MOSCOW, September 27 - RAPSI. The Supreme Commercial Court upheld the arbitral tribunal's decision to enforce the pledged property in the bank's lawsuit, the court told the Russian Legal Information Agency.
The Bank of Kazan granted a 35 million ruble loan to Trade Alliance company. Meanwhile, BulgarRegionSnab, a guarantor of the loan, pledged its real estate property to secure the loan.
The bank filed a lawsuit after the company defaulted in its obligations under the contract. The bank sought to recover the debt and to enforce the pledged property.
An arbitral tribunal held for the bank's lawsuit. However, the pledger refused to obey the ruling. The commercial court later held for the bank's petition to affirm and enforce the tribunal's decision.
The pledger maintained that arbitral tribunals are not authorized to enforce pledged real estate property.
Meanwhile, the Constitutional Court in May authorized arbitration tribunals to hear disputes over real estate property and to enforce the property.