“The 'Dolina Scheme' has returned to the secondary housing market in Russia” — Tatiana Tereshchenko for Delovoy Peterburg
The Constitutional Court of Russia has placed the risks of fraud against property owners by scammers on bona fide purchasers of real estate. Professional market participants bear increased responsibility.
The ruling of the highest court may once again create uncertainty in the secondary housing market, placing many buyers in a risky position. In essence, we are talking about the restoration of the fraudulent scheme that received its name after People's Artist Larisa Dolina.
According to Tatiana Tereshchenko, Head of the Analytical Department of Prime Advice Law Offices, the Constitutional Court's ruling does not imply that the buyer should act as a guarantor of protecting citizens from scammers.
The highest court merely confirmed the admissibility of taking into account a wider range of circumstances when assessing a transaction, including the influence of third parties on the seller. At the same time, many questions regarding the application of this approach in practice still remain open,
— warns Tatiana Tereshchenko.