KIAP wins another precedent-setting victory for METRO Cash & Carry against FAS

On 27 September the Arbitrazh (Commercial) Court of the city of Moscow handed down its judgment in METRO Cash & Carry vs FAS of Russia. The case was in the trial court's pipeline for about a year and a half. During this time it was followed by all food retailers. The Arbitrazh Court ruled illegal and quashed the decision and order of FAS of Russia, as well as 63 administrative rulings that had found METRO Cash & Carry discriminating against suppliers of fish and fish products. Despite the fact that courts have already set aside a number of similar decisions of regional arms of FAS of Russia, this case is the first won by a retail chain, with discrimination findings made by the central office of the FAS of Russia and charges brought in on a federal scale. 

The antitrust regulatory authority's accusations are predicated on the idea that discrimination is evidenced by the establishment of a charge for services that the retail chain renders its suppliers, set as a percentage of the business under the supply contract. The Firm's lawyers argued in the courtroom that such approach is at variance with the general principles of civil law, and specifically the principle of freedom of contract. The project team was led by lawyer Ilya Ischuk, partner in the Firm. Both in the FAS of Russia proceedings and in the courtroom, the principal was co-represented with him by lawyer Alexey Sizov.