it is less than two years, specifying the products’ nomenclature codes;

5) information available to the petitioner about the main types of activity of the persons specified in Articles 27 – 30 of this Federal Law, types of products, volume of products produced and sold by these persons during the last two years before the date of submitting a pre-merger petition or a post-merger notification or the period of implementation of the activity if it is less than two years, together with indication of the products’ nomenclature codes or a written petition confirming that the petitioner does not possess such information;

6) the petitioner’s balance sheet as of the last accounting date, preceding the date of submitting a pre-merger petition or a post-merger notification;

7) information about the aggregate balance asset value of the petitioner and its group of persons;

8) information about the aggregate balance asset value of the person, whose stock (shares), property and (or) assets and (or) the rights concerning this person are acquired, and its group of persons, or a written statement that the petitioner does not possess such information;

9) financial-and-economic and other reporting, filed by the petitioner to the Central Bank of the Russian Federation and the federal executive bodies regulating the market of financial services, if the petitioner is a financial organization;

10) if stock (shares), property and (or) assets and (or) the rights concerning a financial organization are acquired, financial-and-economic and other reporting of the person, whose stock (shares), property and (or) assets and (or) the rights concerning this person are acquired, which are filed to the Central Bank of the Russian Federation and the federal executive bodies regulating the market of financial services;

11) a list of commercial organizations, for which the petitioner manages on any grounds more than 5% of their stock (shares), or a written statement that the petitioner does not manage stock (shares) of commercial organizations;

12) a list of commercial organizations that manage on any grounds more than 5% of petitioner’s stock (shares);

13) a list of persons – members of the same group of persons with the petitioner, specifying the grounds under which those persons are members of this group;

14) a list of persons – members of the same group with other persons, specified in Articles 27 - 30 of this Federal Law, indicating the grounds under which those persons are members of this group, or a written statement that the petitioner does not possess such information;

15) information about the persons, in the interests of whom more than 5% of petitioner’s stock (shares) are managed by nominal holders, including the persons registered in the states that have preferential tax regulations and (or) the laws of those states have no provisions for disclosing and providing information about legal persons (offshore zones).

51. If the petitioner fails to present documents and information, specified in Part 5 of this Article, in full, the petition is not considered filed and the antimonopoly body shall inform the petitioner within ten days. The antimonopoly body shall keep the filed documents for fourteen days after the date when the petitioner received the notification; within this period the petitioner has a right to request the documents.

6. An application on getting consent for merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization or notification about merger, joining or creation of a commercial organization is signed by the applicant as well as by other persons participating in merger, joining or creation of a commercial organization. The applicant submits to the antimonopoly body documents and information about other persons Participating in merger, joining or creation of a commercial organization in accordance with the list stated in Part 5 of this Article, together with application or notification.

7. The federal antimonopoly body approves the form of submitting information provided by Part 5 of this Article.

8. If transactions or other actions require preliminary consent of an antimonopoly body or subsequent notification of an antimonopoly body under several grounds, specified in Articles 27 - 31 of this Federal Law, such transactions, or other actions, are subject to agreement as a part of a single petition or a single subsequent notification.

Article 33. Decision-Making on the Basis of Results of Examination of Application by the antimonopoly body, Issue of Determination to Applicant by the antimonopoly body.

1. The antimonopoly body is obliged to examine the application provided by Article 32 of this Federal Law and to notify the applicant of the taken decision, specifying the reasons, in writing within 30 days from the date of receipt of application.

2. The antimonopoly body takes one of the following decisions on the results of examination of application for getting consent to exercise transaction, other action, subjected to state control:

1) on satisfaction of the application if transaction, other action declared in the application will not lead to restriction of competition;

2) on prolongation of the period of examination of application because of the necessity of its additional examination as well as of getting additional information for taking decision provided by Clauses 1, 3, 4 and 5 of the present Part on the results of examination of application, if it is established that declared in the application transaction, other action can lead to restriction of competition, including in the result of emerging or strengthening of dominant position of the person (a group pf persons);

3) on prolongation of the period of examination of the application on getting consent for merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization in the cases stated in Article 27 of this Federal Law, in connection with defining of conditions after fulfillment of which by the applicant and (or) other persons Participating in such merger, joining or creation the antimonopoly body takes decision to satisfy the application or defines the period for fulfillment of theses conditions which cannot exceed nine months. These conditions are the integral Part of decision on prolongation of the period of examination of this application;

4) on satisfaction of the application for getting consent on implementation of transaction, other action stated in Articles 28 and 29 of this Federal Law and simultaneous issue of determinations provided by Clause 2 of Part 1 of Article 23 of this Federal Law to the applicant on fulfilling actions aimed at ensuring competition in the course of implementation of transaction, other action declared in the application;

5) on refusal to grant a petition if a transaction, another action declared in the petition leads or can lead to restriction of competition (in particular, as a result of emerging or strengthening of the dominant position of the person, which will be created as a result of completing the transaction, another action declared in the petition) and if in the process of examination of the filed documents the antimonopoly body finds that the information contained in the documents and significant for the decision-making is unreliable or if the petitioner has failed to submit available information, requested by the antimonopoly body, in the absence of which the antimonopoly body cannot make a decision on restriction of competition or on the absence of restriction of competition in relation to the petition in question;

6) on refusal to grant a petition if a decision was made not to grant preliminary consent for a transaction, another action, declared in the petition, in accordance wit the Federal Law “On Procedures for Foreign Investments in Business Entities of Strategic Importance for the Russian National Defence and State Security”.

