FBK Legal News

Financial Director magazine analyzes measures which can help protect company from counteragents reluctant to pay debts. “In terms of forfeit we should remember that this way of protection is of ambiguous legal nature: on the one hand, it is compensation for losses incurred, on the other hand – liability measure for violation”, Head of FBK-Legal Corporate Practice, Alexander Ermolenko commented.

According to him, convenience is in the fact that upon the recovery of forfeit creditor is not obliged to prove amount of the losses incurred, corresponding provisions of the contract and proves of delay in performance are enough. “At the same time, compensatory nature of forfeit causes another consequence, very important for creditor – one can not get enriched at the expense of forfeit, i.e. here works principle: “one can not retrieve more than one lost”, Ermolenko continues.