The Parliament of Ukraine adopted a draft law 1056-1 on amendments to certain legislative acts on the protection of property rights in the second reading.
It is another step in countering raiding in Ukraine.
Raiding has become one of the most pressing issues for business in recent years. There have been more than 3,000 illegal takeovers since 2013, and this is a very disappointing statistics. Raiders used different methods of illegal takeovers: they removed data from registries, forged documents and used “non-existent” registrars.
The main provisions of the draft law are:
- termination of activities of accredited entities;
- introduction of obligatory notarization of agreements on corporate rights alienation;
- implementation of the principle of simultaneous notarization and state registration of rights;
- increasing responsibility for violations of the relevant registration procedures
The new law will allow to reduce the number of illegal takeovers of real estate and corporate rights as well as reduce costs incurred by individuals and businesses to protect their property against unlawful infringements.