Svn Error: E155036 - When it happens

The svn error with code "E155036" is thrown when you use a local copy created before an upgrade of svn server.
A typical scenario is the following:

1. A developer creates his local copy.
2. SVN Admin performs the svn server upgrade
3. After the upgrade, the developer tries to use his local copy and svn throws the error "E155036".

The solution is very easy and it is shown in error description but the focus of this post is on the scenario just described.

> svn status
svn: E155036: Please see the 'svn upgrade' command
svn: E155036: Working copy '/home/user/myproject' is too old (format 10, create
d by Subversion 1.6)

> svn upgrade

Upgraded '.'
Upgraded 'A'
Upgraded 'A/B'
Upgraded 'A/B/C'
....