Clifford Chance

Arbitrability of Real Estate Disputes (English)

2 June 2011

On 26 May 2011 the Constitutional Court of the Russian Federation ("Constitutional Court"), in response to a request by the Supreme Arbitrazh Court of the Russian Federation ("Supreme Arbitrazh Court"), issued a decree clarifying whether or not domestic arbitral tribunals may resolve real estate disputes and render awards giving rise to the transfer of rights to and state registration of such property or to mortgage foreclosure. The Constitutional Court decree also sets out conclusions as to the arbitrability of disputes (i.e. the possibility of disputes being heard by arbitral tribunals) that are within the exclusive jurisdiction of Russian state arbitrazh (i.e. commercial) courts. The Constitutional Court's approach can be applied not only to domestic tribunals, but also to international commercial arbitrations.

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