The Perm business advocacy coalition in Russia recognizes that with high demand for bribes, entrepreneurs are often willing suppliers. For individual entrepreneurs paying bribes is usually more cost effective than defending oneself against corrupt bureaucrats through a weak legal system. Therefore, the coalition decided to summon the powers of collective action to utilize norms and legal precedents in the fight for business rights.
Member of the coalition - associations and chambers of commerce - decided to support an entrepreneur whose rights had been violated when city officials fined him for selling goods without a license. Those officials who attempted to fine him were not tax inspectors and exceeded their duties according to the law. Furthermore, the law clearly stated that in this circumstance the entrepreneur was not required to acquire a business permit. The court agreed that the fine was unjust and a precedent had been set for other entrepreneurs to use in defending themselves in similar cases.
Although Russian law does not operate based on precedents, the coalition finds that citing precedents in cases related to business are effective in getting judges to uphold the rule of law and setting norms for business people.
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