Commercial disputes resolution regarding non-fulfillment of obligations as a result of sanctions (restrictive measures)

Abstract

The article examines the problematic aspects of the economic and legal consequences of the application of state sanctions, which lead to the need for actual termination of economic relations with the counterparty to which state restrictive measures (sanctions) have been applied and the need to resolve property issues and disputes that may arise as a result of such termination. It was established that the legislation on sanctions does not contain special legal rules regarding the procedure for termination of legal relations involving the sanctioned entity. In fact, interested parties are forced to act at their own discretion, using general commercial and civil law remedies, which are not adapted to the special sanctions conditions, and therefore are sometimes unable to resolve disputed situations. It was concluded that there are legal problems in determining the legal grounds for terminating economic relations in connection with the application of sanctions (restrictive measures) and its legal consequences. The solution to this problem should be based on a broad analysis of the practice of similar controversial situations that arise when sanctions are applied. At the same time, the conducted research provides grounds for a conclusion regarding the direction of improving the legal regulation of the application of state sanctions. We believe that economic, civil legislation and legislation on sanctions (restrictive measures) should be systematically supplemented with a complex of legal provisions aimed at regulating the economic and civil legal consequences of the application of sanctions (restrictive measures) to subjects who, at the time of such application, were in contractual relations according to the legislation of Ukraine. In particular, it would be expedient to determine special legal grounds, forms and procedures for termination of contractual obligations in connection with the application of sanctions (restrictive measures) to their party(ies), as well as special rules for the settlement of property and non-property interests of the parties as a result of such termination, since the general commercial and civil law remedies are not adapted to special sanction conditions, and therefore are sometimes unable to resolve disputed economic situations.