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Public account. "In the morning - money, in the evening - chairs": new ways of calculations. Public deposit account

In connection with the entry into force from June 1, 2018 of the Federal Law of July 26, 2017 No. 212-FZ "On Amendments to Parts of the First and Second Civil Code of the Russian Federation and individual legislative acts of the Russian Federation", Federal Law of 05/23/2018 No. 119 -FZ "On Amendments to the Federal Law" On Banks and Banking Activities "and the Fundamentals of the Legislation of the Russian Federation on the Notary" and the Federal Law of 23.05.2018 No. 120-FZ "On Amendments to Article 327 of the First Civil Code of the Russian Federation and Articles 1 and 3 of the Federal Law "On Amendments to Parts First, Word and Third Civil Code of the Russian Federation" regulating the rules for the conclusion of a public deposit account agreement, as well as the activities of notaries as Escrow agents, in order to provide methodical assistance, we inform the following.

Under escrou (conditional deposit) it is understood as a way to fulfill the obligation, when the property is transmitted through the confidence-benefit person (Escrow Agent),

It should be noted that by virtue of paragraph 4 of Article 327 of the Civil Code of the Russian Federation (hereinafter referred to as the Civil Code of the Russian Federation), the Rules of Civil Law on Escrow Agent are subject to dissemination on notaries when making them to deposit movable things, cashless cash or non-documentary securities on the basis of joint Applications of the lender and the debtor in the part, unresolved foundations of the legislation of the Russian Federation on the notary (hereinafter - the foundations).

When performing the functions of the Eskrow agent, the notary acts as a guarantor of the fulfillment of the obligations of the Depositor and the settlements between the parties to the agreement, but is not directly the party to the transaction (withdrawal from the general rule provided for in paragraph 1 of Article 926.1 of the Civil Code of the Russian Federation).

Part of the first article 88.1 The foundations are determined that the basis for depositing movable things, cashless cash or non-documentary securities is the joint statement of the parties of the obligation, which is transmitted by the notary, and in the case of a notarial certificate of the transaction of the parties to the obligation providing for the deposit of the specified property, such a statement may file a debtor . Consequently, for the purpose of transfer to the notary of property to deposit a contract, an ESCOO does not consist. The amount of information necessary for deposit, the notary establishes from a certain part of the first article 88.1 the basics of the application.

As a result of the deposit on the occurrence of conditions (grounds) of the transfer of movable things, non-cash cash or non-documentary securities, the beneficiary arises the right to notaries for such property. In this regard, after receiving the relevant requirement of the beneficiary, the notary is obliged to check the offensive of the conditions (grounds) of the transmission established in the Escrow Treaty. According to paragraph 2 of Article 926.1, the Civil Code of the Russian Federation to such conditions (grounds), in particular, can be attributed:

1) the onset of the deadline established by the term;

2) an occurrence of an established event agreement;

3) committing certain actions by the beneficiary;

4) committing certain actions by a third party.

Based on the general provisions of paragraph 3 of Article 926.5 of the Civil Code of the Russian Federation, an Escrow agent, including a notary, is responsible for the loss, shortage or damage to the depositing of things, if it does not prove that these circumstances occurred due to force majeure, or due to properties Things about whom the notary did not know and should not have known, or as a result of intent or coarse carelessness of the depositor. According to changes made to Article 48, the lack of opportunity to ensure the safety of movable things transmitted to the deposit notary is the basis for refusing notarial action.

For the acceptance of a notary of movable things, non-cashless money or non-documentary securities, a notary tariff in the amount of 0.5 percent of the total monetary amount, the market value of the securities or the declared value of the property is charged, but not less than 1000 rubles. In the event that the non-notary deposit received money in order to fulfill the obligations of the parties on a notarized transaction, the notary tariff is charged in the amount of 1,500 rubles (Article 22.1 of the foundations).

A part of the fourth article 87 of the foundations determined the responsibility of a notary for the purpose of depositing funds to open a public deposit account through the conclusion between the bank and the notary protruding the owner of the account, the contract of the public deposit account (Article 860.11 of the Civil Code of the Russian Federation). At the same time, we draw attention to that this agreement may also be concluded by joining the Agreement developed by the Bank, on the basis of the relevant notary statement (Article 428 of the Civil Code of the Russian Federation). The enrollment of own non-notary funds to a public deposit account is not allowed.

