Reasons and consequences of cancellation of the Commercial code in Ukraine

Abstract

The article analyses the reasons and potential consequences of the abolition of the Commercial Code of Ukraine. It is noted that the Ukrainian legal system, like any other, must adapt to changes in society. Among the key factors influencing the need for changes are European integration processes and the consequences of the Russian-Ukrainian war. It also highlights internal problems and contradictions between different legislative acts that need to be resolved. The Commercial Code of Ukraine was adopted in 2003 to regulate economic relations between business entities and public authorities. It consisted of nine chapters covering various aspects of economic activity. Over time, shortcomings of the Code were identified, such as fragmentation of legal provisions and conflicts of consistency with other legislative acts. This necessitated its revision and improvement. It is emphasised that there are several approaches to solving the problem. Some experts believe that the contradictions between the Commercial and Civil Codes can only be resolved by cancelling the Commercial Code. Others are convinced that the Code can be modernised by removing contradictory provisions and harmonising it with other legislation. The abolition of the Commercial Code may lead to significant changes in the legal framework, create a period of legal uncertainty and cause problems for legal entities engaged in economic activity. However, it may also help to simplify the legal regulation of economic relations, making it more transparent and understandable for business entities in other societies. This can create the basis for the development of the business sector and attract investment to our country. It is important to carefully prepare for the abolition of the Commercial Code, ensure a smooth transition to the new legal framework and minimise possible risks to Ukraine’s economy and legal system.