Termination of the state contract with “Mosavtodor”

In 2016, a client of DAYLIGHT Law Firm entered into a state contract with the State budgetary institution of the Moscow region “Mosavtodor” as a contractor for the construction and repair works of a road section in the Moscow region.

The contract consisted of four stages. The first two stages were completed; at the third stage, the Client discovered that the road section on which the final construction and repair work had to be accomplished was swamped and trees were thrown down in places. Therefore, it was required to carry out reconstruction of this road section, not just repair woks. However, the government contract did not allow the provision of changes in the types of work performed.

Lawyers of DAYLIGHT Law Firm sent a notification to the State budgetary institution of the Moscow region “Mosavtodor”, as well as prepared an expert opinion, according to which it was found that on a piece of land that is the subject of a dispute, additional works not stipulated by the contract are required to be carried out.

Since the Federal Law “On the contract system in the field of procurement of goods, works, services for state and municipal needs” dated 05.04.2013 N 44-FZ does not provide the right for the contractor to unilaterally execute the contract, DAYLIGHT Law Firm on behalf of the Client was forced to appeal to the Moscow Region Arbitration Court. Following the results of four court sessions, the court satisfied the application in favor of the Client in September 2018 and terminated the state contract.