Cross-border bankruptcies in Ukraine: organizational and legal issues

Abstract

The article conducts a scientific and practical study of organizational and legal issues regarding cross-border bankruptcies, which is one of the spheres of regulation of international private relations. The current legislation of Ukraine in the field of bankruptcy procedures, in particular, proceedings in bankruptcy cases related to foreign bankruptcy procedures, and international documents in the field of cross-border insolvency were analyzed. The lack of legal certainty in the Code of Ukraine on bankruptcy procedures of the "cross-border" category, the procedural rights of the parties in the bankruptcy procedure with the participation of a foreign element, the organizational and legal algorithm during the proceedings in bankruptcy cases related to the foreign bankruptcy procedure, the procedural aspects of granting judicial assistance to the manager of the foreign bankruptcy procedure. The practical ineffectiveness of the implementation of legal mechanisms of cross-border bankruptcy procedures in Ukraine, which hinders the proper resolution of problematic issues in this area, is noted. The necessity of building organizational and legal algorithms of the bankruptcy procedure with the participation of a foreign element in Ukraine in order to optimize the simplified and at the same time effective exercise of rights and the achievement of the financial interests of the participants in cross-border bankruptcy procedures was determined. Recommendations are provided for the regulatory consolidation of organizational and legal aspects of cross-border bankruptcies on the basis of recognized world principles, reflected in special international documents, taking into account the constant change of regulatory requirements with a mandatory comparison between them and the updated provisions of the UNCITRAL Model Law on Cross-Border Insolvency dated May 30, 1997 and international judicial practice, which will ensure the practical implementation and implementation of logically formed procedural algorithms for settling the insolvency of entities within the specified sphere in Ukraine.