WHETHER IT IS POSSIBLE TO WRITE OFF DEBTS FOR UTILITIES DURING THE WAR

Is it possible to write off utility debt during war

In the conditions of martial law, the issue of paying for communal services has become extremely urgent for many Ukrainians. Often people are left without income and are unable to pay for communal services.

We will consider whether Ukrainians can get debt relief for communal services and under what conditions it can be done.

Legal regulation of this issue

Currently, there are no norms in Ukrainian legislation that would automatically provide for the write-off of debts for communal services for all categories of consumers. However, during the period of martial law, certain restrictions were introduced in accordance with Resolution of the Cabinet of Ministers of Ukraine No. 206 of March 5, 2022.

These restrictions include:

1. Prohibition on debt collection for utility services incurred after February 24, 2022, for residents of territories where hostilities are taking place and temporarily occupied territories. 
2. This applies only to those consumers who have documented their temporary absence from these accommodations.
3. Prohibition on disconnection of utility services due to non-payment.

The situation changed on December 29, 2023, when this moratorium was canceled by Cabinet Resolution No. 1405.

From this moment on, the calculation of penalties, fines and other sanctions for utility services, as well as the possibility of debt recovery in court and disconnection of consumers from utility services.

The only exception is temporarily occupied territories and territories where hostilities are taking place, as the assistant lawyer notes.

Whether debts will be written off automatically

No, the ban is not automatic. A consumer who wants to take advantage of this benefit must contact the supplier with an application and documents confirming the absence of residence in the specified territory. These can be, in particular, a certificate of an internally displaced person (IDP), a document on temporary stay abroad or documents from the place of work, treatment, training, military service, and others. The application and other documents can be sent both by regular mail and by electronic means of communication. If the documents are sent electronically, the signature on the application must be electronic.

How to start the debt cancellation process

Despite the difficult circumstances, utility consumers have the legal right to initiate the write-off of their debts to suppliers. It is important to realize that a certain condition is necessary for this: the service provider must file a lawsuit to collect the debt from the consumer.

If, during the court proceedings, the court makes a decision in favor of the consumer, he may get the opportunity to write off debts for utility services.

This is possible under several conditions:

• Duration of debt. If the debt to the supplier exists for more than three years.
• Debts of previous owners. If the debt arose due to the accrual of funds that were made by the previous owners of the home.
• Incorrect calculation. If the supplier made an incorrect calculation of the debt, not taking into account the actual area of ​​the consumer's home.
• Consumer bankruptcy. If the consumer is officially recognized as bankrupt by the court.

If the consumer can prove his case in court, he has a chance to write off accumulated debts in accordance with current legislation. However, even in situations where debt cancellation is possible, you should be prepared for the fact that this process will require considerable effort.

The role of a lawyer in the process of writing off debts for communal services during the war

A lawyer plays an important role in the wartime utility debt settlement process as he provides professional legal support to consumers who find themselves in a difficult financial situation. The lawyer helps with the preparation of documents, assesses the chances of successful debt settlement, represents the client's interests in court and advises on possible legal consequences. He can also initiate debt write-off procedures, paying attention to all aspects of the legislation governing this area, and ensure the proper execution of applications and other necessary documents. Thanks to the lawyer's expertise, the consumer has more chances for a positive outcome in the case, which is especially important in the conditions of martial law.

Court protection and legal support

Court protection is an important part of the wartime utility debt settlement process, as it allows consumers to challenge the assessment of the debt and request that it be written off in court. In cases where the service provider files a lawsuit for debt collection, the consumer has the right to protect his interests by presenting evidence confirming the legitimacy of his claims. The court may consider such circumstances as the length of the debt, the possibility of errors in calculations, debts left by previous owners, or the fact that the consumer has been officially declared bankrupt. At the same time, it is important to attract a qualified lawyer who will be able to competently prepare the case and present the client in court, which increases the chances of a successful resolution of the debt write-off issue.

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