It is important to note that notaries on time no later than 20 working days from the date of entry into force of the Federal Law of 23.05.2018 No. 119-FZ "On Amendments to the Federal Law" On Banks and Banking Activities "and the Fundamentals of the Legislation of the Russian Federation on the Notary" are obliged Open a public deposit account in a bank that meets the legislatively established requirements (Russian credit institution, the value of own funds (capital) of which should be at least twenty billion rubles (Article 860.11 of the Civil Code of the Russian Federation). This norm is imperative and subject to the execution of notaries within the specified period. From the fact of the appeal of stakeholders for committing a notarial action to deposit property.

If the notary has become known or should have become aware that the amount of capital of the bank in which his public deposit account was opened, amounted to less than twenty billion rubles, he must close the account in such a bank for a month and list all the means from him Another public deposit account in another bank that meets the requirements of the legislation.

Monitoring banks corresponding to such a condition is carried out directly by the notary.

Pay attention that by virtue of Article 34.1 of the Federal Law of 02.12.1990 No. 395-1 "On Banks and Banking Activities" Banks, the value of their own funds (capital) of which is at least twenty billion rubles, refuse notary in the conclusion of the Public Deposit Accounts has the right.

The funds received by the notary as an Eskrow agent must be made to them on their public deposit account no later than the next working day after the date of cash acceptance (Article 860.11 of the Civil Code of the Russian Federation, Article 88.1 of the foundations). The adoption of non-cash cash is carried out by ordering a notary on making funds to a public deposit account issued by the notary party commitment to submission to the bank, in which a public deposit of a notary, or a notary sent to the specified bank in electronic form. The transfer of non-cash banks by the creditor is carried out on the basis of the relevant notary order in the manner prescribed by part of the third article 88.1 of the foundations.

According to the part of the eighth article 87 of the foundations, funds can be kept in a public deposit account no more than ten years, after which the notary is obliged to transfer them to the treasury of the Russian Federation on the basis of the notary order.

In connection with the limitations of the legislatively established period of execution by notaries, the requirements for the opening of a public deposit account, as well as taking into account that the implementation of the powers assigned to notaries will be carried out on the basis of the appropriate disposition of the notary, the Federal Notarial Chamber directed to the Central Bank of the Russian Federation on the development and approval. The form of the above order containing also a request for bringing to the attention of credit organizations of information on the legislation that has entered into force (a copy is attached).

At the same time, we draw attention to that, according to paragraph 1.1, the provisions on the rules for the transfer of funds, approved by the Central Bank of the Russian Federation of June 19, 2012 No. 383-P (hereinafter referred to Regulations on the transfer of money. At the same time, the orders for which this Regulation did not establish a list of details and forms are drawn up by senders of orders, indicating the requisites established by the Bank, allowing the Bank to transfer funds to the forms established by the Bank or the recipient of funds in coordination with the Bank. Also, by virtue of paragraph 1.8. Provisions, credit organizations approve internal documents containing the procedure for compiling orders, the procedure for carrying out procedures for admission to execution, recall, return (cancellation) of orders, order of execution of orders.

Considering the submitted, the lack of an order approved by the Bank of Russia, provided for in Articles 87 and 88.1 of the foundations, cannot be the basis for non-fulfillment of their duties as a bank and notary.

In addition, the fact that the Bank has the right to carry out only transactions and issuing deposited cash on the basis of the notary order, other operations on a public deposit account are prohibited. At the same time, the notary is responsible to the beneficiary and the depositor for performing operations on such an account with a violation of the rules established by the Law on the Decision (Article 860.12 of the Civil Code of the Russian Federation).

By virtue of the provisions of Article 860.14 of the Civil Code of the Russian Federation, the feature of the legal regime of funds on a public deposit account is that the arrest, suspension of operations, as well as the write-off of funds for obligations both the account owner and the beneficiary or depositor are not allowed. In addition, the deposited property is also protected as part of the bankruptcy procedure of the depositor. In such a situation, neither external nor the competitive manager can dispose of deposited property. Moreover, according to Article 189.91 of the Federal Law of October 26, 2002 No. 127-ФЗ "On Insolvency (Bankruptcy)" from the property of a credit institution, which constitutes a competitive mass, eliminating property transferred under contracts of notaries deposit accounts.

