Business should talk not only about compensation for the damage caused by the aggressor, but also about compensation for the harm caused – lawyer
Business should talk not only about compensation for the damage caused to it as a result of the aggression of the Russian Federation, but also about compensation for all the harm caused, Gennady Borisichev, founder of the Concor law firm, believes.
“Please note that damage is only part of such a concept as harm, in particular, harm caused by Russian aggression. Damage includes not only direct losses, but also additional costs, lost profits, and there is also moral damage. For example, for legal person to really prove the existence of moral damage caused, in particular, due to the loss of non-property assets, goodwill and others,” he told the Interfax-Ukraine agency.
The lawyer noted that for each of these types of damage there are specific features of fixation – the collection of evidence about the existence of the fact of damage and its size. At the same time, it is important to clearly establish all types of damage caused and prove both the very fact of the existence of damage and its size.
“It is important to consider and prove all components of the damage caused in a complex, that is, in interconnection. It is a mistake to break down the fixation and assessment of the amount of damage by separate objects of one business that suffered damage, since a business (enterprise) is a property complex, and includes both property, and non-property assets,” he said.
Borisichev drew attention to the fact that when assessing the damage, it is necessary to follow the Government Decree No. 326 of March 20, which establishes the procedure for determining the damage and damage caused to Ukraine as a result of the armed aggression of the Russian Federation.
The lawyer emphasized that in the near future it is expected to adopt an appropriate methodology for assessing harm and approving acts to fix it.
In addition, Borisichev noted that the need for a correct legal qualification of the actions that caused damage, which will affect the prospects for compensation.
“War is not an “event” like a natural disaster or accident, and not a private conflict, as a result of which harm is caused. Harm caused to a business, just refers to such grave consequences of war. Which in turn entitles a business to receive the status of a victim “That is, the use of such a legal approach allows us to involve the law enforcement agencies of the state in fixing the damage. This method of fixing the damage when assessing evidence both in Ukraine and in foreign jurisdictions will have certain advantages and allows you to attract the state to the side of the victim,” the lawyer explained.
Borisichev drew attention to the fact that the problem of compensation for damages caused by Russian aggression is not a common well-established practice for law firms. At the same time, an important point is the lack of a mechanism for enforcing decisions on claims for damages against the Russian Federation.
“This problem is extraordinary and has not yet been solved anywhere in the world, it requires the development of law enforcement practice. Ukrainian courts have positive experience in claims against the Russian Federation, there is positive experience in arbitration, but an important nuance has not yet been taken into account – the mechanism for implementing such decisions “, – he said.
Borisichev clarified that earlier the Konkor law firm won the right to the status of a victim as a result of Russian aggression several years before the start of the second hot stage of the war on February 24.
“Now our developments and experience in this area have become relevant and unprecedented,” he said.
The lawyer noted that among foreign jurisdictions, the most promising for the restoration of the violated rights of war victims are the jurisdictions of Britain, the United States and Canada.
He said that the law firm will focus on the development and implementation of the legal mechanism in Ukrainian courts.
Borisichev noted that at present, the current issues are the adoption in Ukraine of a law on compensation for damage to victims of Russian aggression and the creation of a common accessible mechanism for all categories of victims in Ukraine to obtain the status of victims and compensation for damage.
During martial law, businesses can carry out economic activities on a declarative basis without obtaining the conclusion of the State Food and Consumer Service.
This was announced by the European Business Association (EBA), referring to the official response of the State Food and Consumer Service to the request of the EBA.
“This week, the Association received an official letter from the State Food and Consumer Service, which states that business entities can carry out economic activities under martial law on a declarative basis by submitting a declaration on the production of economic activities to the Ministry of Economy of Ukraine without obtaining a conclusion,” the EBA reports.
In addition, the State Food and Consumer Service confirmed that the period of validity of permits, including its conclusions, is automatically extended for the period of martial law.
The EBA notes that the introduction of martial law and hostilities on the territory of the state have significantly complicated, and in some places made it impossible for entrepreneurs to obtain a number of permits.
We are talking, for example, about the conclusions of the state sanitary and epidemiological expertise, the receipt of which was a necessary condition for the sale of many types of goods, including critical ones for consumers, such as hygiene products, baby food, detergents, cosmetics, certain food products, and equipment. , others.
The German concern Siemens will leave the Russian market as a result of Russia’s full-scale invasion of Ukraine, the company said in a statement.
Siemens has begun the process of terminating its manufacturing and operating activities.
Siemens recalled that after the start of the Russian war in Ukraine, the company suspended all new operations and international deliveries to the Russian Federation and Belarus. International sanctions and potential countermeasures affect the company’s activities in Russia, in particular, railway maintenance and repair.
Siemens has decided to conduct an orderly exit process from Russia, CEO Roland Bush is quoted as saying.
“We evaluate the impact on our people and will continue to support them to the best of our ability. At the same time, we provide humanitarian assistance to our colleagues and the people of Ukraine and support the calls of the world community for peace,” said the head of Siemens.
