Soon, the Verkhovna Rada of Ukraine will consider the draft law “On Amendments to Certain Legislative Acts Regarding the Functioning and Circulation of Crop Receipts” in first reading.
The draft provides that crop receipts become non-emission securities that can exist in the form of electronic documents or records in securities accounts. The requirement for their notarization is canceled and instead it is possible to make remote (online) transactions with receipts in the crop receipts’ register using electronic signatures.
Also, the circle of persons who can issue crop receipts and stand surety to them is expanding; the list of types of agricultural products that may be the subject of pledge under receipts is expanding; mandatory requisites of receipts change; the position of creditors in the enforcement procedure becomes sufficiently stronger.
Taras Burhan, Managing Partner of the Burhan Law Office, who is also a legal adviser to the International Finance Corporation (IFC) project “Crop Receipts in Ukraine” since 2017, acted as a co-speaker at the webinar “HOW TO DO BUSINESS WITH CROP RECEIPTS IN UKRAINE: implications of the draft law” on April 23, 2020, which was organized with the assistance of IFC.
Non-resident companies (financial institutions, agro-traders, suppliers of agricultural equipment, seeds, fertilizers, plant protection products, fuels and lubricants, etc.) that are already working or only plan to work with Ukrainian crop receipts, might be interested in a video recording of the webinar (in English), which can be viewed by following the link below.
Our firm provides the following legal services in the field of crop receipts:
- Advising on possible business models when working with crop receipts;
- Preparation of draft contracts, based on which the crop receipts are issued;
- Drafting of crop receipts, including international crop receipts;
- Legal support of transactions with crop receipts;
- Support during an enforcement procedure under crop receipts.