Court strips Nautilus LLC of kelp harvesting rights in Primorye

The Arbitration Court of Primorsky Krai has ended a kelp harvesting agreement with Nautilus LLC. The decision follows a lawsuit by Rosrybolovstvo, which accused the company of failing to meet its quota for two consecutive years. The court ruled in favour of the authorities, stripping the firm of its harvesting rights in the region. Nautilus LLC was registered in Vladivostok in 2016. Its primary activity was marine fishing, and it held a 1.178% share of the total kelp quota in Primorye’s underwater areas. Pavel Moskalenko served as its sole founder and CEO.

In 2023 and 2024, the company harvested less than 70% of its permitted kelp volume. Rosrybolovstvo’s Primorsky Territorial Administration issued a demand for contract termination after the repeated shortfall. When Nautilus LLC ignored the warning, the agency took legal action.

The court found that two consecutive years of underutilised quotas constituted a material breach. It granted Rosrybolovstvo’s claim in full, terminating the agreement between the administration and Nautilus LLC. The ruling removes Nautilus LLC’s right to industrial kelp harvesting in Primorye. The company can no longer operate under the previous quota allocation. The decision reinforces the enforcement of harvesting obligations in the region.