Certain Legal Problems of Losses’ Recovery for Credit Institutions’ Unfair Behavior

The paper analyzes the current legislation and considers certain legal problems of recovery of losses for unfair behavior of credit institutions. The author notes a different understanding in the theory of law of the principle of good faith and the evaluation of its criteria, as well as an increase in cases of unfair behavior of credit institutions. It is concluded that unfair behavior is the basis for civil liability. As a result of the reform, the Civil Code of the Russian Federation has been replenished with new compositions of the civil wrongdoing providing for damages for unfair behavior. The paper considers the legal features of the recovery of losses for unfair behavior of credit institutions. The Author examines the recovery of losses in cases provided for in Articles 10, 434.1 of the Civil Code of the Russian Federation using case studies from banking practice. The author notes that unfair behavior at the stage of negotiations on conclusion of banking contracts is more often manifested by credit institutions. In particular, providing incomplete or unreliable information to a party allows credit institutions to sell one service under the guise of another (misseling). As examples of recovery of losses, cases of unfair behavior in collecting bank commissions, as well as in case of unilateral increase in the amount of the interest rate, are considered. The author believes that the inequality of the bank’s and the client’s capabilities (professional knowledge, different property status, the client’s lack of special knowledge, etc.) makes it difficult to prove the amount of losses for such a client, especially when unfair behavior is not related to financial conditions. The conducted research allowed the author to conclude that unfair behavior serves not only as a basis for collecting damages, but also as a tool influencing the possibility of reducing losses. In conclusion, the author gives suggestions for improving the rules for collecting losses for unfair behavior of credit institutions.

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