(Clause 6 is introduced by No.195-FZ Federal Law of 8th November 2008)

3. The period stated in Part 1 of this Article can be prolonged for the period not more than two months by decision provided for by Clause 2 of Part 2 of this Article. In case if such decision is taken the antimonopoly body posts on its official site in the Internet the information about the expected transaction, other action declared in the application for getting consent for implementation of transaction, other action. The interested persons have the right to submit to the antimonopoly body the information about the influence of this transaction, other action on the condition of competition.

4. Decision on prolongation of the period of examination of application provided by Clause 3 of Part 2 of this Article is taken by the antimonopoly body in the case if merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization leads or can lead to restriction of competition including such as in the result of emerging or strengthening of the dominant position of person (group of persons) which will be created in the result of implementation of such actions.

5. The conditions provided by Clause 3 of Part 2 of this Article can contain the following with the aim of ensuring competition:

1) procedures of access to infrastructure, other production facilities or information managed by the applicant as well as by other persons Participating in merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization;

2) procedures of granting rights to facilities of industrial property protection which are managed by the applicant as well as by other persons Participating in merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization to other persons;

3) requirements to the applicant and (or) other persons Participating in merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization on transference of the property to the other person which is not included into one group of persons with the applicant and (or) other persons, on concession of rights of chose in action and (or) obligations of the mentioned applicant and (or) other persons to the other person which is not included into one group of persons with the mentioned applicant and (or) other persons;

4) requirements to the composition of a group of persons in which the applicant as well as other persons Participating in merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization are included.

6. After having complied with the conditions provided by Clause 3 of Part 2 of this Article the applicant submits documents confirming their implementation to the antimonopoly body. Within thirty days from the date of the documents receipt the antimonopoly body takes the decision to satisfy the application on merger between commercial organizations, joining to a commercial organization of one or several commercial organizations, creation of a commercial organization if the submitted documents confirm the fulfillment of the conditions in time, otherwise the decision to refuse in satisfying the application is given.

7. An antimonopoly body grants a petition for consent to a transaction, another action, and simultaneously issues a determination, provided for by Clause 4 of Part 2 of this Article, if transactions, other actions declared in the petition lead or can lead to restriction of competition.

8. Decision of the antimonopoly body to grant permission for transactions, other actions is ceased to be effective if such transactions, other actions are not carried out within a year from the date of the said decision approval.

9. The persons obliged by Article 30 of this Federal Law to notify the antimonopoly body of implementation of transactions, other actions, subjected to state control, have the right before implementation of such transactions, other actions to request the antimonopoly body’s consent for their implementation and the antimonopoly body is obliged to examine the applications in accordance with the procedure established by this Article.

10. In case if transactions, other actions provided by Article 30 of this Federal Law led or can lead to restriction of competition, including such as in the result of emerging or strengthening of the economic entity’s dominant position in the market, the applicant submitted to the antimonopoly body the relevant notification or a group of persons in which the applicant is included is obliged to fulfill actions, aimed at ensuring competition in accordance with the determinations of the antimonopoly body issued according to Clause 2 of Part 1 of Article 23 of this Federal Law.

Article 34. Consequences of Violation of the Procedure of Getting the antimonopoly body’s Preliminary Consent for Implementation of Transactions, Other Actions as Well as the Procedure of Submitting to the antimonopoly body of Notifications About Transactions, Other Actions Subjected to Control

1. A commercial organization founded without preliminary consent of the antimonopoly body, including organization appeared as the result of merger or joining of commercial organizations in the cases stated in Article 27 of this Federal Law is liquidated or reorganized in the way of separation or detachment at law on the antimonopoly body’s claim if its foundation led or can lead to restriction of competition, including such as in the result of emerging or strengthening of the dominant position.

2. Transactions, other actions stated in Articles 28 and 29 of this Federal Law, which were exercised without preliminary consent of the antimonopoly body are recognized invalid at law on the antimonopoly body’s claim if these transactions or other actions led or can lead to restriction of competition, including such as in the result of emerging or strengthening of the dominant position.

3. Commercial organization, which is obliged to notify the antimonopoly body about implementation of transactions, other actions stated in Clauses 1 – 4 of Part 1 of Article 30 of this Federal Law, and which violated the procedure of notification of the antimonopoly body about implementation of such transactions, other actions is liquidated or reorganized by means of separation or detachment at law on the antimonopoly body’s claim if these transactions, other actions led or can lead to restriction of competition, including such as in the result of emerging or strengthening of the dominant position.

4. If transactions, other actions stated in Clause 5 of Part 1 of Article 30 of this Federal Law were settled with violation of the order of notification of the antimonopoly body these transactions, other actions are recognized invalid at law on the antimonopoly body’s claim if these transactions, other actions led or can lead to restriction of competition, including such as in the result of emerging or strengthening of the dominant position.

5. Noncompliance with determinations of the antimonopoly body, issued in accordance with the procedure provided by Clause 4 of Part 2 of Article 33 of this Federal Law is the reason for recognition these transactions invalid at law on the antimonopoly body’s claim.

