By Sergei Orlov 

A Limited Liability Company (LLC) is an often used form of Russian legal entity. In 2009, the Federal Law “On Limited Liability Companies” (LLC Law) was significantly changed, with the majority of amendments coming into force on 1 July 2009. While there are many important changes to the regulation of an LLC (including with respect to its formation, corporate governance and exit by its members), this article will focus on the new legal requirements for the transfer of a participating interest. While the announced goal of the lawmakers was to prevent the widespread practice of criminal and fraudulent transactions with participating interests in an LLC, made possible because of the simplicity of title transfer, the new requirements present additional difficulties for bona fide sellers and purchasers. Read the entire article here.