Avellum, working with White & Case, has advised the Ministry of Finance of Ukraine on the restructuring of Ukraine’s sovereign debt. Sayenko Kharenko, working with Latham & Watkins, advised JP Morgan in its role as solicitation agent. Weil Gotshal & Manges advised some of the GDP-warrant and bondholders.
The Laws of Ukraine "On Amendments to Certain Laws of Ukraine Regarding Priority Reform Measures in the Field of Town-Planning” No. 2254-IX, dated 12 May 2022 (“Law 2254”) and "On Amendments to Certain Legislative Acts of Ukraine Regarding Regulatory Peculiarities of Land Relations under Martial Law” No. 2247-IX, dated 12 May 2022 (“Law 2247”, hereinafter together with Law 2254 – “Laws”) came into force more than a month ago.
On July 7, four leading lawyers from Austria, the Czech Republic, Hungary, and Ukraine sat down for a virtual round table moderated by CEE Legal Matters Managing Editor Radu Cotarcea to discuss the increasing prominence of ESG issues and their impact on M&A transactions, due diligence procedures, and the role of the lawyers themselves.
Avellum has advised the seller on the sale of the Pep Group to Locaria. Lexence reportedly advised the buyer.
On 27 May 2022, Law of Ukraine “On Amendments to the Tax Code of Ukraine and Other Laws of Ukraine Regarding the Peculiarities of Tax Administration of Taxes, Fees and Unified Social Contribution During Martial Law and the State of Emergency” No. 2260-IX, dated 12 May 2022 (the “Law”), entered into force. The Law introduced several changes to the taxpayers’ rights and obligations during martial law.
On February 15, 2022, the Ukrainian Parliament adopted draft Law No. 5090 on Amendments to the Budget Code of Ukraine on the Regulation of Budgetary Relations in the Implementation of Contracts Concluded within the Framework of Public-Private Partnerships, Including Concession Contracts (Law 5090). The law is vital for the functioning of public-private partnerships (PPP) in the road and highway reconstruction sector since it enables public partners to provide guarantees of fulfillment of their long-term obligations under relevant PPP projects.
Avellum has advised the Ministry of Finance of Ukraine on a CAD 500 million 10-year loan from Canada. Sayenko Kharenko and Borden Ladner Gervais reportedly advised the lender.
On 28 April 2022, Resolution of the Government of Ukraine “On Amendments to Certain Resolutions of the Government of Ukraine on Notaries’ Activity and Functioning of Unified and State Registers Held by the Ministry of Justice, during Martial Law” No. 480-2022-p, dated 19 April 2022 (“Resolution”), entered into force, amending several previously adopted resolutions (as described in the Legal Alert, dated 29 March 2022).
Ukrainian Parliament currently considers bill No 7232 that increases tax rates for Ukrainian businesses related to Russia (the “Measure”). The aim of the bill is to discourage corporations from Russian business activities. If successful, it should decrease Russian fiscal revenue, which will leave Russia with less funds available for warfare. There is, obviously, a huge social request and support for such measures. However, actual effect of the bill is far not that definitive.
Avellum has advised Kernel Holding on the sale of several of its farming entities to a company controlled by Andrii Verevskyi.
According to the CEE Legal Matters CEE By The Numbers report, between 2019 and 2021, Ukraine saw a large decrease in the number of ranked law firms and lawyers at ranked firms. While in 2019 the number of Ukrainian law firms ranked by Chambers & Partners and Legal 500 was 95, in 2021 the same number decreased to 69. Similarly, the number of ranked-firm lawyers decreased from 1,579 in 2019 to 1,338 in 2021. The decreasing trend is particularly visible in comparison to other CEE countries.
Avellum, April 12, 2022: Today the whole world is witnessing unheard brutality and cynicism of the Russian military aggression against Ukraine. The war that Russia started targets not only military facilities in Ukraine, but civil objects, hospitals, schools, residential, and office buildings. The mass genocide of Ukrainians has intensified, Russian invaders no longer even try to conceal their atrocities against civilians and carry them out in front of the entire world.
One of Ukraine’s legal responses to Russia’s full-scale aggression was a legislative initiative aimed to confiscate the property of the aggressor state. On 3 March, the Ukrainian Parliament put this initiative into practice by adopting the Law of Ukraine “On Basic Principles of Confiscation of Property Held in Ukraine by the Russian Federation and its Residents” (“Law”), and on 10 March, the Law was signed by the President.