News

Legal Acts

Legal Acts: Decree on Approval of the Regulation on the information system of the “Electronic Court”

Authority: The President

Enactment Date: 1 June 2020

Effective date: 1 June 2020

 

The purpose of the Regulation on information system of the Electronic Court (the “Regulation”) is to determine legal, organizational and technological basics of the information system (the “E-court”), its integration with other information systems and the Electronic Government Information System (the “EGIS”) as well as protection measures in respect of the information system.

The Regulation determines rights and obligations of the operator, participant, user and owner of the E-court related to use of the E-court system.

  1. The obligations of owner of the E-court (the Ministry of Justice) are the followings:
  • Elimination of the respective problems of participants and users;
  • Monitoring the complete and timely transmission of data to the E-court and its receipt;
  • Ensuring the provision of the electronic services through the official Internet resource of the owner and EGIS based on the principle of "single window”.

 

  1. The rights and obligations of the E-court users are the followings:
  • Use of litigation related services through the E-court;
  • Creation of an electronic account for use of the services;
  • Familiarization with the available information on all related court cases;
  • Sending applications, complaints and other documents to the court electronically;
  • Receive information on the process, decisions, complaints or protests electronically (by e-mail and SMS);
  • Creation of an electronic cabinet for cases related to commercial disputes;
  • Entering data in the E-court correctly.

 

  1. Rules of using the E-court
  • The E-court is used via “Single court portal” and electronic cabinet;
  • Users can receive publicly available information via “Single court portal” and get specific information related to them through their electronic cabinets;
  • Payment of the respective state duties is carried out in the E-court via “ASAN payment” and other payment systems. 

 

Legal Act: Law on Amendments to the Law on Social Insurance

Authority: Milli Majlis (National Assembly)

Enactment date: 2 June 2020

Effective date: indicated below

 

As per the amendments to the Law on Social Insurance, contributions for compulsory state social insurance for insured persons are paid at the following rates:

  1. - 100% (Baku)
  • 90% (Sumgait and Ganja)
  • 80% (other cities)
  • 60% (administrative-territorial units and settlements, which are the administrative center of the administrative-territorial units of the district)
  • 50% (countryside)

of the 25% of the minimum monthly wage (250 AZN) of individuals engaged in entrepreneurial activities in the field of the construction and trade from 1 April 2020 to 1 January 2021 (50% of the minimum monthly wage in the construction field from 1 January 2021 to 1 January 2026).

  1. - 100% (Baku)
  • 90% (Sumgait and Ganja)
  • 80% (other cities)
  • 60% (administrative-territorial units and settlements, which are the administrative center of the administrative-territorial units of the district)
  • 50% (countryside)

of the 15% of the minimum monthly wage (250 AZN) of individuals engaged in entrepreneurial activities in the areas other than the construction and trade from 1 April 2020 to 1 January 2021 (25% of the minimum monthly wage in the areas other than the construction from 1 January 2021 to 1 January 2026).

  1. Members of the bar association, independent auditors, independent accountants — 10% of their income (exclusive of costs);

 

  1. Individuals engaged in the following types of activities individually (without hiring an employee) must pay the mandatory state social insurance contributions at the following rates:

 

Type of activity

Percentage calculated              from 250 AZN

Music, dance and other similar activities of an entertaining nature in wedding parties, festivities and other events

5%

Activities in the field of individual photo -, audio-video services (except photo studios)

5%

Shoemaking

3%

Repair of watches, televisions, refrigerators and other household appliances

3%

Attendants in private residential buildings and apartments, care services for sick, elderly and children, babysitting, individual driving, housekeeping, gardener, cook, security guard and waiters

3%

Activities of woodworking workshops

3%

Hairdressing

3%

Individual tailors

3%

Taxpayers engaged in passenger and freight transportation by road

6%


Note:  
For individuals engaged in the above activities, the amount of monthly social insurance is determined using the following coefficients:

Baku– 2

Absheron, Sumgait and Ganja – 1,5

Other cities and regions – 1                                      

  1. For individuals using agricultural land owned by them (with the exception of those who work in other areas and pay contributions for compulsory state social insurance) and able-bodied members of family farms (with the exception of persons with disabilities of I and II degrees, as well as children with disabilities under the age of 18 years, from 15 years to the age limit established by article 7 of the Law of the Republic of Azerbaijan on Labor Pensions), the rate of compulsory state social insurance is calculated at the following minimum monthly wage rates depending on the land area:
  • Up to 5 hectares – 2%
  • 5 – 10 hectares – 6%
  • Above 10 hectares – 10%

