Customary settlement routes with some foreign counterparties are no longer available. Many companies have begun to engage payment agents. Payment agents are intermediaries who help businesses organise settlements with foreign partners when direct payments are impeded due to sanctions or complicated banking conditions. Thanks to this, entrepreneurs do not lose contracts and continue to work on the international market. However, certain risks may arise.

To learn more what risks should be taken into account in this process due to various issues in the area of legal regulation (tax, customs, and currency control) please read our article in Corporate Counsel Magazine.

With extensive internet penetration reaching about 88%, development of e-commerce is one of Russia’s key strategic initiatives, currently accounting for about 4.6% of GDP. In 2020, despite overall economic downturn, the pandemic spurred a substantial increase in online shopping across the country, extending even to Russia’s most remote regions. The e-commerce market remains diverse, offering opportunities for businesses across a broad range of products to find their niche.

To learn more about Russia’s e-commerce market, please read our article for Asia Business Law Journal.

Since 2022, various restrictions imposed by the US, EU, UK, Japan and several other jurisdictions on a wide range of investment activities in Russia have led many Western manufacturers to withdraw from the Russian market, either by selling their businesses to local entities or by placing them in “dormant” mode. This has impacted most sectors of the Russian economy, including automotive, where foreign producers have historically played a key role. Under these circumstances, Asian car manufacturers may find new market opportunities for themselves in the Russian automotive sector.

To learn more about Russia’s auto sector, opportunities and challenges faced by Asian carmakers for localization in Russia please read our article for Asia Business Law Journal.

In 2023, the Russian M&A market showed a general decrease in both the number and average value of transactions, which generally correlates with the global M&A market. Key economic factors affecting the Russian M&A market are high inflation rates and currency fluctuations. In addition to the economic factors, it continues to be driven by the geopolitical agenda and suffers from a lack of inbound foreign investment. Nevertheless, the M&A market has been slowly recovering and as it is expected that in 2024, the number of M&A transactions will continue to grow.

To learn more about the Russian M&A market, its key trends, legal and regulatory issues as well as M&A outlook please read our article prepared for Asia Business Law Journal.

Due to global geopolitical events taking place since 2022, international companies operating in Russia face challenges associated with sanctions compliance. At the same time, in response to foreign sanctions, the Russian authorities have adopted a special set of “countersanctions” measures. In such circumstances, international groups adopt their strategies with respect to the Russian market.

To learn more about these strategies please read our comprehensive analysis prepared for the Asia Business Law Journal’s new Japan Outbound Investment Guide.

As of 1 January 2026, importers of goods will be obliged to pay the environmental fee in advance prior to the customs clearance not under the general procedure.

In the new AEB Business Quarterly Magazine article, Dmitriy Bogdanov, head of ESG practice at SEAMLESS Legal, explores the draft of the Russian Government decree which approves the procedure for conducting the experiment for assessing the effectiveness of the new mechanism before the relevant provisions begin to apply in full.

On 13 December 2024, amendments were made to the Rules governing the issuance of permits by the Government Commission for Control over Foreign Investment in the Russian Federation, as outlined in the counter-sanctions Decrees of the President of the Russian Federation.

The amendments establish the procedure for filing applications by residents (excluding financial institutions) seeking permits for dividend payments (profit distributions) and loan repayments without adhering to the special procedure set out in Presidential Decree No. 95 of 5 March 2022 (i.e. in the amount exceeding RUB 10m per month and without using special “C” type account).

On 30 November 2024, Laws No. 420 and No. 421 were enacted, tightening administrative liability as well as introducing criminal liability for violations in the field of personal data.

The changes regarding administrative liability will come into force on 30 May 2025, while the new criminal offences have taken effect on 11 December 2024.

On 11 December, Moscow hosted the XV Indian-Russian Business Dialogue, a key event aimed at strengthening bilateral relations and promoting economic cooperation between the two countries. The event brought together leading politicians, business leaders, and experts to discuss key economic issues and explore new opportunities for collaboration.

Vsevolod Tyupa, Head of Life Sciences and Healthcare, participated in specialised session with focus on innovations in healthcare, biotechnology, technology, and education. The participants discussed breakthroughs and opportunities for technology-driven solutions in healthcare and pharmaceuticals as well as shared successful cases of production localisation in Russia and Russian medical business entry to the international markets.

On 13-15 November 2024, Kazan, the capital of the Republic of Tatarstan, hosted the II International Forum ROSTKI - “Russia-China: Mutually Beneficial Cooperation”.

Georgy Daneliya, Counsel, Head of Asian Initiative, and Dmitry Bogdanov, Counsel, Real Estate & Construction, represented SEAMLESS Legal at the business session titled “Drivers of Russia's foreign trade with China: new opportunities and barriers” organised by “Kommersant”.

