Public contract performance security for food supply for the needs of the penal system institutions and bodies

Introduction: the paper deals with the problems of the implementation of Federal Law No. 44-FZ ofApril 5, 2013, “On the contract system in the procurement of goods, works, services for state and municipal needs” in terms of public contract performance securityfor food supply for the needs of the penal system. The legal nature ofcontract performance is analyzed from the point ofview of the general norms of the Civil Code ofthe Russian Federation and special legislation. A reviewofjudicial practice in the enforcement ofcontract performance securityfor improper performance of the contract terms has been conducted. The purpose of the study is to analyze the mechanism of implementation of public contract performance security of federal customers. The legal nature and functions ofpublic contract performance securityhave been studied; a comparison of judicial practice in similar cases has been made. Methods: the methods of consistency, analysis and comparative laware used. Results: the authors’ position justified in the work is based on the legislation, the results of the specialists’ studyon the use ofa mechanism for compensating a penaltybya state customer bywithholding contract security from an unscrupulous supplier. The paper presents brief conclusions and suggestions for improving the mechanism for the implementation of the restoration of violated rights of the parties in the execution of public contracts. Conclusions: given the importance ofuninterrupted execution of the state order, the legislator has taken care of a system ofmeasures to protect the interests of the state customer. One of the important mechanisms for protecting the customer’s right is the implementation of a securitypayment. Based on the analysis of judicial practice on this issue, the authors have found that in case of breaking by the supplier of the terms of the public contract, the customer does not always lawfullywithhold compensation for penalties in the form ofa securitypayment or an independent guarantee. This issue is especially relevant at the present time in an unstable economic situation. On the one hand, this mechanism guarantees the protection of the rights of the customer; on the other hand, if the supplier is included in the register of unscrupulous enterprises, it puts a stigma on the business reputation and the possibility of further development of a market participant. Therefore, the impartial position of the Federal Antimonopoly Service and the performance in good faith of its duties bythe state customer is very important in this matter.