6. Noncompliance with determinations of the antimonopoly body, issued in accordance with the procedure provided by Article 33 of this Federal Law, other violations of the requirements of Articles 27 – 32 of this Federal Law alongside with the consequences indicated in this Article involves administrative responsibility in the cases established by the Russian Federation legislation on Administrative Offences.

Article 35. State Control Over Agreements Restricting Competition of Economic Entities

1. Economic entities intending to conclude an agreement which can be recognized permissible in accordance with this Federal Law have the right to apply a written application to the antimonopoly body to verify compliance of the draft agreement with the requirements of the antimonopoly legislation.

2. Economic entities intending to conclude an agreement submit to the antimonopoly body documents and information according to the list approved by the federal antimonopoly body together with the application.

3. The antimonopoly body takes a decision whether the draft agreement in written form complies with the antimonopoly law or not within 30 days from the date of submitting of all required information necessary for examination of the application.

4. The basis for taking decision on non-compliance of the draft agreement in written form with the antimonopoly legislation is:

1) the conditions provided by Parts 1 and 3 of Article 11 of this Federal Law;

2) unreliability of the information containing in the documents as well as other information important for decision-making, provided by the economic entity;

3) a failure to provide information and documents provided by Part 2 of this Article.

5. If necessary, the period of consideration of the application stated in Part 1 of this Article may be extended by the antimonopoly body, but not longer than for twenty days. The antimonopoly body shall notify the applicant in writing of extending the period of consideration of the application, specifying the reasons for the extension.

6. Decision of the antimonopoly body concerning compliance or non-compliance of a draft agreement in written form with the antimonopoly law shall expire if such agreement has not been concluded within one year from the date of adoption of the relevant decision.

7. The antimonopoly body has the right issue a determination aimed at ensuring of competition to Participants in an agreement alongside with the decision concerning the compliance of the draft agreement in written form with the antimonopoly law.

8. The antimonopoly body has the right to cancel its decision concerning the compliance of a draft agreement in written form with the antimonopoly legislation in the cases if:

1) it was established after the decision had been taken that the information presented for examination by the economic entity intending to conclude an agreement was unreliable;

2) the economic entities intending to conclude an agreement fail to fulfill the determination of the antimonopoly body provided by Part 7 of this Article.

9. Financial organizations are obliged to submit notification to the federal antimonopoly body about all agreements concluded in any form between each other or with bodies of executive authority, bodies of local self-government, as well as with any organizations in accordance with the procedure established by this Federal Law, except:

1) agreements between financial organizations whose aggregate share in the goods market is below the margin established by the Government of the Russian Federation;

2) agreements for providing financial services;

3) agreements concluded in the course of every day activity of a financial organization.

10. Form of the notification stated in Part 9 of this Article is established by the federal antimonopoly body. The notice shall be supplemented with the following documents:

1) a copy of the agreement concluded in written form with enclosures;

2) information about the main types of activity of the persons, which concluded the agreement, and about their profit from the main types of activity;

3) financial and economic accounts submitted to the Central Bank of the Russian Federation, and the federal executive authorities regulating the market of financial services.

11. The federal antimonopoly body is not empowered to request financial organizations to present other documents and information, except provided for by Part 10 of this Article.

12. The obligation to notify the federal antimonopoly body in written form about concluding the agreement must be exercised by the person, that concluded the agreement, within fifteen days from the date of its conclusion.

Chapter 8. Responsibility for Violation of the Antimonopoly Legislation

Article 36. Obligation to Fulfill Decisions and Determinations of an Antimonopoly Body

Commercial organizations and non-commercial organizations (their officials), federal executive authorities of the Russian Federation (their officials), bodies of public authority of the Subjects of the Russian Federation (their officials), bodies of local self-government (their officials), other bodies or organizations exercising the functions of the above-mentioned bodies, as well as public extra-budgetary funds (their officials), physical persons, including individual entrepreneurs, are obliged to fulfill decisions and determinations of the antimonopoly body within the period established by such decisions and determinations.

Article 37. Responsibility for Violation of the Antimonopoly Legislation

1. Officials of federal executive authorities, public authorities of the subjects of the Russian Federation, bodies of local self-government, other institutions or organizations discharging the functions of the aforementioned authorities or bodies of local self-government, officials of other bodies or organizations exercising the functions of the above-mentioned bodies, as well as officials of public extra-budgetary funds, commercial and noncommercial organizations and their officials, physical persons, including individual entrepreneurs bear responsibility provided for by legislation of the Russian Federation

2. Imposing responsibility on persons stated in Part 1 of this Article do not exempt them from the duty to fulfill the decision and determination of the antimonopoly body, to submit to the antimonopoly body application or notices for examination or carry out other actions provided by the antimonopoly legislation.

Article 38. Forced Division or Separation of Commercial Organizations as well as Non-commercial Organizations Exercising Profit Generating Activity

1. In case of systematic implementation of monopolistic activity by commercial organization occupying dominant position as well as noncommercial organization exercising profit generating activity, the court on the claim of the antimonopoly body (on the claim of the antimonopoly body in coordination with the Central Bank of the Russian Federation with regard to a credit organization) has the right to take decision on forced division of such organizations or decision on separation of one or several organizations from them. Organizations created in the result of forced separation cannot be included in one group of persons.