In today's globalised world, businesses frequently leverage data storage, processing, and analytics capabilities from providers across borders. This shift has brought remarkable efficiencies but has also introduced new regulatory challenges. For UAE-based businesses, cross-border data transfers are subject to stringent regulations, designed to ensure the security and privacy of sensitive information.

Zijad Hanic, Counsel at SEAMLESS Legal, explores the essentials of cross-border data handling from a UAE perspective, including compliance with data protection laws, permitted exceptions, and best practices for businesses looking to harness the benefits of international data management.

On 29 October 2024, in Russia, Federal Law No. 362-FZ was enacted, introducing comprehensive changes to tax legislation in line with parameters set for the federal budget for 2025 and the planning period of 2026 and 2027.

As anticipated, the autumn session sees legislators continue to “fine-tune” the tax system in the context of an extensive tax reform.

Binance Blockchain Week 2024 was held in Dubai, one of the largest Web3 centres and a blockchain hub in the world. The event buzzing with innovation and future-forward discussions brought together traders, builders, founders, institutional investors, regulators, global officials and innovators to explore and shape the future of blockchain and Web3 technology.

As the industry expands, it generates many questions. One of them is how to adapt laws and regulations to the welcome evolution.

Zijad Hanić, Counsel at SEAMLESS Legal UAE, has joined the event and shares some takeaways and insights from industry experts on the current state of the blockchain ecosystem and cryptocurrency infrastructure in the UAE. He provides an overview of the legal landscape and the supportive role of the most influential; regulatory bodies such as FSRA, DFSA, VARA, and SCA in Dubai and Abu Dhabi.

We are pleased to present a new digest collecting the latest news in digital law for July – September 2024. We believe that the document encompasses all the main news in this area.

The UAE’s VAT Executive Regulation has undergone substantial amendments through Cabinet Decision No. 100 of 2024, effective from 15 November 2024. These amendments introduce new rules, expand existing provisions, and clarify many aspects of VAT regulations, helping businesses align more effectively with the UAE’s dynamic tax environment. These changes cover multiple areas, including exports, financial services, tax groupings, and deemed supplies. We have prepared a description of the substantive amendments and a comparative table of the key amendments to the original provisions.

When reviewing transactions for the “exit” of the Russian market by foreign “unfriendly” shareholders, the Russian Ministry of Industry and Trade has been informing applicants that the Government Commission for Control over Foreign Investment in the Russian Federation has updated the requirements for approving such transactions. The key updates concern the contribution amount to the federal budget and the compulsory discount.

The Russian Federal Tax Service has begun issuing clarifications on the procedures for fulfilling the new foreign exchange obligations for resident companies belonging to international groups (IGCs). These obligations pertain to notifying and reporting on the foreign accounts of non-resident companies within the group. This requirement was introduced into currency legislation as of 1 July 2024. However, there have been many questions regarding the applicability of these rules to Russian subsidiaries of international groups and the timeline for their implementation.

On October 1st, 2024, a new set of VARA regulations will officially replace the existing framework, marking a significant shift in how virtual assets and their operators are promoted and marketed in Dubai. We provide you with the comparative analysis of the key changes, highlighting the progression from the old to the new framework.

9 September 2024 saw issue of Presidential Decree No. 767 amending the procedure for residents to obtain permit to fulfil their obligations to "unfriendly" foreign non-residents to pay dividends (profits) and repay loans (credits). Specifically, these amendments modify Presidential Decrees No. 95 of 5 March 2022 and No. 254of 4 May 2022.

On August 8, 2024, amendments to the Federal Laws “On Joint Stock Companies” and “On Limited Liability Companies” came into force aimed at improving and increasing the efficiency of corporate governance and streamlining the management of the so-called “lost” shareholders.

The UAE’s Securities and Commodities Authority (SCA) has issued a detailed set of guidelines to regulate virtual assets and virtual asset service providers, perfecting the existing legislations. The regulatory framework represents a comprehensive approach to ensuring market stability, investor protection, the preservation of financial integrity, and managing the risks and opportunities presented by the rapidly evolving digital economy.

To learn more about the SCA’s Guidelines for Regulations of virtual assets and virtual asset service providers please read the comprehensive analyses prepared by Zijad Hanic, Counsel at SEAMLESS Legal in the UAE.

In August 2024, the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM) issued Consultation Paper No. 7 of 2024 for public comments on a newly proposed regulatory regime for Fiat-Referenced Tokens (FRTs). FRTs are distinct from other stablecoins in that they maintain their value by being backed by high-quality, liquid assets that can be redeemed on demand.