At the moment, the Siemens circuit includes, in particular, operations in the field of automation and digitalization for industry, intellectual infrastructure, transport, and distributed power systems. In 2020, the company held a spin off, as a result of which the energy division was separated into a separate Siemens Energy company (as of the end of November 2021, Siemens was the largest shareholder with a 35% share).
Thus, two separate companies are represented in the Russian Federation – Siemens and Siemens Energy.
In Russia, Siemens Energy is one of the main suppliers of power equipment. The company, in particular, owns Siemens Transformers and 65% in a joint venture with Power Machines – Siemens Gas Turbine Technologies (STGT). Siemens Gamesa, also part of Siemens Energy, is a partner of Enel Russia (MOEX: ENRU) in implementing renewable energy projects in Russia.
In addition, in Russia, Siemens and the Sinara group operate a joint venture LLC Ural Locomotives, which serially produces freight mainline DC electric locomotives with a collector traction drive 2ES6 Sinara and with an asynchronous 2ES10 Granit, as well as electric trains Lastochka “and main AC electric locomotives 2ES7.
A situation at the customs has somewhat improved, the volume of customs clearance of goods by businesses is increasing, Minister of Finance of Ukraine Serhiy Marchenko has said.
“Compared to March, customs added a little: in March, the drawdown of customs revenues was 80%, now it is about 75%. There are some improvements. Taking into account the current benefits for customs clearance of imports, we can say that the situation has improved somewhat and business is increasing the volume of goods cleared,” the minister said in an interview with Interfax-Ukraine, adding that the data require a deeper analysis.
According to him, customs revenues to the budget amounted to UAH 8.3 billion in April, while tax revenues almost reached UAH 45 billion, and another UAH 22 billion went to the budget as grant assistance.
The number of buyers of domestic government bonds (OVGZ) among the population and businesses increased to 1.7 thousand last week from 1.5 thousand a week earlier.
As reported on the website of the National Bank of Ukraine (NBU) on Monday, citing data from the depository, the purchase amounted to about UAH 0.3 billion, $24 million and EUR3.2 million, compared to about UAH 0.3 billion, $1.4 million, respectively. and EUR0.1 million the week before last.
“As of April 25, more than 9.1 thousand citizens and business representatives of Ukraine became owners of military government bonds in the amount of about UAH 5.8 billion, $36 million and EUR25.2 million,” the National Bank said.
The regulator recalled that since the placement of military government bonds on March 1 at 20 primary auctions, the Ministry of Finance was able to attract about UAH 36.6 billion, $93.8 million and EUR176.5 million to the state budget.
“The largest portfolio of military government bonds is still concentrated among primary dealer banks,” the NBU specified.
According to him, the volume of investments by non-residents has remained stable over the past few weeks – more than UAH 50 million.
As reported, the total volume of issuance of military bonds is up to UAH 400 billion. They can be bought by the National Bank, which has already purchased these securities under a separate procedure for UAH 60 billion, including UAH 20 billion last week and the week before last.
The nominal rate on hryvnia government bonds is 10-11% per annum, on dollars – 3.7%, on euros – 2.5%. The term of circulation is up to 15 months.
The EXMO cryptocurrency exchange has sold part of its digital assets business in Russia, Belarus and Kazakhstan, the exchange said on Tuesday.
According to the exchange, EXMO announced the transfer of part of the business to Russian owners and the termination of work with the markets of Russia, Belarus and Kazakhstan, after Russia invaded the territory of Ukraine and started a full-scale war.
The company said that this was done in order to continue to fulfill obligations to customers and stakeholders, as well as to ensure a high level of protection and security.
“It’s been a tough decision for us, since we have spent over eight years building a strong community of crypto enthusiasts throughout the world, adhering to the highest compliance practices and delivering outstanding services to all our clients wherever they lived. However, following Russia’s invasion of Ukraine, EXMO.com as a global group wishes to avoid risking our global expansion plans by operating in such high risk markets,” CEO of the crypto exchange Serhiy Zhdanov said, commenting on the situation.
Kazakhstan clients were also included as a part of the deal, since a new team is based in Kazakhstan. The new owner of the Russian, Belarusian and Kazakh digital assets exchange business is the owner of a Russian based software development company, which was one of the vendors to provide engineering services to EXMO during the last three years.
EXMO.com user agreement was recently amended to state that Russian, Belarusian and Kazakh residents are no longer being onboarded. Russian Rubles pairs were disabled since April 15, 2022 on EXMO.com.
Earlier, the EXMO cryptocurrency exchange created the Save Ukraine Relief Fund to raise funds to help Ukrainian citizens affected by the war.
EXMO’s own contribution amounted to $1 million and has so far collected $594,000 through crypto contributions from exchange users.
EXMO is an international cryptocurrency exchange founded in 2014. The platform provides cryptocurrency trading and storage opportunities for more than 2 million traders from all over the world.
BUSINESS, CRYPTOCURRENCY EXCHANGE, DIGITAL ASSETS, EXMO, RUSSIA
