Some aspects of the domestic and cross-border bankruptcy procedures in Ukraine

Abstract

The provisions of Article 7 of the Code of Ukraine on Bankruptcy Proceedings on determination of the rules of concentration of disputes in bankruptcy proceeding were studied. As well as that it was proved that these legal provisions could be applied to property and non-property disputes. It is stated that the case taken by the court for consideration in accordance with the rules of subject-matter jurisdiction due to the rules of Article 7 of the Code of Ukraine on Bankruptcy Proceedings should be considered by this court even if during the consideration of the case it fall under the jurisdiction of another court. In case of closure of the bankruptcy proceeding the disputes with the debtor should be still considered by the judge to whom these disputes had been transferred in accordance with the law. Such conclusions are supported by the court practice.
 The effectiveness and expediency to consider in the bankruptcy proceeding economic and other disputes were emphasized.
 It was highlighted that the Code of Ukraine on Bankruptcy Proceedings did not clearly define all the procedural issues of the procedure of recognition of cross-border bankruptcy proceeding, for instance, as to the priority of procedures in such bankruptcy cases, that was opened in the Ukrainian and foreign courts; about participants of such procedure; about legal procedures that must be applied in such bankruptcy cases. In the same vein in national legislation it is not defined what is the legal order of satisfaction of creditors’ claims in cross-border insolvency procedure. This problem has to be solved on the legislative level. While fulfilling of this legislative gap the rules of the Article 32 of UNCITRAL Model Law on Cross-Border Insolvency may be taken into account.
 As was proposed, in the absence of international treaties of Ukraine the decisions of foreign states in bankruptcy cases should be recognized on the territory of Ukraine on the reciprocity principle, unless otherwise provided by law