2. Court decision on forced division of commercial organization or on separation of one or several organizations from it is taken with the aim of development of competition, if in aggregate the following conditions are fulfilled:

1) possibility of separation of structural units of the commercial organization;

2) absence of technologically conditioned interconnection between structural units of the commercial organization (specifically, if thirty or less percent of overall volume of products (works, services) produced by its structural unit is consumed by the other structural units of this commercial organization);

3) possibility of independent operation in the relevant goods market for legal persons created in the result of this reorganization.

3. Court decision on forced division of commercial organization or on separation of one or several organizations from it as well as on such division or separation of noncommercial organization exercising profit generating activity shall be fulfilled by the owner or the latter's authorized representative agency, taking into consideration requirements provided by the stated decision and within the period determined by it, which can not be less than six months.

Chapter 9. Consideration of Cases on Violating the Antimonopoly Legislation.

Article 39. Grounds for Initiating a Case on Violating the Antimonopoly

Legislation, Location of Examination of the Case, and the Consequences of

Revealing the Signs of an Administrative Offence in Course of Case Examination

1. The antimonopoly body initiates and reviews the cases of violation of the antimonopoly legislation, adopts decisions on these cases and issues determinations based on these decisions within the frames of its authorities

2. Basis for initiation and review of the cases of violation the antimonopoly legislation (further on referred to as the case) by the antimonopoly body are:

1) receipt of documents (further on referred to as documents) indicating the signs of violation of the antimonopoly legislation from state bodies or bodies of local self-government;

2) an application from a legal person or a physical person (further on referred to as the application);

3) detection by the antimonopoly body of the signs of violation of the antimonopoly legislation;

4) mass media reports, natural and legal persons’ reports pointing out the signs of violation of the antimonopoly legislation

5) findings of an inspection, that revealed the facts of violating the antimonopoly legislation by commercial organizations, noncommercial organizations, federal executive bodies, the authorities of the constituent territories of the Russian Federation, local self-government bodies, other agencies or organizations exercising the functions of the above bodies, and state extra-budgetary funds.

3. A case on violating the antimonopoly legislation can be considered by the antimonopoly body of the territory where the violation was committed or at the location (residence) of the person against whom the complaint about the antimonopoly violation is lodged. The federal antimonopoly body can process the above case regardless of the location where the violation was committed or the location or place of residence of the person against whom the claim or materials are filed.

4. The rules of passing applications, documents and cases of violation of the antimonopoly legislation by the antimonopoly body to another antimonopoly body for examination are established by the federal antimonopoly body.

5. If in the course of examination of the case of violation of the antimonopoly legislation the antimonopoly body reveals circumstances indicating the presence of administrative violation, the antimonopoly body initiates a case of administrative violation in accordance with the procedures established by the law on Administrative Offences of the Russian Federation.

Article 40. The Commission for Review of the Cases on Violating

the Antimonopoly Legislation

1. For examination of each case of violation of the antimonopoly legislation, the antimonopoly body establishes a Commission for examination of the case of violation of the antimonopoly legislation (referred to further on to as the Commission) in accordance with the procedures provided by this Federal Law. The Commission speaks in the name of the antimonopoly body. The membership and the chairman of the Commission are approved by the antimonopoly body.

2. The Commission consists of employees of the antimonopoly body. The head of the antimonopoly body or his/her deputy can be a chairman of the Commission. The number of the Commission members must be not less than three. A member of the Commission can be substituted on the basis of the antimonopoly body’s motivated decision.

3. For examination of the case of violation of the antimonopoly legislation by a credit organization in the banking services market representatives of the Central Bank of the Russian Federation should be included in the Commission on a permanent basis and should compose a half of the members.

4. For examination of the case of violation of the antimonopoly legislation by financial organizations (except credit organizations) having license issued by the federal body of executive authority on securities market representatives of the mentioned body should be included in the Commission and should compose a half of the members.

5. Number of members (including the Chairman) of the Commission on examination of the cases of violation of the antimonopoly legislation stated in Parts 3 and 4 of this Article should be even.

6. The Commission is eligible to examine the case of violation of the antimonopoly legislation if not less than fifty percent of the whole number of members of the Commission are present at the session but not less than three members of the Commission.

7. Questions arising in the process of examination of the case of violation of the antimonopoly legislation should be solved by a majority vote. In case of equal spread of affirmative and negative votes the Commission chairman has a casting vote. The members of the Commission have no right to abstain from vote, the chairman of the Commission votes the last.

Article 41. Acts Adopted by the Commission

1. The Commission adopts orders, decisions, and determinations.

2. Upon the completion of the review of the case of violation of the antimonopoly legislation the Commission adopts decision at its session. Decision of the Commission is presented as a separate document and is signed by all members of the Commission present at the session where the decision has been taken. The member of the Commission who disagrees with the Commission’s decision is obliged to sign the act adopted by the Commission and to present his special opinion in written form and it will be joined to the case papers. Decision of the Commission is made in one copy which is joined to the case papers.