Legal Acts: Procedure for granting soft loans at the expense of the Entrepreneurship Development Fund (“Fund”)

Authority: The President  

Enactment date: 4 June 2020

Effective date: 4 June 2020

 

In accordance with the Procedure, to ensure financing of investment projects in the priority areas:

  • Entrepreneurs are provided with full/phased soft loans through loan agencies1 on their behalf as well as at their own risk. Business entities obtaining soft loans must:
  • Apply to a loan agency for obtaining soft loans and receive a document confirming the registration of the application;
  • The loan agency evaluates the projects within 10 working days and submits to the Fund the information and documents determined by the Fund on the projects that it evaluates positively;
  • Upon examination and monitoring, the Fund takes relevant decision on appeals and officially informs the loan agency;
  • The Fund ensures the allocation of appropriate funds to the account of the organization within 3 working days and transfers the funds of the organization to the account of the business entity within 5 working days (on which the entrepreneur is notified);

Loan amount

 Loan limit

 Loan Term

Small

5.000 -50.000 AZN

Up to 3 years

Medium

50.001- 1.000.000 AZN

Up to 5 years

Large

1.000.001 – 10.000.000 AZN

Up to 10 years

 

  • Annual interest rate of the Fund – 1%, of a loan agency – 4% (in total – 5%)

The grace period2 is determined on the basis of information on the cash flow of the entrepreneur’s investment project.

  • Entrepreneur must pay interest debts every month.
  • The principal debt is paid from the following month upon expiry of the grace period by being divided into equal parts.

Entrepreneurs may only be granted the loan to obtain new equipment or to upgrade their equipment (by pledging old equipment). Requirements of the loan are:

  • Up to 5 years, 5,000 - 3,000,000 AZN, annual interest rate of the Fund-2%, of a loan agency-7%, in total-9%, grace period - up to 12

Equipment obtained as security should be installed in favor of a loan agency and include in the State Registry of Encumbrances of the Movable Property.

The entrepreneur must pay to the loan agency a down payment of at least 20% of the sales value established as a result of the assessment of the equipment.

Loan agencies are allowed to monitor the use of loan on an investment project twice a year. If it is established that the loan was used for other purposes, the loan agency must early request the unused portion of the loan and payment of interest debt.

1 the list of authorized banks or non-bank credit organizations: http://edf.gov.az/az/https://ekvita.com/en/content/31

2 entrepreneurs are obliged to pay only interest debts during this period

 

Legal Acts: Decision on Approval of Temporary Rules for the Organization of Flights and Passenger Traffic by air in the Republic of Azerbaijan during the COVID-19 pandemic (the “Rules”)

Authority: CabMin

Enactment date: 11 June 2020

Effective date: 11 June 2020

 

The main points of the Rules are the followings:

  1. Only the following persons are allowed to enter the airport and passenger terminal:
  1. airport staff
  2. passengers

 

  1. Passengers must have a passport, flight ticket and a negative COVID-19 certificate passed within 48 hours before the flight. Testing expenses are paid by the passengers themselves (with the exception of domestic flights).
  1. Azerbaijan citizens who cannot submit such a certificate during border control are sent to two-week quarantine, while citizens of foreign countries are not allowed to enter the country and returned by this flight at the expense of the carrier.
  1. Azerbaijan citizens and foreigners who have passed the test may be exempted from two-week quarantine.
  1. The use of medical masks at the airport and during the flight is mandatory.
  1. Carriage of hand luggage is not allowed on all flights with the exception of personal items (laptops, briefcases, handbags, etc.).
  1. Persons with a temperature above 37,5 °С are not allowed to enter the airport and are sent to a medical center at the airport.

 

Legal Act: Law on Amendments to the Law On Mediation

Authority: Milli Majlis (National Assembly)

Enactment date: 29 June 2020

Effective date: 29 June 2020

 

In accordance with the Law on Amendment to the Law on Mediation, the date of entry into force of the provisions of the Law, envisaging mandatory participation in the preliminary mediation session in family, labor and commercial disputes, has been changed to 1 January 2021 (previously it was 1 July 2020).

Legal Act: Decree on a number of measures to ensure activities of the Ministry of Labour and Social Protection

Authority: The President

Enactment date: 30 June 2020

Effective date: 30 June 2020

 

As per the Decree, the charters of the following state bodies have been approved:

 

 

10 JUL, 2020