The law provides for improving corporate management to legal creatures based on state and communal property.
Verkhovna Rada adopted law No. 4196-Ih, initiated by People’s deputies, which provides for the removal of the economic code from August 28, 2025 and introduces a three-year transition period to adapt the state, communal and private business. This is reminiscent of Parliament’s press service.
The message emphasized that updating the reform with organizations and legal forms of legal beings, making it clearer and clearer, and also eliminating copying and obsolete customs.
The Ministry of Justice reminds that the law of Ukraine No. 4196-IX “In the features of regulating the activities of legal creatures of individual organizations and legal forms during the transition and associations of legal creatures” are forced. He has officially terminated the effectiveness of the Civil Code of Ukraine and the transitional period lasting 3 years is determined to streamline legal regimes and forms of legal creatures.
With the introduction of this law, a three transition period begins – as a kind of “soft start” of reform.
“Summarizing the review, we believe that social relations that cover the subject of CKU regulation will not remain outside the legal field, and its cancellation will not have a significant impact on the activities of business entities both during reform and after its completion,” the department said.
The first six months (to 02.28.2026): The topics of state ownership management must decide on the end of state businesses -by renewing (to JSC or LLC) or extermination; It is also possible for a decision to privatize a single complex owner.
If the decision is not made within the allocated time, the Ministers’ Cabinet decides to transfer a single owner of such GP to regional regional region of state -owned funds, and the FGIU within the year from the date of registering the transfer will decide on the issue of finishing the business or its complexity.
From now on it is forbidden to create a legal creature in the forms of a state, communal, private business, etc.
Three years later (from 08.28.2028), a prohibition will enter the strength to make changes to the information in the united state of the register of economic registration of state and communal business (except for specially given exclusion: Revision/Determination, head/commission change for finishing, moving to FGU, opening a case of losses).
The law changed the institutions of economic management and operational management. After completing the transfer period, the legal regime of ownership of such creatures will obtain the right to owner or Uzufrt (personal stunning property and use of state ownership).
From now on, it is forbidden to combine ownership for legal creatures to the right of economic management or operational management.
Reform will also affect the communal and private form of ownership, as a number of organizations and legal forms (especially “business” like this) are removed from the legal field; The activities of business companies are regulated by public state administration and special laws.
It has been made clear in terms of regulation of relationships with the creation or activities of societies established by private creatures, one must turn to special laws (for example, “in combined companies ofstock” and “in limited and additional liability companies”).
In this regard, the Committee on Economic Development re -emphasized that it is important for business and state bodies to make a decision to transform state businesses into modern forms – joint companies or limited liability companies.
Remember that the Rada has voted to change the law in the judicial system and the status of the judges and some legislative activities regarding the improving the adoption and declaring court decisions.
In the past, the Rada approved the draft law to an entire jury in Ukraine as a basis.
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Source: korrespondent
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