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CONTRACTUAL RELATIONSHIP ON MANAGEMENT IN CORPORATE LAW: ANALYSIS OF LAW ENFORCEMENT PRACTICE

CONTRACTUAL RELATIONSHIP ON MANAGEMENT
IN CORPORATE LAW:
ANALYSIS OF LAW ENFORCEMENT PRACTICE

A.A. PAVLOV,
Head of the Department of Legal Support of Liquidation Procedures,
State Corporation “Deposit Insurance Agency”, Postgraduate Student,
Kazan (Volga Region) Federal University

DOI: 10.24031/2226-0781-2019-9-6-27-44

Democratization and economic capacity building as the key guidelines of the Russian state
predetermine the need to model a new legal regulation that ensures the effective functioning
of instruments to achieve the socio-economic goals. Given that the domestic contractual
instruments, which operates the Russian civil legislation, significantly lags behind the real
needs of economic turnover, the article proposes a new civil contract aimed at streamlining
management relations-the contract of management of other people’s affairs. One of the
areas in which there is an objective need for contractual regulation of management acts, it
is necessary to recognize corporate law, through the prism of which the new civil contract
proposed by the author is considered. Since the mechanism of establishing and implementing
such a binding legal relationship in corporate law is inherently similar to the mechanism of
concluding and executing a contract with a management organization, our study is based
on the analysis of law enforcement practice around the contract with the management
organization. The author pays attention to the problem of determining the type of ownership
of the management contract in judicial and arbitration practice; considers the requirements
for the mechanism of transfer of powers of the sole executive body of a business company
to the management organization; analyzes the procedural features of the notification of
the economic company on consideration of an administrative case in the case of transfer of
powers to the management organization; reveals the issue of civil liability of the management
organization of the economic company; identifies the problem of recognition of management
costs economically justified, from the point of view of tax legislation. The analysis of judicial
and arbitration practice points to serious law enforcement difficulties arising when using the
contractual model of private management. It is concluded that the contract of management of
other people’s affairs should be concluded with all entities involved in corporate governance,
and not only with the sole executive body of the legal entity.

Keywords: contract of management of other people’s affairs; corporate management; private
management; contractual relationship; management organization; management bodies
of a legal entity; contractual regulation; civil law.

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Information about the author

A.A. Pavlov (Moscow, Russia) – Head of the Department of Legal Support of Liquidation
Procedures, State Corporation “Deposit Insurance Agency”, Postgraduate Student,
Kazan (Volga Region) Federal University (4 Vysotskii St., Moscow, 109240, Russia;
e-mail: info@asv.org.ru).

Recommended citation

Pavlov A.A. Dogovornoe pravootnoshenie po upravleniiu v korporativnom prave:
analiz pravoprimenitel’noi praktiki [Contractual Relationship on Management in Corporate
Law: Analysis of Law Enforcement Practice]. Vestnik grazhdanskogo protsessa
– Herald of Civil Procedure, 2019, vol. 9, no. 6, pp. 27–44. (In Russ.) https://doi.
org/10.24031/2226-0781-2019-9-6-27-44

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A.A. PAVLOV