Ensuring effective insolvency procedures of natural persons (entrepreneurs): analysis of the legal regulation of insolvency in the European Union and Ukraine

Abstract

"Full discharge of debts, as an outcome of the insolvency proceeding, should enable an entrepreneur to pursue their economic activity onward. This research analyses the implementation of the European Union’s discharge of debt standards into Ukrainian legislation. The article focuses on the comparison of the discharge procedures of natural persons (entrepreneurs) between the Code of Ukraine on Bankruptcy Procedures (CUBP) No. 2597-VIII from 18 October 2018 and the Directive (EU) 2019/1023 on restructuring and insolvency from 20 June 2019. As a result, the author observes that the CUBP maintains a different approach to protecting creditors’ and debtors’ interests in the discharge procedures compared to the Directive (EU) 2019/1023 on restructuring and insolvency. In conclusion, the author proposes approximating Ukrainian legislation to European standards by amending the CUBP. Keywords: discharge of debts, EU law, insolvency proceedings of entrepreneurs, repayment plan."