3. Decision on the case of violation of the antimonopoly legislation contains:

1) conclusions about presence or lack of grounds for dismissal of the case;

2) conclusions about presence or lack of violation of the antimonopoly legislation in the actions (lack of action) of the defendant;

3) conclusions about presence or lack of grounds for issuing determination and a list of obligatory actions, included in the determination;

4) conclusions about presence or lack of grounds for taking other measures for ceasing violation of antimonopoly legislation and (or) reverting its consequences, ensuring competition (including such measures as appeal to court, documents’ transfer to the law machinery, recommendations on the actions aimed at development and ensuring of the conditions for competition given to the authority bodies and bodies of local self-government by the antimonopoly body).

5) conclusions about the cases for violating the antimonopoly legislation, made on the basis of the circumstances, established by an antimonopoly body upon analyzing the state of competition, except cases, to process which such analysis is not mandatory.

4. The Commission issues a determination on the basis of the decision. Determination is made out like a separate document for each person who is obliged to fulfill the actions determined in the decision within the period established in the determination, and it is signed by the chairman and members of the Commission presenting at the meeting

5. Chairman of the Commission or the Commission pronounces an order in the cases mentioned in this Article. The order is presented as a separate document, signed by the chairman and the members of the Commission and sent to the persons participating in the case as well as to other persons in the cases stated in this Article.

6. Templates of acts adopted by the Commission are approved by the federal antimonopoly body.

Article 411. Period of Limitation for the Cases on Violating the Antimonopoly Legislation

A case on violating the antimonopoly legislation cannot be initiated and an open case should be closed on expiration of three years after the violation of the antimonopoly legislation was committed, and in case of an ongoing violation of the antimonopoly legislation – after the date the violation was stopped or discovered.

Article 42. Persons Participating in Violation of the Antimonopoly Legislation Case

1. Persons participating in the violation of the antimonopoly legislation case are:

1) petitioner– is the person who submitted a petition, a state body or a local self-government body which sent the documents;

2) defendant – is the person regarding to who the application was submitted and documents were sent, or in whose actions (lack of action) the antimonopoly body found the signs of the antimonopoly law violation. The mentioned persons are recognized as defendants in the case of violation of the antimonopoly legislation from the moment of initiation of the proceedings;

3) interested persons – are the persons on whose rights and legitimate interests influence examination of the case of violation of the antimonopoly legislation.

2. The persons participating in examination of the case of violation of the antimonopoly legislation have the right to exercise their rights and obligations by themselves or through their representative.

3. If during examination of the case of violation of the antimonopoly legislation the Commission establishes that the actions (lack of action) of a person other than the defendant contain the elements of violation of the antimonopoly legislation, the Commission has the right to impose liability on such person as a defendant or the second defendant in the case. If the Commission fails to find the fact of violation of the antimonopoly legislation in the actions of one of the defendants, the Commission issues order on termination of the person’s Participation in the case examination. Copy of the order on termination of the person’s Participation in the case examination is immediately sent to the persons participating in the case.

4. In the course of examination of the case of violation of the antimonopoly legislation the Commission has the right to involve experts, translators as well as persons obtaining information about the circumstances examined by the Commission and are not the persons Participating in the case. The mentioned above persons are not persons participating in the case. The Commission issues order on involvement of experts, translators as well as persons obtaining information about the circumstances examined by the Commission to the examination of the case and sends them copies of the order within three days since the date of the order’s issuance.

Article 43. The Rights of Persons Participating in a Case on Violating the Antimonopoly Legislation

From the moment of initiating the violation of the antimonopoly legislation case persons Participating in the case have the right to familiarize themselves with the materials of the case, to make abstracts from them, to give evidence and to familiarize themselves with the evidence, to put questions to the other Participants, to enter petitions, to give written and oral explanations to the Commission, to present their arguments on all questions arising in the course of examination of the case, to familiarize themselves with the petitions entered by the other persons, to object to the other Participants’ of the case petitions, arguments.

Article 44. Examining a Petition and Documents and Initiating a Case on Violating the Antimonopoly Legislation

1. The antimonopoly body examines an application or documents within the period of one month from the date of their submission. In the case of lack or absence of evidence that let the antimonopoly body come to the conclusion that there are or there are no elements of violation of the antimonopoly legislation the antimonopoly body has the right to prolong the period of examination of application or documents for not more than two months. The applicant is informed about the prolongation of the period of examination of application or documents in written form by the antimonopoly body.

2. In the course of examination of application or documentation the antimonopoly body has the right to request from physical persons, legal persons, state bodies and bodies of local self-government documents, information, written or oral explanations connected with the circumstances stated in the application observing the requirements of the legislation on state, bank, commercial and other Registered secret.

3. On the results of the application’s examination the antimonopoly body adopts one of the following decisions:

1) on initiating a case on violating the antimonopoly legislation;

2) on refusal to initiate a case on violating the antimonopoly legislation due to lack of elements of the violation.

4. If the decision to initiate a case on violating the antimonopoly legislation is adopted, the antimonopoly body issues an order to initiate a case and to establish the Commission. The copy of the order is sent to the applicant and the defendant within three days from the date of its issue.

5. Decision on refusal to initiate a case on violating the antimonopoly legislation is sent by the antimonopoly body to the applicant indicating the reasons for adopting such decision within the period established in Part 1 of this Article.

6. Within the term not exceeding fifteen days from issuing the order on establishing violation of antimonopoly legislation case and appointment of the reviewing Commission the Chairman of the Commission issues an order on submitting case for consideration and sends its copies to all parties of the case.