It should be borne in mind that in cases of fulfillment by the depositor, the obligation to the beneficiary through the transfer to the deposit of property to the ESCRO-Agent, which is not a notary, is to be applied by the Rules of Civil Law on Escrow Agent. Thus, for these purposes in accordance with Article 926.1 of the Civil Code of the Russian Federation between the depositor, the beneficiary and an escrow agent is an Eskrow Agreement, the subject of which by virtue of paragraph 3 of Article 926.1 of the Civil Code of the Russian Federation is movable things, including cash, documentary securities, documents, and Also non-cash cash and without documentary securities.

The validity period of the ESCROU agreement may not exceed five years, after which the deposit deposit deposit is returned by the deposit.

It is important to keep in mind that an ESCOU treaty is subject to a mandatory notarial certificate (except for the deposit of non-cash cash and (or) non-documentary securities). The notarial tariff for the certificate of this contract is charged in accordance with the requirements of subparagraph 5 of paragraph 1 of Article 333.24 of the Tax Code of the Russian Federation and is 0.5 percent of the amount of the contract, but not less than 300 rubles and no more than 20,000 rubles.

In addition, it should be noted that training seminars and webinars on themelles of legislation are systematically conducted by the Federal Notary Chamber on the provision of actual issues arising from notarial actions. We invite you to actively take part in such training events.

Appendix: 1 liter

Overview of the document

An explanation on the conclusion of a Public Deposit Account Agreement, as well as the activities of notaries as Escrow agents.

Thus, performing the functions of an escrow agent, the notary acts as a guarantor of the fulfillment of the obligations of the Depositor and carrying out settlements between the parties to the agreement, but is not directly the party to the transaction.

The basis for the deposit of movable things, cashless cash or non-documentary securities is the joint statement of the parties to the obligation, which is transmitted to the notary. In the case of a notarial certificate of the transaction, providing for the deposit of the specified property, such a statement may file a debtor. Therefore, for the purpose of transmitting a notary of property to deposit a contract, an ESCOO does not consist.

The notarial tariff for the deposit is 0.5 percent of the total amount of money, the market value of the securities or the declared value of the property value, but not less than 1000 rubles. If the cash is made to deposit in order to execute the obligations of the parties on a notarized transaction, the notarial rate is charged in the amount of 1500 rubles.

For the purpose of depositing funds, the notary is obliged to open a public deposit account. The value of its own funds (capital) of the credit institution, which opens such an account, should be at least 20 billion rubles. Monitoring banks corresponding to this condition is carried out directly by the notary.

Arrest, suspension of operations, as well as the write-off of funds for obligations as the owner of a public deposit account, and the beneficiary or depositor are not allowed. In addition, the deposited property is also protected as part of the bankruptcy procedure of the Depositor.

From June 1, 2018, the notary office provides cash depositing services (storage). For this purpose, the notary has been opened a special public deposit account at the Bank of PJSC Bank St. Petersburg. Why do you need a public deposit account and how to use it with mutual settlements between the parties of the transaction?

Notary provides cash receipt services for a public deposit account in several cases, for example, for settlements between participants in transactions on the purchase and sale of real estate or to fulfill their financial obligations to the lender. The transfer of funds to the notary deposit account is the public execution of debtor's debt obligations to the lender.

It should be noted several features of the public deposit account:

  • it can only open a notary, bailiff or court;
  • the account can be opened only in such banks, the value of own funds (capital) of which is at least 20 billion rubles, i.e. only in the most reliable and large banks of the Russian Federation;
  • operations on this account can be performed only by notary and only for the purpose of enrolling or issuing (write-offs) of funds in the implementation of mutual settlements between the participants of the transaction and only on the conditions agreed;
  • the funds placed on this account belong not to the notary, but solely to the parties to the transaction, can be in account of up to 10 years with interest accrual, insured in the Deposit Insurance Agency;
  • cash placed on a public deposit account of the notary, in the event of bankruptcy of the Bank, are excluded from the competitive mass and are subject to issuing their owner.

Using the possibilities of a public deposit account of the Notary Participants, the participants in the purchase and sale of real estate can be reliably, conveniently and quickly pay on the deal concluded by them. By the signing of a notarial agreement, upon the occurrence of the conditions and deadlines specified by the parties to the transaction, the notary will fulfill all the necessary actions to transfer funds from a public deposit account to creditors' accounts or give them an order for the bank to receive cash.

