Interview with the head of the USPA

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(Clause 6 of Article 3 of the Civil Code of Ukraine) and the inadmissibility of abuse of law (Part Three of Article 13 of the Civil Code of Ukraine).


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Therefore, a contract concluded with the aim of avoiding the performance of the contract and the obligation to pay the debt is an abuse of the right to conclude a contract and dispose of property, since it makes it impossible to perform the obligation and causes harm to the creditor. Such a contract may be considered fraudulent and be declared invalid by the court upon the claim of the person special database whose right has been violated, that is, the creditor.

The Grand Chamber of the Supreme Court in the above case noted that the plaintiff has the right to file a lawsuit with the court to declare the contract invalid as one that is aimed at avoiding the imposition of foreclosure on the debtor's property, based on the general principles of civil law (clause 6 of Article 3 of the Civil Code of Ukraine) and the inadmissibility of abuse of law (part three of Article 13 of the Civil Code of Ukraine) and to refer to a special norm that provides for the declaration of the transaction as invalid.

Thus, in the resolution of November 24, 2021 in case No. 905/2030/19 (905/2445/19), the subject of judicial consideration of the case was a claim by a non-party to the transaction within the framework of a bankruptcy case to declare the real estate purchase and sale agreement invalid, which was justified, in particular, by the debtor's commission of a fraudulent transaction before the initiation of proceedings in the case of his bankruptcy.