Article 45. Examining a Case on Violating the Antimonopoly Legislation

1. A case on violating the antimonopoly legislation is examined by the Commission within three months period from the date of issuing the order to initiate proceedings. In some cases involving a necessity of getting more information by the antimonopoly body as well as in the cases established in this Chapter the mentioned period may be prolonged by the Commission but not longer than for six months. The Commission issues an order about prolongation of the period of the case examination and sends copies of the order to the persons participating in the case.

2. Examination of the case of violation of the antimonopoly legislation is exercised at the Commission session. Persons participating in the case should be notified about time and place of its examination. If the persons participating in the case were duly informed about the time and place of the case examination but failed to attend the session, the Commission has the right to consider the case in their absence. During the case examination the minutes, which are signed by the Commission Chairman, are kept. The Commission has the right to take shorthand or audio record of the session, making an entry about it in the minutes.

3. The Chairman of the Commission:

1) opens the session;

2) announces the list of the Commission members;

3) announces the case subjected for examination, checks the appearance of persons Participating in the case at the Commission session, considers their authorizations, establishes whether the persons who failed to appear at the session were duly notified and that information concerning the reason of their non-appearance is available;

4) ascertains the possibility of consideration of the case;

5) explains their procedural rights and liabilities to the persons participating in the case, establishes the sequence of holding procedural actions;

6) directs the Commission session, ensures conditions for comprehensive and complete examination of evidence and circumstances of the case, and ensures consideration of applications and presentations of the persons participating in the case;

7) takes measures to ensure proper order at the Commission session.

4. At the Commission session the members:

1) hear the persons Participating in the case;

2) hear and discuss the petitions, adopt decisions on the petitions which are reflected in the minutes of the session;

3) examine the evidence;

4) hear opinions and explanations of the persons participating in the case concerning the evidence presented by the persons participating in the case;

5) hear and discuss the position of experts and specialists attracted with the purpose of making conclusions;

6) hear the persons disposing of information concerning the circumstances of the case under examination;

7) on application of the persons participating in the case or on the Commission initiative the questions about the necessity to make a recess in the session, to postpone or to stay an action are discussed.

5. During the consideration of the case of violation of the antimonopoly legislation the Commission has the right to require from the persons participating in the case documents and information, written and oral explanations on the questions arising in the course of examination, to attract other persons to Participation in the case.

6. Having examined the case evidence, presentation of position of the persons Participating in the case, conclusions of experts and specialists, questioning of the persons disposing of factual evidence on the circumstances examined by the Commission, the Commission chairman announces the conclusion of the case examination and asks the persons Participating in the case and other persons assisting in the case examination to leave so that the Commission takes a decision.

Article 46. A Recess in the Session of the Commission

1. On application of the persons Participating in the case of violation of the antimonopoly legislation or on its own initiative the Commission has the right to announce a recess in the session for a period not exceeding seven days.

2. Examination of the case of violation of the antimonopoly legislation by the Commission after the recess is continued from the moment where it was interrupted. A repeated examination of the evidence considered before the recess in the Commission session is not conducted.

Article 47. Postponement and Suspension of Examination of a Case of Violation of the Antimonopoly Legislation

1. The Commission has the right to postpone the examination of the case of violation of the antimonopoly legislation:

1) on petition of a Party to the case in connection with impossibility of this person or his/her representative appearance at the Commission session for a valid reason, confirmed by relevant documents;

2) in connection with the necessity to obtain complementary evidence;

3) for attracting to Participation in the case of persons assisting the case consideration and other persons, whose Participation is considered necessary by the Commission;

4) if in the course of examination it is established that in the actions (inactions) of the defendant there are elements of some other violation of the antimonopoly law than the violation that is examining;

5) in other cases provided by this Article.

2. If the case of violation of the antimonopoly legislation is postponed the running of the term of the case examination is not interrupted. The examination of the case at a new session after the recess is continued by the Commission from the moment where it was interrupted.

3. The Commission can suspend examination of the case of violation of the antimonopoly legislation in the case and for the period of:

1) examination by the antimonopoly body, the court, investigative authorities of another case, the conclusions on which would be significant for examination of the case of violation of the antimonopoly legislation;

2) making an expert examination.

4. The running of the term of examination of the case of violation of the antimonopoly legislation is interrupted for the period of suspension of the case examination, and resumes from the moment of the case resumption. The examination of the case resumes from the moment at which it was suspended

5. The Commission issues a order about postponement, suspension or resumption of examination of the case of violation of the antimonopoly legislation as well as about making an expert examination a copy of which is sent to the persons Participating in the case within three days period from date of its issue. Copy of the order about an expert examination is also sent to the expert within three days period from date of its issue.

Article 471. Consolidating or Separating Cases on Violations of the Antimonopoly Legislation

1. For the purposes of full, comprehensive and objective consideration of cases, an antimonopoly body, upon petitions of the persons participating in the case, or upon its own initiative, according to the procedures established by the antimonopoly body, can consolidate two and more cases on violating the antimonopoly legislation, and also separate one or several cases.

2. The antimonopoly body shall make a definition on consolidating or separating cases.

3. Membership of the Commission for consideration of consolidated or separated cases shall be determined by an order of the antimonopoly body.