Name of service Cost, rub
Taking on deposit of funds in order to fulfill the obligations of the parties on the transaction certified notarized. For example, for settlements between all participants in the transaction on a notarized real estate purchase contract. 2300
Adoption of a notary deposit, a certified transaction, cash in order to fulfill obligations under such a transaction 6300
Taking on deposit of funds (not a mandatory notarial form), except for cases of making money for deposit purposes in order to fulfill the obligations under the transaction 0.5% of the total monetary amount, the market value of the securities or the substantive value declared by the depositor, but not less than 1000 rubles. (Additionally charged 800 rubles. for each subsequent creditor, starting from the sixth) + 4800 rubles.
The adoption of cash notary (if there is a mandatory notarial form for such adoption), with the exception of making money to deposit in order to fulfill the obligations of the parties to the transaction 0.5% of the total monetary amount or market value of securities, but not less than 20 rubles. and no more than 20,000 rubles. (Additionally charged 800 rubles. for each subsequent creditor, starting from the sixth) + 4800 rubles.
The adoption of the notary deposit part of the inheritance of cash. 0.5% of the total monetary amount, but not less than 1000 rubles. + 4800 rub.

Dealer operations are associated with the bank of the sale of securities purchase transactions on their own behalf and at their own expense by public announcement of the purchase prices and / or the sale of these securities at the prices declared them.
Securities trade can be organized in the most different ways, and sellers and buyers meetings for the conclusion of purchase and sale transactions can occur on various trading platforms. Market securities' market courses on the over-the-counter market are folded as a result of comparing demand and supply of securities that market market operators are dealers.
According to Art. 4 of the Law "On the Securities Market" of dealerships recognizes the commission of the purchase and sale of securities on its own behalf and at its own expense by public announcement of the purchase prices and / or sale of certain securities with the obligation of the purchase and / or sale of these securities on the announced person carrying out such activities, prices.
Purchase and sales price is defined by a dealer if other substantial conditions of the contract of sale by the dealer are not named (number of securities or term for acceptance), it is obliged to conclude an agreement on the conditions proposed by the counterparty. If the dealer evades the transaction, it can be claimed for the compulsory conclusion of the contract and compensation for damages.
The emergence of dealer operations is associated with the development of over-the-counter trade systems in Russia, primarily the Russian trade
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--- Page --- 202 Systems (RTS) (1994). In the creation of the RTS, foreign investors and Russian investment companies - "Athon", "Olma", Rinako Plus, Troika Dialogue, Investment Banks "C.S." were played a significant role. First Boston, "Brunswik" and others, they founded in mid-1994. The self-regulating association of the Moscow participants in the stock market - Paofuif (predecessor - Yauf). And in September 1994, RTS was created, intended for trade between Paufuof members. RTS is a prototype of the American stock exchange system. Most of the rules for the organization of commerce were borrowed from this system, which is a classic dealer market. Currently, the RTS has the status of the stock market.
Dealer operations are carried out on the basis of securities quotations - a purchase or sale offer, containing the name of the security, its issuer and the essential conditions of the transaction (the number of shares, the calculation currency, the deadlines for the fulfillment of obligations). The main thing here: quotes on the dealership can be announced only by a dealer - a professional participant in the securities market. At the same time, the dealer assumes additional obligations to maintain the minimum number of quotations for each valuable paper-lined. The remaining participants in the trading system are brokers when performing client orders should contact the dealers of the respective securities. Dealers are concentrated on demand and demand, as a result they have the ability to "cross" orders who received them and receive profits. This operation is called internal arbitration.
The main role of the dealer is ready to name the bilateral quotation of market intermediaries in order to ensure the liquidity of the products in the market. At least theoretically potential profit for the dealer as wholesaler is in the difference between the two prices (dealer spread). In fact, trade is not so simple, as it may seem, because at the same time there can be a lot of buyers and only a few sellers and vice versa. Then the situation occurs when a dealer, fulfilling obligations on its purchase quotes, reduces its own position on money and increases on securities.
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--- Page --- 203 - if we are talking about selling, the dealer, respectively, reduces its dealer reserve of securities and increases the monetary position. Naturally, this operation in the Russian market is more risky than the operation at the expense of the client, but also more profitable. Each dealer actually represents a kind of stock exchange, on which a limited number of shares are quoted. At the same time, it usually sets quotes along a small spectrum of securities, according to other papers it is already acting as a broker. As a result of such a periodic change of roles, investment companies began to be called brokerage-dealer companies, which hides their essence and emphasizes the speculative destination in the securities market.
Dealer activities (at least as it is presented in the law) can be interpreted as an investment. However, this is a mechanism with which a company or bank can most effectively implement its investment policy. In practice, the dealer is the least preferable activity at their own expense, especially when it comes to selling. In this case, you need to either have paper, or sell "without coverage" in order to "pay off" at lower prices. In addition, the dealer can set quotes not in order to produce profits from the spread, but to maintain the course of securities that are included in its own portfolio, which may be more important at the moment. Or the dealer may have a special agreement with the issuer on maintaining the liquidity of the latter securities.
It must be borne in mind that the securities market is a sensitive barometer of the economic and political situation in the country, strongly subject to various psychological factors. Therefore, dealers seek to keep the situation under control so that it does not lead to a possible impairment of portfolios of companies and banks. In general, the dealer market, quite effective at the time of stock lifts, in the conditions of market decals only stimulates crisis trends due to the rapid compression of the market, which has fully appeared since May 1998.
Thus, dealer operations can be considered, on the one hand, as a public offer of an investor, a professional participant in the securities market, on the other, this is a type of operations that are very different from the investment. But
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--- Page --- 204 - in any case, no matter how purpose a professional participant in the securities market, exposing public quotes, dealer activities can be considered as an effective mechanism for implementing and maintaining the Bank's investment policy and its portfolio.