The Paper is designed to bring clarity and structure to the growing virtual assets market in ADGM. It will certainly enable FSRA to ensure that the market participants comply with the regulatory standards while further encouraging innovation within the virtual asset ecosystem. The issuers and stakeholders might provide their comments within a consultation period that ends on October 3rd, 2024 to help shape the final regulatory landscape.

Zijad Hanic, Counsel at SEAMLESS Legal in the UAE, provides an overview of the main features of the proposed regulatory regime.

In early August 2024, several significant changes to digital law were adopted. In this material we outline the most important updates.

We have summarised the main tax changes in Russian legislation.

On 22 July 2024, amendments to the fourth part of the Russian Civil Code were adopted, addressing the regulation of orphan works. These amendments will come into force on 21 October 2024.

We are pleased to present a new digest collecting the latest news in digital law for April – June 2024. We believe that the document encompasses all the main news in this area.

On 29 May 2024, the Supreme Court approved the Review of judicial practice in cases related to protecting copyright and neighbouring rights from Internet infringements.

The Supreme Court included 41 cases in the Review, grouped into eight sections. In this overview we present the conclusions that, in our opinion, were significant and which were included in the Review.

We have summarised our own experience and recent case law to provide you with a brief legal overview of the current situation regarding the parallel import of medical devices into Russia.

We have prepared this guide to assist taxpayers in navigating the complexities of Transfer Pricing compliance.

On 1 June 2024, the Government of the Russian Federation issued a Decree to conduct an experiment on specific groups of goods, including packaged goods.

On 20 May 2024, Presidential Decree* No. 430 “On the Temporary Procedure for Acquisition of Exclusive Rights from Certain Right Holders and Meeting Monetary Obligations to Certain Foreign Creditors or Persons under their Control” was signed by the President and entered into force.

Now, within the framework of counter-sanction regulations, transactions on assignment of intellectual property owned by right holders from “unfriendly” states shall be approved by the Government Commission for Control over Foreign Investment in the Russian Federation.

We are pleased to present a new digest collecting the latest news in digital law for January – March 2024. We believe that the document encompasses all the main news in this area.

In recent years, lots of news has centered on AI systems development. While the technological development has been impressive, a response from legislators has been anticipated in light of the risks that AI poses to the rights and freedoms of individuals.

On 13 March 2024, the AI Act passed through legislative procedures and was finally adopted.

We are pleased to present a digest encompassing the latest news and all the main changes in Digital Law in 2023. The digest is available in English and Russian.

Arbitration, as a method for resolving disputes, continues to evolve, adapting to the ever-changing landscape of international commerce. The recent introduction of the new Arbitration Rules by the Abu Dhabi Chamber of Commerce marks a significant step forward in enhancing the arbitration landscape in the region.

Since 2022, the healthcare industry in Russia has been affected by sweeping political and economic events. Some companies have left the market, others have changed the format of their presence, and others have seen new opportunities.

On 1 January 2024, sweeping changes to the Transfer Pricing regulation (the “Law”*) came into force, requiring Russian taxpayers to expand their Transfer Pricing (TP) compliance and reassess their risks associated with controlled transactions.

On 14 December 2023, a draft decree has been submitted for approval to the Russian Ministry of Justice (the “Decree”) that provides for amendments to the Presidential Decree No. 81 dated 1 March 2022 introducing a new procedure for approving transactions to dispose of or pledge exclusive rights of right holders from the so-called “unfriendly” countries.

The Russian Ministry of Finance has published an extract* from Minutes No. 193/4 of the meeting of the Sub-Commission of the Government Commission on Control over Foreign Investments in the Russian Federation dated 26 September 2023.

Our digital law team has prepared thought leadership material on regulation of software development and use of Open Source.

Recently, the UAE introduced Federal Law No. (15) of 2023 (The “Amendments”), which substantially revised the previous Federal Law No. (6) of 2018. The Amendments have been strategically crafted to enhance the arbitration processes in the country by addressing various aspects of the arbitration process.

The United Arab Emirates has established the General Commercial Gambling Regulatory Authority (GCGRA), which will be led by eminent industry specialists with years of experience in the gambling sector.

The UAE has long been recognised as an attractive destination for businesses due to its tax-free environment. However, a significant development took place on 1 June 2023, with the introduction of the UAE’s new corporate tax. Below, we provide insights into the implications of this tax reform and how it influences the business landscape in the UAE.

The fight against the intentional circumvention of the existing comprehensive range of restrictive measures is the primary objective of the 11th package of EU sanctions against Russia, which came into force on 24 June 2023. However, this package also encompasses additional expansions of pre-existing measures, some of which directly target Emirati companies.

SEAMLESS Legal proudly announces that its Real Estate & Construction team recognised at the Urban Awards 2024.

SEAMLESS Legal continues to strengthen its team and is pleased to announce promotions effective from 1 January