After the Ukrainian Cabinet of Ministers took measures in March 2020 to introduce quarantine in the country, which will help prevent the spread of coronavirus infection, many business representatives found themselves in a difficult situation. Quarantine made it impossible to fulfill a number of contractual obligations under the contracts.
Shops in shopping centers have closed, and they have signed lease agreements; due to the suspension of enterprises, it became impossible to timely fulfill the conditions of agreements on the production of products; the closure of the borders essentially "froze" international supply contracts. In such conditions, in order to avoid further litigation, entrepreneurs need to prove the onset of force majeure. This can be done by contacting the Chamber of Commerce and Industry and obtaining the appropriate certificate. Key Solutions lawyers will help you go through the procedure as quickly as possible.
What are force majeure circumstances and why to prove their occurrence
According to the provision of part 2 of Article 14-1 of the Law on Chambers of Commerce and Industry, force majeure circumstances, force majeure include, in particular, natural disasters (hurricane, earthquake, abnormal cooling, flood); hostilities; Act of terrorism; riots; demonstrations; strikes. With the adoption of the Law of March 17, 2020, the list was replenished with one more circumstance – quarantine, which was introduced by the Cabinet of Ministers.
Quarantine itself does not apply to force majeure; in this case, force majeure should include its consequences, which made it impossible to fulfill the contract.
In this case, other conditions provided by law must be met:
- unpredictability of circumstances (their occurrence cannot be predicted at the time of signing the contract);
- extremism and irresistibility of the case;
- the inevitability of the situation;
- the need to establish a causal relationship between the event and the inability of the party to the contract to fulfill its conditions.
In addition, the Chamber of Commerce and Industry of Ukraine establishes the need for a written notification of the counterparty under the insolvency agreement to fulfill the terms of the agreement.
Confirmation of force majeure circumstances gives business entities the opportunity to reduce the amount of rent or receive credit holidays, defer the fulfillment of obligations under contracts, postpone the payment of debts or taxes.
How to get a certificate of force majeure
To get certified, contact Key Solutions lawyers for help. The algorithm of work looks like this.
- You call us and send a copy of the contract under which the fulfillment of obligations has become impossible.
- A lawyer studies the document, sends a power of attorney, which you need to certify.
- After you pay for the service and receive a power of attorney, we prepare an application to the Chamber of Commerce.
- We receive the certificate and send it to you.
CCI submits:
- application in the prescribed form;
- power of attorney;
- order or order to terminate the activities of the company;
- confirmation of the notification of the counterparty about the impossibility of fulfilling the terms of the contract in connection with the introduction of quarantine.
According to the law, the term for issuing a certificate – 7 days, however, due to the large number of applications, it can be extended.
Do you have any questions about this service? Contact our specialist by sending an online application.