Dealers

The dealer carries out a deal on behalf of his name and at its own expense by public announcement of the purchase prices or sales of certain securities. In addition, the dealer has the right to establish the minimum or maximum number of purchased or sold securities, as well as the validity period of these conditions.

The dealer according to the law can only be a legal entity that is a commercial organization. It carries out the purchase and sale of securities on its own behalf and at its own expense by public announcement of the purchase prices and / or selling certain securities with the obligation of the purchase and / or sale of these securities on an announced person carrying out such activities, prices. The income of the dealer consists of the difference in selling sales and purchase. Speaking as a market operator, the dealer declares the price of selling and buying, the minimum and maximum number of purchased and sold papers, as well as the period during which announced prices are valid.

The dealer functions are:

Making transactions of purchase and sale of securities at its own expense and on its own behalf through public announcement of the purchase prices and / or sale of certain securities on declared dealer prices;

Additional obligations to ensure the liquidity of the securities market;

Disclosure of information on its operations with securities in cases and procedure provided for by the current legislation.

The dealer carries out of its name and at its own expense by public announcement of the purchase prices or sales of certain securities. In addition, the dealer has the right to establish the minimum or maximum number of purchased or sold securities, as well as the validity period of these conditions.

Dealer, by law, can only be a legal entity that is a commercial organization.

The managing is a participant in the securities market that performs securities management activities. The manager may be a legal entity or an individual, which on its own behalf during a certain period of trust management of securities or cash transferred to him to possession of a third party and intended for investing in securities. For their activities, the manager receives a certain remuneration.

The clearing organization produces a collection, reconciliation and adjustment of information on securities transactions, determines the mutual obligations of participants in transactions, exercises a test for the supply of securities and calculations on them.

The depositary provides services for storing certificates of securities or accounting and transition rights to securities. Only a legal entity can be a depositary. A person who uses the services of a depositary is called a depositor. Under the conditions of the depository agreement, securities revenues can flow into the depositary, which lists these income to deposit accounts.

Managing companies

One of the professional participants in the securities market can be managers. In accordance with the Federal Law "On the Securities Market", under the activities of securities management recognizes the implementation by a legal entity or an individual entrepreneur on his own behalf for the remuneration during a certain period of trust management transferred to him in possession and belonging to another person in the interests of this person or the specified By this face of third parties:

Securities and cash intended for investing in securities;

Securities and cash that the company receives in the process of its activities in the securities market is that they can provide:

As a rule, the best results related to transactions in stock markets due to the scale of their activities;

Lower costs associated with stock market operations due to their scale;

Efficiency of operations due to simultaneous work in different sectors of the market and (or) in different countries.

