Publication date: 30.05.2024
The Verkhovna Rada amended the Criminal Procedure Code, the Civil Procedure Code and the Civil Code of Ukraine to suspend debt security in case the debtor is a critical infrastructure operator.
The commencement of bankruptcy proceedings against a critical infrastructure operator whose shares were forcibly expropriated during martial law and in which the state directly or indirectly owns 50% or more of its authorized capital is considered to be bankruptcy proceedings subject to closure at all stages.
Bankruptcy procedure.
On May 22, the Verkhovna Rada adopted as a whole Draft Law 8316 "On Ensuring the Functioning of Critical Infrastructure Facilities under Martial Law", which will be submitted to the Parliament in December 2022.
This Law No. 8316 will come into force on the date of its publication and will apply only to business entities whose shares (stakes, interests) were expropriated under martial law before the entry into force of this Law.
Thus, Article 137 of the Commercial Procedure Law was amended with the following provisions.
Interim relief by way of suspension of decisions on the expropriation of property under martial law made in accordance with the Law of Ukraine "On the Forced Transfer, Expropriation or Confiscation of Property under Martial Law" is not allowed.
"Or an emergency situation".
Temporarily, for the duration of martial law and for two years after its termination or cancellation, the requirements provided for by this Law, if the defendant (debtor) is or is to be a certain commercial enterprise, are not allowed to take measures to ensure it Meets the following criteria: - Critical infrastructure operator.
- During the period of martial law, shares (stakes, interests) in business entities were forcibly seized.
- The state directly or indirectly owns more than 50% of the shares (stakes, interests) in the authorized capital of the business entity.
Therefore, Article 150 of the Code of Civil Procedure was supplemented with a similar provision.
Interim relief by way of suspension of decisions on the expropriation of property under martial law made in accordance with the Law of Ukraine "On the Forced Transfer, Expropriation or Confiscation of Property under Martial Law" is not allowed.
For the period of martial law and for two years after its termination or cancellation, the defendant (debtor) is not entitled to take the measures of temporary security provided for by this law.
Some commercial enterprises meet or must meet the following criteria: - Critical infrastructure operator.
- During the period of martial law, shares (stakes, interests) in business entities were forcibly seized.
- The state directly or indirectly owns more than 50% of the shares (stakes, interests) in the authorized capital of a business entity.
Article 151 of the Law on Administrative Court was also added, which prohibits securing claims by suspending the decision on the compulsory delivery of property during martial law:
- "alienation" or confiscation of property under martial law or a state of emergency; During martial law and for two years after its termination or cancellation, it is temporarily not allowed to take measures to secure claims under this law against entities that meet the following criteria: .
- The Guidance specifies critical infrastructure.
- Shares (stakes, units) in business entities were forcibly seized during martial law.
- The state directly or indirectly owns more than 50% of the shares (stakes, units) in the authorized capital of a business entity.
The Law of Ukraine "On Bankruptcy" stipulates that for the period of martial law and for two years after its termination or cancellation, bankruptcy proceedings may not be initiated against companies that meet the following criteria: - Shares (stakes, interests) in business entities were forcibly seized during martial law.
- The state directly or indirectly owns 50 percent or more of the shares (stakes, interests) in the authorized capital of a business entity, except for business entities that are liquidated by the decision of their owners.
Initiation of a bankruptcy case against a commercial enterprise that meets all the criteria: it is a critical infrastructure operator; economic and social reserves (stocks, reserves) were expropriated under martial law.
The state directly or indirectly owns shares (stakes, units) in the amount of more than 50 percent of the authorized capital of a commercial company.
However, commercial companies are subject to closure at all stages of bankruptcy and are liquidated by the decision of their owners, except for the activities of commercial companies (before and after the debtor's bankruptcy).
Thus, we can see that the amendments adopted not only to the current law are adopted taking into account changes in the requirements of the time and the imposed martial law in Ukraine, but also in relation to business activities in accordance with the fact that a evaluation. legal analysis of the situation, analysis of documents and verification of documents by a lawyer and a legal opinion were conducted.
