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Problematic Aspects of Law Enforcement Practice in Conclusion of a Power Supply Contract for Inherited Property
 
PIIS231243500026208-6-1
DOI10.18254/S231243500026190-7
Publication type Article
Status Published
Authors
Nadezhda A. Valentukevich 
Occupation: Lead Legal Counsel of Legal Protection Department Saint Petersburg Sales Company, JSC
Affiliation: Saint Petersburg Sales Company, JSC
Address: Russian Federation, St. Petersburg
Journal nameEnergy law forum
EditionIssue 2
Pages79-85
Abstract

To date, the procedure for concluding a power supply contract is sufficiently detailed and rarely gives rise to questions. In practice, however, there are exceptional situations that require a more thorough analysis of both the documents submitted by consumers for concluding power supply contracts and the current laws. One such situation is the conclusion of a power supply contract for inherited property.

The article analyzes the problematic aspects of law enforcement in concluding power supply contracts for inherited property and suggests ways to address them.

For example, considering the legality of refusal to conclude a power supply contract with an heir who has applied to a power supply organization during the period of inheritance acceptance (6 months), the author states the legal uncertainty, points out the risks associated with the refusal, proposes solutions and makes suggestions on how to improve the current laws on the electric power industry.

Keywordsenergy law, power supply contract, contractual regulation, universal succession, inherited property
Received13.03.2023
Publication date27.06.2023
Number of characters19682
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1 Nowadays the consumption of electric power is an important and integral part of everyone’s life.
2 In the Russian Federation, electric power is supplied on the basis of a contract concluded between a consumer of electric power and a power supply organization.
3 Thus, in accordance with Clause 1 of Article 539 of the Civil Code of the Russian Federation, under the power supply contract, the power supply organization undertakes to supply the user (consumer) with power through the connected grid, and the user undertakes to pay for the received power and to comply with the consumption regime established by the contract in order to ensure the safe operation of the power grids under its control and the proper functioning of the power consuming equipment and devices used by it.
4 The procedure for concluding power supply contracts for residential premises and residential buildings (estates) is established by the Rules on Providing Utilities to Owners and Users of Premises in Apartment Buildings and Residential Buildings approved by Decree of the Government of the Russian Federation No. 354 dd. May 6, 2011, [1] for non-residential buildings and premises and other power-consuming facilities is established by the Basic Regulation on the Operation of Retail Electric Power Markets approved by Decree of the Government of the Russian Federation No. 442 dd. May 4, 2012. [2]
5 In this case, in accordance with Article 540 of the Civil Code of the Russian Federation and Clauses 6, 7 and 30 of the Rules on Providing Utilities to Owners and Users of Premises in Apartment Buildings and Residential Buildings approved by Decree of the Government of the Russian Federation No. 354 dd. May 6, 2011, a power supply contract may be concluded both in writing and orally by performing implicative actions by the consumer.
6 To date, the procedure for concluding a power supply contract is sufficiently detailed and rarely gives rise to questions. In practice, however, there are exceptional situations that require a more thorough analysis of both the documents submitted by consumers to conclude power supply contracts and the current laws.
7 The conclusion of a power supply contract for inherited property is one of such situations.
8 In particular, the following issues arise in practice when concluding a power supply contract for inherited property:
9 1. The necessity to terminate the power supply contract concluded with the testator as a procedure preceding the conclusion of the power supply contract with the heir.
10 2. The issue of proper documents of title for the conclusion of the power supply contract for the inherited property during the period of acceptance of the inheritance (6 months).
11 3. The issue of legality of refusal to conclude the power supply contract with the heir who has applied to the power supply organization during the period of acceptance of the inheritance (6 months).
12 4. The transfer of inherited property into common shared ownership and related risks.
13 5. The possibility of concluding the power supply contract with the trustee of the inherited property.
14 The relevance of the chosen topic is due to its insufficient study and practical importance.
15 As a rule, immovable property serves as a power receiver (hereinafter also referred to as a power consuming facility), therefore in this article immovable property is referred to as inherited property.
16 In accordance with Article 1112 of the Civil Code of the Russian Federation, inherited property includes a set of items and other property, including property rights and liabilities, owned by the testator as of the date of opening of the inheritance.
17 In this case, according to the systematic interpretation of Articles 1113 and 1114 of the Civil Code, the date of opening of the inheritance is the date of the citizen’s (testator’s) death or the date of entry into force of the court decision to announce the citizen’s death.
18 In accordance with Clause 1 of Article 418 of the Civil Code of the Russian Federation, an obligation ceases to exist upon the death of the citizen if it cannot be fulfilled without the debtor’s personal participation or if the obligation is otherwise inseparably connected with the debtor’s personality.
19 Otherwise, the testator’s obligations are transferred to their heirs by way of universal succession (in universum jus) [3], which, in turn, implies the transfer of all rights and obligations from the predecessor to the successor in full, i.e., in an unaltered form as a whole and at the same time. [4], [5]
20 Since the obligations arising from the power supply contract can be fulfilled without the citizen’s personal participation and are not closely connected with the citizen’s personality, they cannot cease to exist upon the citizen’s death and are transferred to their heirs by way of universal succession. A similar approach is established in the civil laws of post-Soviet countries (for example, Kazakhstan, [6] Uzbekistan, [7] and Ukraine [8]).
21 At the same time, it should be noted that the obligations under a power supply contract are closely connected with the power consuming facility for which the said contract was concluded. As a result, they are transferred only to the heirs who inherited the power consuming facility or its part.

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