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Rules of fish auction conduct on request of Dmitry Donskoy’s Block LLC;

Rules of fish auction conduct on request of Koryakmoreproduct LLC

Rules of fish auction conduct on request of Fishery Collective Farm Druzhba

CIVIL CODE OF THE RUSSIAN FEDERATION (part 1) dated 30.11.1994 (revised on 13.07.2015) (with amendments and supplements introduced from 01.10.2015)

Article 447. Making a Contract at Bidding
 
1. The Contract, unless its essence otherwise requires, may be concluded by means of bidding. A Contract is made with person that wins the bidding.
2. An organizer of the bidding can be owner of an object, holder of other interest in the object, other person interested in making a contract with a person that will win the bidding, as well as a person acting together with said persons based on the contract and acting on their behalf or on its own behalf, unless otherwise stipulated by Law (Notary, specialized organization etc.).
(i.2 as amended by the Federal Law No. 42-FZ dated 08.03.2015)
3. In cases stipulated in the present Code or in another law, agreements of object or other proprietary right sales can be made only by means of bidding.
4. Bidding (including electronic one) is held in a form of an auction, contest or other form stipulated by Law. (as amended by the Federal Law No. 42-FZ dated 08.03.2015)
A winner of bidding at an auction is a person that has offered the highest price, and for a contest – a person that in the opinion of the contest committee, which is appointed by organizer of the bidding in advance, has proposed the best conditions.
ФBidding form is defined by an owner of an object being sold or holder of a proprietary right being exercised, unless otherwise stipulated by Law.
5. An auction or a contest with only one participant is declared void. Other grounds for declaration of the bidding void are defined by Law. (as amended by the Federal Law No. 42-FZ dated 08.03.2015)
6. Rules stipulated by Articles 448 and 449 of the present Code are also applicable to bidding held in order to make contracts on purchase of goods, performance of works, rendering of services or acquiring proprietary rights, unless otherwise stipulated by Law or follows from nature of the relations.
Rules stipulated in Articles 448 and 449 of the present Code are not applicable to organized bidding, unless otherwise stipulated by Law. (i.6 as amended by the Federal Law No. 42-FZ dated 08.03.2015)
 
Article 448. Organization and Procedure of Bidding
 
(as amended by the Federal Law No. 42-FZ dated 08.03.2015)
 
1. Auctions and contests can be open and closed. Any person may participate in an open auction or in an open contest. Only people specially invited for this purpose may participate in a closed auction or in a closed contest.
2. Unless otherwise stipulated by Law, an organizer shall publish a notification about bidding conduct no later than thirty days prior to its conduct. The notification shall contain information about time, place and form of the bidding, their subject, existing encumbrances of property being sold and the procedure of bidding conduct, including registration for the bidding, identification of a person winning the bidding, as well as information about an initial price.
3. Terms of a contract made by results of the bidding are defined by organizer of the bidding and shall be indicated in the notification about bidding conduct.
4. Unless otherwise stipulated by Law or in the notification about bidding conduct, an organizer of open bidding who has published the notification is entitled to refuse from auction conduct at any time, but no later than three days prior to a day of its conduct, and to refuse from contest conduct – no later than thirty days prior to its conduct.
If an organizer of open bidding refused to conduct it behind the time limit, it shall compensate the participants for actual damage incurred by them.
An organizer of a closed auction or closed contest shall compensate participants invited by it for actual damage, regardless of time during which it refused to conduct the bidding after sending the notification.
5. Bidding participants pay a deposit in the amount, within terms and in the procedure specified in the notification about bidding conduct. If the bidding was not held, the deposit shall be paid back. The deposit shall be also paid back to persons that participated in the bidding but did not win.
When making a contract with a person that has won the bidding, a sum of deposit paid by it is counted against performance of its liabilities under the contract made.
Unless otherwise stipulated by Law, liabilities of an organizer and participants of the bidding to make a contract following results of the bidding can be secured by an independent guarantee.
6. Unless otherwise defined by Law, a person that has won the bidding and an organizer of the bidding sign a statement of the results of the bedding process on a day of auction or contest holding, which has the force of the contract.
A person that has shied away from signing the statement shall compensate for losses inflicted as a result of this to the extent exceeding amount of guarantee provided.
If in accordance with Law a contract can be made only by means of bidding conduct and an organizer refuses to sign the statement, a winner of the bidding is entitled to appeal to court with a request to force the organizer to make the contract and to compensate for losses inflicted as a result of avoidance of its making.
7. If in accordance with Law a contract can be made only by means of bidding conduct, the winner is not entitled to assign its rights and transfer a debt under its liabilities emerged under the contract made at the bidding. Liabilities under such contract shall be discharged by the winner in person, unless otherwise defined by Law.
8. Terms of a contract made following results of the bidding, in case its making is allowed only by means of bidding conduct, can be changed by the parties, if this change does not influence terms of the contract that were of big importance in determination price at the bidding, as well as in other cases stipulated by Law.
 
Article 449. Grounds and consequences of holding the bidding invalid
 
(as amended by the Federal Law No. 42-FZ dated 08.03.2015)
 
1. Bidding held in breach of rules defined by Law can be hold invalid by court at the suit of an interested person within one year after bidding conduct.
The can be held invalid if:
someone has been groundlessly excluded from participation in the bidding;
the highest price offered at the bidding was groundlessly rejected;
sale was performed prior to a term specified in the notification;
other significant violations of bidding conduct procedure were committed and resulted in wrong determination of the selling price;
other rules defined by Law were violated.
(i.1 as amended by the Federal Law No. 42-FZ dated 08.03.2015)
2. Holding the bidding invalid leads to nullity of the contract made with a person that has won the bidding and application of consequences stipulated in Article 167 of the present Code.
(as amended by the Federal Law No. 42-FZ dated 08.03.2015)
3. Expenses of organizer of the bidding related to application of consequences of bidding invalidity and a necessity to hold repeated bidding are distributed among persons that committed violations resulting in holding the bidding invalid.
(i.3 as amended by the Federal Law No. 42-FZ dated 08.03.2015)