Liga business виконавча служба в Україні

Prospects of Reforming of Enforcement Service in Ukraine

According to statistics 95% of the judgements of the European Court of Human Rights and 70% of the judgements of national courts are not enforced in Ukraine that means the State Enforcement Service of Ukraine does not cope with its tasks. Impossibility to enforce a court judgement undermines foundations of justice and emasculates the very idea to go to court to protect one’s own rights and freedoms. If the State Enforcement Service is not dramatically reformed, it will make no sense to reform the judicial system in general.

In the light of this problem the President of Ukraine Petro Poroshenko brought in two bills “On authorities and persons that are responsible for compulsory enforcement of court judgements and decisions of other authorities” (№ 2506а) and “On enforcement proceedings” (№ 2507а) that are to be considered soon by Verkhovna Rada, the Parliament of Ukraine, in the second reading. These bills are supposed to change enforcement service dramatically, introducing “mixed” system of enforcement of judgements, where private executors will work alongside the State Enforcement Service. States such as Bulgaria and Baltic states that politically, economically and in social and cultural aspects are close to Ukraine served as a model for the enforcement service’s modernization. The reform’s main idea is to “open” state registries, to administer them “clearly” and to invite to enforcement service active persons who, as Deputy Minister of Justice S. Shkliar mentioned, “want to make money and are ready to work their guts out”. The roundtable organized March 16, 2016 by the Ministry of Justice of Ukraine and the Association of men of law of Ukraine was dedicated exactly to the discussion of the abovementioned bills.

The event was organized in the form of discussion between representatives of authorities, experts, lawyers and bankers who considered various questions, those that were solved in two bills and those that remained outstanding. Participants discussed prospects of improvements of system of state registries whose number is great nowadays and whose holders are different state bodies that causes situation when an executor cannot take steps effectively to arrest the property and funds kept on accounts in different banks; it was debated whether moratorium on mandatory sale of state enterprises’ and corporations’ property where state owns as least 25% of statutory fund and moratorium on levying of the property of Ukrainian citizens provided as security for credits in foreign currency should be abrogated; some participants expressed suggestions concerning introduction of bankruptcy for natural persons; there were envisaged problems of appeal of actions/inactivity of executors, introduction of effective system of access to information concerning bank accounts of debtors and problems of court control over enforcement of court judgments.

Kateryna Tsirat, one of the lawyers of Jurvneshservice participated in the roundtable and joined general discussion. In case the two bills are adopted, we hope some of the today’s problems coming with the process of enforcement of judgements will be resolved and the system of enforcement of judgements will become strong and effective.