- Russian Federation
- Eighteenth circuit Arbitrazh Court of Appeal
REFERENCE TO UNIDROIT PRINCIPLES TO INTERPRET APPLICABLE DOMESTIC LAW (RUSSIAN LAW)
CONTRACT OF LEASE - LOSS TO PROPERTY DUE TO FIRE - LESSEE ENTITLED TO DAMAGES FOR NON-PERFORMANCE OF CONTRACT BY LESSOR - REFERENCE TO ARTICLE 393 (1) OF RUSSIAN CIVIL CODE AND TO ARTICLE 7.4.1 OF UNIDROIT PRINCIPLES.
Two Russian companies entered into the contract of lease, where the Claimant was the lessor and the Respondent was the lessee of the engineering workshop. A fire broke out and Claimant filed a suit for the loss caused to nonresidential premises. The court of the first instance decided in favour of Claimant finding that according to Russian law the lessee is liable for the accidents that take place during the contract of lease. The Respondent filed a suit to the commercial court of appeals. The court of appeals overruled the decision of the court of first instance, referring to Art. 393 (1) of the Civil Code of the Russian Federation and to Art. 7.4.1 of the UNIDROIT Principles.