Protection of Rights of Players in Exchange Markets of Gas, Oil, and Oil Products

 
PIIS231243500022072-7-1
DOI10.18572/2410-4396-2019-2-98-103
Publication type Article
Status Published
Authors
Affiliation: Institute of Legislation and Comparative Law under the Government of the Russian Federation
Address: Russian Federation, Moscow
Journal nameEnergy law forum
EditionIssue 2
Pages98-103
Abstract

2011, No. 325-ФЗ On Organized Trading, Federal Law dated February 7, 2011, No. 7-ФЗ On Clearing, Clearing Activity, and Central Counterparty, and other federal laws as well as the rules of organized trading of stock exchanges, the peculiarities of contractual regulation, the rules for performance of clearing activity, and the court practice formed in this field.

The author of the article notes the increasing influence of the current practice of applying information technology to development of the regulatory framework in the field of trade in energy resources. So far, apparently, this practice cannot be called a valid source of law, but it definitely starts to have a significant impact on the content of legal acts.

An example would be the introduction of amendments into the Civil Code of the Russian Federation on digital rights (Article 141.1 of the Civil Code of the Russian Federation enters into force on October 1, 2019); development of the draft Federal Law On Digital Financial Assets, and preparation of a number of other draft regulatory acts.

The author studies the legal nature of smart contracts and concludes that they can be used in various closed technological systems, in particular, in the gas and oil industries.

 

Keywordsenergy law, protection of rights of players in exchange markets of energy resources, clearing activity, clearing members, information technology
Received19.03.2019
Publication date01.06.2019
Number of characters19260
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1 Protection of rights of exchange market players shall mean not only protection of the subjects of civil legal relations in court, but also creation of legal mechanisms to avoid disputes in connection with the contracts concluded at the stock exchange as well as legal costs.
2 The sources of law containing provisions aimed at protection of rights of players in exchange markets of gas, oil, and oil products are:
  • federal laws, regulatory legal acts of the Bank of Russia, and other regulatory legal acts of the Russian Federation securing the rights of the players at the level of national and international law;
  • rules of organized trading and performance of clearing activity;
  • court practice.
3 At the level of the federal laws, the legal framework includes:
4
  • Federal Law dated November 21, 2011, No. 325-ФЗ On Organized Trading (hereinafter referred to as the Law on Organized Trading);
  • Federal Law dated February 7, 2011, No. 7-ФЗ On Clearing, Clearing Activity, and Central Counterparty (hereinafter referred to as the Law on Clearing);
  • Federal Law dated April 6, 2011, No. 63ФЗ On Digital Signature;
  • Federal Law dated July 27, 2006, No. 149ФЗ On Information, Information Technology, and On Protection of Information.
5 Currently, the increased influence of the practice of application of information technology on development of the regulatory framework in the field of trade in energy resources shall be specifically noted. This practice has not yet become a valid source of law, but it already has a significant impact on creation of legal norms.
6 Thus, Federal Law dated March 18, 2019, No. 34-ФЗ amended the Civil Code of the Russian Federation on digital rights (in particular, Article 141.1 of the Civil Code of the Russian Federation, which comes into force on October 1, 2019, was adopted). Over the past few years, a draft Federal Law On Digital Financial Assets has been developed and a number of other draft regulatory acts has been prepared. This is actually the beginning of transformation of the regulatory framework under the influence of new technologies, which, in their turn, cannot develop outside the legal field.
7 One of the main sources of law in the field under consideration is the Law on Organized Trading, which establishes the basic principles of protection by defining the requirements to the rules of organized trading and granting equal rights and obligations to the bidders of exchange trading of the same groups of bidders (categories of bidders); equal conditions for identification of the bidders, equality in the admission to trading, uniformity of terms for filing bids, concluding contracts and their securing, bringing to liability for infringement of rights, and disclosing information on non-performance of contracts, etc. The said law defines uniform terms and conditions for conclusion of contracts between the stock exchange and the bidders for provision of services for organized trading. The contracts for provision of services for organized bidding are concluded by accession to a contract, the terms and conditions of which are provided for by the rules of organized trading, and the bidders undertake to pay for these services. All bidders participate in exchange trading in accordance with the rules of organized trading approved by the authorized body of the trade institutor and registered with the Bank of Russia.
8 When submitting bids, the bidders ensure safety and integrity of the bids by signing them using digital signatures created on the basis of Federal Law dated April 6, 2011, No. 63-ФЗ On Digital Signature and Federal Law dated July 27, 2006 No. 149-ФЗ On Information, Information Technology, and On Protection of Information.
9 A clearing organization is an essential element in building a system to secure the rights of clearing members acting as the bidders and their clients. In accordance with the Law on Clearing, the rules for performance of clearing activity should provide for a procedure for monitoring availability of security for contracts concluded in trading and levers that make it possible to increase the level of performance of exchange contracts. In the course of organized trading, the clearing organization checks the security under each contract. Upon receipt of the register of concluded contracts, the obligations arising out of the contracts concluded at the stock exchange are calculated; and fulfillment of the obligations under the contracts for supply of gas, oil, and oil products is tracked, which creates additional guarantees for observance and protection of rights of the bidders. Special attention should be paid to recently enacted Federal Law dated December 27, 2018 No. 514-ФЗ On Amendments to the Federal Law On the Securities Market and Certain Legislative Acts of the Russian Federation as Related to Improvement of Legal Regulation of Securities Issue (hereinafter referred to as Federal Law No. 514), which amended Article 19 of the Law on Clearing and Article 22 of the Law on Organized Trading making it possible for the Government of the Russian Federation to determine cases, in which information provided for by the Law on Clearing and the Law on Organized Trading shall be disclosed to the limited extent and/or volume, a list of this information that may not be disclosed as well as entities, about which information may not be disclosed. In this case, it refers to cases when it is impractical to disclose information related to the imposition of sanctions on Russian legal entities and their counterparties.

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