Article 48. Dismissal of the Case of Violation of the Antimonopoly Legislation

1. The Commission terminates the legal proceedings of the case of violation of the antimonopoly legislation in the following cases:

1) voluntary elimination of violation of the antimonopoly legislation and its consequences by the person who has committed the violation;

2) absence of violation of the antimonopoly legislation in the examined by the Commission actions (lack of action);

3) liquidation of the legal person – the only respondent in the case;

4) death of a physical person – the only one respondent in the case;

5) ) if there is a legal act which came into force where there are conclusions on presence or absence of violation of the antimonopoly legislation in the actions (lack of action) which are the subject of the consideration in the case.

2. The Commission adopts the decision to stop the legal proceedings of the case of violation of the antimonopoly legislation in accordance with the requirements established by Article 41 of this Federal Law. If the proceedings are terminated under Clause 1 Part 1 of this Article, the substantive part of the decision to terminate the proceedings must include information on establishing the fact of violation the antimonopoly legislation by the defendant(s).

Article 49. Adoption of a Decision on a Case of Violation of the Antimonopoly Legislation by the Commission

1. In course of adopting decisions the Commission:

1) assesses evidence and arguments submitted by the persons participating in the case;

2) assesses conclusions and explanations of experts as well as of persons disposing of factual evidence about the circumstances considered by the Commission;

3) determines the norms of the antimonopoly or other legislation of the Russian Federation which were violated by the actions (lack of action) examined by the Commission;

4) establishes rights and obligation of the persons participating in the case;

5) decides question about issuing determinations and about their content, as well as of the necessity to exercise other actions aimed at elimination and (or) prevention of the antimonopoly law violation, including the question of sending materials to the law enforcement agencies, referring a claim to court, sending proposals and recommendations to the authority body and local government bodies.

2. The decision adopted by the Commission should be declared after the case examination is completed. In so doing only the resolution Part of the decision may be declared. The decision should be formulated in full and sent to the persons participating in the case within the period not exceeding ten working days from the moment of declaration of the substantive part of the decision. Copies of the decision are immediately sent or presented to the persons participating in the case. The date when the decision was formulated in full, is considered the date when the decision was made.

Article 50. Determinations on the Case of Violation of the Antimonopoly Legislation

1. On the results of examination of the case of violation of the antimonopoly legislation and on the basis of the decision the Commission issues determinations to the defendant in the case.

2. The determination on the case of violation of the antimonopoly legislation is made out simultaneously with the decision. Copy of the determination is immediately sent or presented to the person, to whom it is prescribed to fulfill the actions determined in the decision

Article 51. Fulfillment of the Determination on the Case on Violating the Antimonopoly Legislation. Consequences of Non-Fulfillment of the Determination on Transferring the Revenue, Gained by Monopolistic Activity or Unfair Competition, to the Federal Budget

1. The determination on the case of violation of the antimonopoly legislation is subjected to be fulfilled within the period specified in it. The antimonopoly body exercises control over fulfillment of its determinations.

2. The failure to fulfill determination on the case of violation of the antimonopoly legislation in time entails administrative responsibility.

3. A person, whose actions (lack of action) in accordance with the procedures established in this Federal Law is recognized as monopolistic activity or unfair competition and are impermissible according to the antimonopoly legislation is obliged to transfer to the federal budget the revenue received from these actions (lack of action) according to the determination of the antimonopoly body. In the case of failure to fulfill determination the revenue received from the monopolistic activity or unfair competition is subjected to collecting into the budget at the suit of the antimonopoly body.

4. Partial fulfillment of the determination within the established period or deviation from fulfillment or belated fulfillment of the determination is implied under the failure to fulfill determination on the case of violation of the antimonopoly legislation in time. Failure to meet the deadline for determination constitutes a violation of the antimonopoly legislation.

5. The Commission can extend the deadline for fulfilling a determination on the antimonopoly case for no more than six months upon a reasonable petition of the defendant(s), if the reasons indicated in the petition are found valid. The petition for extending the deadline of such a determination must be forwarded to the antimonopoly body no later than twenty working days before the deadline for fulfilling the determination.

6. A definition on extending the deadline for fulfilling the determination or on refusal to extend the deadline shall be signed by the Chairman and members of the Commission and within ten working days after the petition was received shall be sent to the defendant(s) on the case by registered mail with notification of delivery or handed over to their representatives against receipt.

7. If the defendant(s) on the case are held administratively liable for failure to meet the determination deadline, within five working days after the date when the resolution on administrative sanctions was passed the Commission shall make a definition on a new deadline for fulfillment of the earlier issued determination. The definition shall be signed by the Chairman and members of the Commission and sent to the defendant(s) or their representatives by registered mail with notification of delivery or handed over against receipt.

Article 52. Order of Appeal against Decisions and Determinations of the antimonopoly body

Decisions or determinations of the antimonopoly body can be appealed within three months from the date when the decision was adopted and the determination was issued. The appeal to a court of law or an arbitration court suspends the fulfillment of the determination issued by the antimonopoly body for the period of its examination in a court of law until the court’s ruling comes into legal force.

