The new law on confiscation of property, movable and immovable, in favor of the Armed Forces of Ukraine shocked many citizens. However, experienced lawyers and lawyers assure that, in fact, it is not new at all, but a well-forgotten old one. Expropriation of property from enterprises and individuals was a well-known practice even in the times of the Soviet Union. With its disintegration, it passed into the inheritance and into the legislation of Ukraine. This law caused quite a stir back in 2014, and with the beginning of a full-scale invasion, its relevance and ominousness became even greater. The editors of THE Capital blog spoke with the company's lawyers to clarify this issue for themselves and for our readers.
Movable and immovable: what property is seized
Most often, it is transport and equipment that go to the needs of the state:
- passenger cars;
- commercial vehicles;
- trucks;
- machine repair equipment;
- fuel;
- etc.
Passenger cars can be removed, but this is rather an exception, since they are objectively less needed. Larger vehicles can be used to transport materials and supplies. Unlike companies and enterprises, civilians rarely faced the need to donate their movable property.
With regard to real estate, the most high-profile case was the seizure of 75 apartments in the "Sofia" residential complex, located on Sofiivska Borshchagivka. It took place in favor of the Main Directorate of Intelligence of the Ministry of Defense of Ukraine. The basis for this was the activity of the project developer. As early as 2020, a case regarding his non-payment of taxes began. In peacetime, the terms for its consideration and resolution would be 18 months, but the state of war leaves an imprint on the usual processes. The arrest imposed on the property has become indefinite, so investors who have already managed to pay the full price of the apartments and move in are desperate beg for help and establishing justice.
Grounds and conditions for seizing real estate
Back in 2021, a law was passed that allows the state to seize the property of citizens and businesses for the needs of our army. Such a thing can happen only if there is a striking social necessity. Lawyers emphasize that the conditions are not clearly defined enough, so there are still many controversial issues. Our experts point out that both seizure of property (temporary confiscation) and alienation, i.e. depriving the owner of the right of ownership and full transfer of real estate to the needs of the state, can be carried out. A mandatory condition for the legal performance of such actions is further reimbursement of the cost.
Who makes the decision to seize property?
- General Staff of the Armed Forces;
- Commander-in-Chief of the Armed Forces;
- territorial management and command of the Armed Forces;
- NSDC;
- joint operational command;
- etc.
*The alienation must be agreed with the local executive power and the regional administration. Exceptions are territories where hostilities are taking place.
Of course, no one can just break into your house or your company and declare their intention to remove them. You have every right to request to see documentary evidence of such a decision issued by the relevant authority. It is also worth insisting on drawing up an act of forced alienation of property. You will not be able to refuse the withdrawal, because then the case may go to court. Confidence in the fact that the deed is drawn up correctly, so that later you can claim material compensation. The act must specify:
- data about the owner. For individuals, this is a passport, TIN and permanent residence; for legal entities – the name, identification code and location of the alienated object;
- data on the document confirming your power law;
- the name of the body that gave its consent to the alienation;
- property identification and description;
- the amount of previously paid compensation, if it was provided.
The act must also contain a seal, signatures of authorized persons and the owner of the property. To determine the size of the future compensation, an expert examination must be conducted real estate appraisal.
When to expect compensation payments and what they will be
The fact that you are waiting for them is already a good thing, because some citizens do not believe at all in the possibility of compensation for their losses. We advise you to be safe just in case and arrange everything properly. We mean not only the act, but also the assessment. Often, the appraised value is deliberately underestimated, so you have every right to challenge it in court and conduct the procedure yourself. You will have to pay for it, but every thousand hryvnia paid for a few extra thousand dollars is worth it.
Regarding the amount itself and the terms of its return, there are also certain nuances here. It is fixed at the time the property is withdrawn, so all subsequent inflation, changes in the market and even a sudden jump of the dollar to a bozna how many marks will make you neither cold nor hot. This is the main disadvantage of deferred payment. It will be held no earlier than the end of martial law. Actually, they indicate that the refund is given for another 5 years after that. Another significant drawback was invented for car owners. The cost of their vehicles is fixed in hryvnia. You yourself perfectly understand that the speed of price changes in our country is such that today's 100 in a few years will be a completely different amount.
Legal basis for independent study
- Article 41 Constitution of Ukraine;
- Article 353 Civil Code of Ukraine;
- Article 1 of the First Protocol to the Convention on the Protection of Human Rights and Fundamental Freedoms;
- Article 8 the Law of Ukraine "On the Legal Regime of Martial Law";
- Articles 3, 4, 9 The Law of Ukraine "On the transfer, forced alienation or seizure of property in the conditions of the legal regime of martial law or state of emergency".
It may not be easy for ordinary citizens to delve into the legal framework so thoroughly, so we advise you to turn to specialists who know every letter of the law like the back of their hand.
