On 14 April 2026 the Constitutional Court of the Russian Federation adopted Judgement No. 24-П in accordance with Article 47.1 of the Federal Constitutional Law «On the Constitutional Court of the Russian Federation». The case on the review of constitutionality of Article 10 (part 3) of the Federal Law No. 214‑FZ «On Participation in Shared‑Equity Construction of Apartment Buildings and Other Real Estate and on Amendments to Certain Legislative Acts of the Russian Federation», Article 2 of Federal Law No. 266‑FZ «On Amendments to the Federal Law “On Participation in Shared‑Equity Construction of Apartment Buildings and Other Real Estate and on Amendments to Certain Legislative Acts of the Russian Federation”», and item 2 of the Resolution of the Government of the Russian Federation «On Establishing Specific Features of the Application of Forfeits (Fines, Penalties), Other Financial Sanctions, and Other Measures of Liability for Non‑Performance or Improper Performance of Obligations under Shared‑Equity Construction Agreements Provided for by Legislation on Shared‑Equity Construction» was considered in connection with the complaints of citizens V.V. Strukalin and A.V. Hlebnov.Background
The applicants were participants in shared-equity construction in the Moscow Oblast. Due to breaches of the relevant contracts by the developers (which took place in 2023 and 2024), in particular defects in the apartment and untimely completion of construction work, the applicants filed claims against them for compensation, losses, penalties and fines.
In January 2024, the city court determined the amount of the fine to be paid by the developer on the basis of the consumer protection law at 50% of the amount awarded to V. Strukalin. However, in 2025, the appellate and higher courts calculated the fine differently. The provisions of the contested Law No. 214 FZ, as amended by the contested Law No. 266 FZ, provide that when the claims of a shared-equity participant are satisfied, the court additionally recovers from the developer in favour of the citizen a fine amounting to only 5% of the awarded sum. On the same basis, the fine in favour of A. Hlebnov was determined and a penalty was recovered, calculated on the basis of the contested Resolution of the Government of the Russian Federation, i.e., based on the key rate of the Central Bank applicable on the day the obligation is performed, but not exceeding 7.5%.
According to the applicants, the contested provisions contradict the Constitution, because they permit the retrospective application of provisions to legal relations that emerged before they entered into force, to the detriment of the position of shared-equity construction participants.
Position of the Court
Proceeding from constitutional prescriptions and the general legal principle of justice, the protection of property rights must be performed on the basis of proportionality. This ensures a balance of the rights and legitimate interests of all participants in civil turnover. Giving retroactive effect to a law is an exceptional type of its operation in time, which the legislator must indicate specifically. The retroactivity of a law presupposes the preservation of reasonable stability of legal regulation, the inadmissibility of giving retroactive effect to provisions that worsen the position of citizens, the provision of an opportunity to adapt to changes, and the unconditional guarantee of the rights and legitimate interests of subjects of ongoing legal relations.
The wording of Federal Law No. 266 FZ implies that the new procedure for determining the fine applies to all shared equity construction agreements (including those concluded before this law entered into force), but only for the future, i.e., from the date of its entry into force (1 September 2024). Thus, when determining the amount of forfeits (fines, penalties) to be accrued for a past period, the previous procedure must be applied. Any other approach would worsen the position of the shared equity participants.
The right of a shared equity participant to recover a fine for non payment of a penalty emerges upon refusal to pay it, the moment of which is determined taking into account the actual circumstances of the case. If the refusal occurred before the new procedure for calculating the amount of financial sanctions entered into force, then the legislation in force at the time the right emerged shall apply. Thus, the contested provisions of the Federal Law in their interrelation do not imply the determination of a fine in the amount of 5% of the sum awarded by the court for the period prior to 1 September 2024. They are not applicable to legal relations that emerge before they entered into force, in particular to the payment of a fine in connection with the non performance or improper performance by the developer of obligations when citizens participate in shared equity construction relations, where the obligation to pay it arose before the new procedure was introduced.
The contested Resolution of the Government of the Russian Federation determines the amount of interest, penalties and other financial sanctions provided for by the contested Law No. 214 FZ from 1 July 2023 to 31 December 2024 (the period was subsequently extended to 31 December 2025). This is due to the economy’s reaction to the unfriendly actions of foreign states and international organisations, as a result of which the amount of penalties increased rapidly, which could disrupt the balance of the parties’ interests and jeopardise the economic activity of the developer. Consequently, the contested provision is temporary in nature and dictated by an extraordinary situation. It takes into account the balance of interests of shared equity construction participants and developers, as well as public interests, and does not contradict the Constitution.
In the meaning as interpreted above, the contested provisions do not contradict the Constitution.
The cases of the applicants are subject to review.
Press Service of the Constitutional Court of the Russian Federation