A professional participant in the securities market, which carries out security management activities, is called the "Manager". The owner of the property transferred to trust management is called the Founder of Management. The person, in the interests of which the securities management takes place is considered to be the beneficiary. According to the definition, the beneficiary can be either the founder of the Office, or the third person named it.

In Russia, as a rule, a commercial bank is in the role of the manager, which concludes a special agreement with the founder of the Office, which determines the rights and obligations of the Parties, as well as the procedure for managing securities and cash.

Article 860.23. Public Deposit Account Agreement

1. A public deposit account agreement is for the purpose of depositing the debtor or other person specified in the law (depositor), cash on the deposit in cases where such deposit is provided by law.

A public deposit account agreement lies with a person or body that in accordance with the law can take money to a deposit, the account holder (notary, the bailiff, the court and the other) with the bank, if otherwise indicated in law or another regulatory legal act.

2. Under the Public Deposit Account Agreement, the Bank does not have the right to control the compliance of the operations of the account owner of the established law on the rules on deposit, unless otherwise provided by law.

3. Cash deposit on a public deposit account entails the rights of the rights to the account owner regarding these funds from the person whose favor they are deposited (beneficiary). The beneficiary is not entitled to demand operations with cash received by a public deposit account in its favor directly from the bank.

4. The beneficiary is entitled to require the transfer (issuance) of funds to him from a public deposit account from the account owner on the grounds and in the manner provided by law.

Article 860.24. Operations on a public deposit account performed by the Bank

1. According to a public deposit account, on the basis of the assignment of the account owner, operations may be commissioned to enroll deposit funds to the account, transfer or issuing deposit funds to the beneficiary and the return of these funds to the Deponent or to specify it to another person.

Other operations on a public deposit account, as well as account lending (Article 850) are not allowed.

2. The account owner is responsible to the beneficiary and the depositor for performing operations on a public deposit account with a violation of the rules for the deposit established by law.

3. The Bank is not responsible for the beneficiary and the depositor for performing operations on a public deposit account basis on the basis of orders of the account holder in contradiction with the rules established by the Law on Deposit Rules, except in cases where the Bank has not fulfilled the obligation to control the use of funds established in accordance with the law On account.

4. The bank's services fee for performing operations on a public deposit account cannot exceed the amount of interest provided for in Article 860.25 of this Code.

Article 860.25. Interest for the use of the bank with cash, located on a public deposit account

1. For the use of funds in a public deposit account, the Bank pays interest, the amount of which is credited to the account.

2. The interest specified in paragraph 1 of this article is paid by the Bank in the amount of usually paid by the Bank on demand deposits (Article 838).

3. Payment of deposit deposited for the beneficiary, as well as their refund of the Deposit, taking into account the interest paid or payable by the Bank for the period from the date of receipt of the deposited amount to a public deposit account before it is transferred (issuing) to the beneficiary or return to the Deposit.

Article 860.26. Founding of Cash Writing Off with Public Deposit Account

The arrest, suspension of operations and the write-off of cash, which is in a public deposit account, for the obligations of the account owner before its creditors, is equally not allowed by the obligations of the beneficiary or depositor. In these cases, the penalty for the obligations of the beneficiary or the depositor may be drawn to their rights to the account holder.

In case of failure to fulfill the obligation of the account holder for the issuance or return of deposited funds, the beneficiary or the depositor has the right to demand the account of the account of the appropriate actions in court.

Article 860.27. Translation of deposited cash in insolvency (bankruptcy) of the bank

If the Bank is recognized as insolvent (bankrupt), funds in the public deposit account are not included in the Bank's property (competitive mass) and are subject to transfer to the account holder to its other public deposit, open in another bank.

Article 860.28. Replacing the owner of a public deposit account and termination of the contract

1. In the event of the death of a notary (other commissioned by the opening of the public deposit account of the person) or addition (termination) of its powers, the owner of a public deposit account is replaced by another notary (other person), which in accordance with the law, other legal acts are transmitted by the deceased notary affairs ( other person).

2. In the case of the abolition or transformation of the body, which is authorized to open a deposit account, the owner of a public deposit account is replaced by another body, the competence of which, in accordance with the law, other legal acts include the opening of a public deposit account for deposit deposit deposit.

3. A public deposit account agreement cannot be terminated on the grounds specified in paragraphs 1.1 and 2 of Article 859 of this Code.