Chapter 10. Concluding Provisions and Coming into Effect of this Federal Law

Article 53. Concluding Provisions

1. Starting from the date of this Federal Law coming into effect, the following is recognized invalid:

1) Articles 1 – 3, indentions 1 – 25 of Part 1 of Article 4, Parts II – VII of the RSFSR law of March 22, 1991 № 948-1 “On Competition and Restriction of Monopolistic Activities in Goods Markets (Vedomosti of the Congress of People’s Deputies of the RSFSR and the Supreme Soviet of the RSFSR 1991, № 16, p. 499);

2) The Federal Law of June 23, 1999 № 117-FZ “On Protection of Competition in the Financial Services Market” (The RF Code of Laws 1999, № 26, p. 3174);

3) Clauses 1 – 4, 6 – 26, 30 – 34 of Article 1 of the Federal Law of May 25, 1995 № 83-FZ “On Introduction of Changes and Additions to the RSFSR Law “On Competition and Restriction of Monopolistic Activities in Goods Markets” (The RF Code of Laws, 1995, № 22, p. 1977);

4) the Federal Law of May 6, 1998 № 70-FZ “On Introduction of Changes and Additions to the RSFSR Law “On Competition and Restriction of Monopolistic Activities in Goods Markets” (The RF Code of Laws, 1998, № 19, p. 2066);

5) the Federal Law of January 2, 2000 № 3-FZ “On Introduction of Changes and Additions to Article 18 of the RSFSR Law "On Competition and Restriction of Monopolistic Activities in Goods Markets” (The RF Code of Laws, 2000, № 2, art. 124);

6) indentions 2 – 5, 38 – 42 of Article 3 of the Federal Law of December 30, 2001 № 196-FZ “On coming into effect of the RF Code of Administrative Infringements” (The RF Code of Laws, 2002, № 1, art. 2);

7) Clause 2 of Article 2 of the Federal Law of March 21, 2002 № 31-FZ “On bring of the statutory acts in accord wit the Federal Law “On State Registration of Legal Persons” (The RF Code of Laws, 2002, № 12, art. 1093);

8) Clauses 1 – 4, 6 – 33 of the Federal Law of October 9, 2002 № 122-FZ “On introduction of changes and additions in the RSFSR Law "On Competition and Restriction of Monopolistic Activities in Goods Markets” (The RF Code of Laws, 2002, № 41, art. 3969);

9) The Federal Law of March 7, 2005 № 13-FZ “On Introducing Changes and Additions to Articles 17 and 18 of the RSFSR Law "On Competition and Restriction of Monopolistic Activities in Goods Markets” (The RF Code of Laws, 2005, № 10, art. 761);

10) Articles 2 and 21 of the Federal Law of February 2, 2006 № 19-ФЗ “On introduction of changes in some statutory acts of the Russian Federation and recognizing invalid separate provisions of the statutory acts of the Russian Federation in connection with adoption of the Federal Law “On Placement of Orders for Goods, Works and Services for State and Municipal Needs” (The RF Code of Laws, 2006, № 6, art. 636).

2. Starting from the date of coming into effect of this Federal Law and till bring into line with this Federal Law of other laws and other statutory legal acts of the Russian Federation regulating relations connected with protection of competition in the Russian Federation, prevention and restriction of the monopolistic activity and unfair competition the mentioned above laws and other statutory acts are applied in the Part which does not contradict with this Federal Law.

3. Until establishing the procedures under Part 5 Article 17.1 of this Federal Law for organizing tenders or auctions for the right to enter into contracts, specified in Parts 1 and 3 Article 17.1 of this Federal Law, tenders for the right to enter into such contracts are organized in accord with the procedures established by No.115-FZ Federal Law “On Concessionary Agreements” of 21st July 2005, and the auctions for the right to enter into such contracts are organized in accord with the procedures established by No.178-FZ Federal Law “On Privatizing State and Municipal Property” of 21st December 2001.

4. Before 1st July 2015, lease contracts, specified in Parts 1 and 3 Article 171 of this Federal Law and concluded before 1st July 2008 with small and medium companies, except small and medium companies listed in Part 3 Article 14 of No.209-FZ Federal Law of 24th July 2007 “On Developing Small and Medium Business in the Russian Federation”, and small and medium companies involved in production and processing of mineral resources (except generally found mineral resources), can be concluded for a new period without tenders or auctions, provided that at the time of entering into such a lease contract for a new period there were no reasons for its early termination, as provided for by the civil law. The lease contracts, specified in this Part, cannot be concluded for a period longer than 1st July 2015.

5.Before 1st January 2011, information about organizing tenders or auctions for the for the right to enter into contracts, specified in Parts 1 and 3 Article 17.1 of this Federal Law, must be published at the official Internet site of the Russian Federation, the official Internet site of a constituent territory of the Russian Federation, the official Internet site of a municipality for publishing information about tenders, that are determined by the federal executive body authorized by the Government of the Russian Federation, the supreme executive body of a constituent territory of the Russian Federation, a local self-government body accordingly. Notices about tenders or auctions, changes to then, notices on refusal to organize tenders or auctions must also be published at the official print media, determined on a competitive basis by the federal executive body authorized by the Government of the Russian Federation, the supreme executive body of a constituent territory of the Russian Federation, a local self-government body.

Article 54. Coming into Effect of this Federal Law

This Federal Law will come into effect after ninety days from the date of its official publication.

V. PUTIN

President of the Russian Federation

Moscow, the Kremlin

26th July 2006

No. 135-FZ

俄罗斯联邦

RU052

Federal Law No. 135-FZ of July 26, 2006, on the Protection of Competition

FEDERAL LAW