World Monitor Mag WM_June 2018 web - Page 62

EXPERT OPINION New rules for examination of disputes in Uzbekistan In furtherance of the judicial reform in the Republic of Uzbekistan initiated by the President of the Republic of Uzbekistan in February 2017, the Republic of Uzbekistan adopted new codes of procedure (the “Codes”) in January 2018, which established new rules for examination of disputes in the Republic of Uzbekistan, specifically: * the Code of Civil Procedure of the Republic of Uzbekistan (the “CCP”) 1 Thus, the CCP regulates the procedure for examination of disputes by courts of general jurisdiction (mainly civil disputes, one of the parties to which is an individual). The CEP applies to examination of disputes arising in the economic sphere between companies and individuals having the status of individual entrepreneurs. The procedure for examination of cases in administrative courts is determined in accordance with the CAP. * the Code of Economic Procedure of the Republic of Uzbekistan (the “CEP”) 2 Certain novelties introduced in connection with the adoption of the Codes are discussed below. * the Code of Administrative Procedure of the Republic of Uzbekistan (“CAP”) 3 The above-mentioned Codes entered into force on 1 April 2018. After entry into force of the above- mentioned Codes, the provisions of the Code of Civil Procedure 4 and the Code of Economic Procedure of the Republic of Uzbekistan 5 that had been in effect were repealed. The adoption of the Codes formalized the division of competence among courts of general jurisdiction and economic and administrative courts, which began to operate on 1 June 2017 as a result of consolidation of the Supreme Economic Court and the Supreme Court of the Republic of Uzbekistan. 58 world monitor Examination of economic disputes with participation of foreigners Compared with the previous Economic Procedure Code, the CEP provides for much more detailed regulation of matters relating to economic disputes with participation of foreign companies and citizens. According to Article 239 of CEP, the following disputes are additionally reserved for the competence of economic courts of the Republic of Uzbekistan: * disputes arising in connection with relations associated with the circulation of securities issued in the Republic of Uzbekistan * disputes arising in connection with the establishment of a fact of legal significance, which, in the applicant’s opinion, occurred in the Republic of Uzbekistan * disputes arising in connection with the state registration of names and other objects and rendering services on the Internet, the global information network, in the Republic of Uzbekistan * disputes arising in the economic sphere with participation of foreigners if contentious relations are associated with the territory of the Republic of Uzbekistan As follows from this rule, the competence of economic courts in terms of disputes with participation of foreigners is rather broad, which might result in referring to Uzbek courts of disputes that have only an indirect relation to the territory of the Republic of Uzbekistan. Also, Article 240 of the CEP reserves the following categories of disputes for the exclusive competence of Uzbek courts: * disputes with respect to property owned by the Republic of Uzbekistan, including disputes related to denationalization and privatization of state property and compulsory alienation of property for state needs * disputes whose subject-matter is immovable property (provided