21.01.2014 Sergey Bakeshin, senior associate at Maxima Legal

The Higher Arbitrazh Court of the Russian federation shall be abolished

Law on Amendment of the Constitution of the Russian Federation on the Supreme Court of the Russian Federation and the Prosecutor's Office of the Russian Federation was adopted by the State Duma and approved by the Federation Council. The Law provides for establishment of the Supreme Court of the Russian Federation (the "Supreme Court") which shall be competent to resolve not only civil, criminal and administrative cases, but also economic disputes which nowadays fall within the competence of arbitrazh courts.

Not merely the draft amendment contemplates abolishment of the Higher Arbitrazh Court of the Russian Federation (the "Higher Arbitrazh Court"), but it also provides for elimination of any reference to arbitrazh courts in the Constitution. However, preservation of the system of federal arbitrazh courts is stipulated by the draft Federal Constitutional Law "On Amendment of the Federal Constitutional Law "On Judiciary System of the Russian Federation"" adopted on second reading.

The amendment shall become effective on the date when it is officially published after its approval by legislative authorities of at least two thirds of the constituent territories of the Russian Federation. The Higher Arbitrazh Court is supposed to be abolished within six months after the amendment becomes effective ("transition period"). However, judges of the Higher Arbitrazh Court shall exercise their powers until the newly established Supreme Court commences its work.

The new Supreme Court shall consist of 170 judges. Candidates to the positions of judges of the new Supreme Court shall be selected by the Special Qualification Board. The board at issue shall review applications of candidates and make decisions on them within the "transition period". Those candidates that were selected by the board shall be presented to the President for their appointment. Candidates to the positions of judges of the new Supreme Court must pass a qualifying examination. The judges of the new court shall be appointed by the Federal Council at the recommendation of the President.  

Against the background of amalgamation of the Supreme Court and the Higher Arbitrazh Court some provisions of the Law on Amendment of the Constitution amplifying the direct influence of the President on the prosecutor's office bodies become barely noticeable. According to the most recent version of the Constitution the Prosecutor General is to be appointed by the Federation Council upon the recommendation of the President, all other prosecutors are to be appointed by the Prosecutor General. The amendment in question extends appointment procedure provided for the Prosecutor General to the Deputies Prosecutor General and vests in the President the authority to appoint all other prosecutors save for city prosecutors, district prosecutors and those equated to them (the lowest tier of the prosecutor's office system of the Russian Federation).