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  5. Principle of the rule of law vs the decision of the Grand Chamber of the Supreme Court

Almanac of law. Issue 16 (2025), pages 102–109.

DOI: 10.33663/2524-017X-2025-16-102-109

Babaskin A. Yu., Venetska M. V.
Principle of the rule of law vs the decision of the Grand Chamber of the Supreme Court

The article is devoted to the issues of determining the legal regime of property of business companies created with the participation of the state, including corporatized state enterprises, taking into account the need to comply with the constitutional principle of the rule of law in the activities of court bodies, the powers of which are limited to the interpretation of legal norms and their application.

Based on the analysis of Ukrainian legislation, it has been proven that the structure of property relations in business companies, including corporatized in the privatization process state enterprises, enshrined in Ukrainian legislation does not differ from the generally accepted world structure, when the owner of the property of a business company is the company itself, and the shareholder (participant) of the company is the owner of shares (shares) received in exchange for property transferred to the authorized capitals of business companies. It is emphasized that the shareholder (participant) of a company, including the state, cannot be both shareholders (participants) and owners of property transferred in exchange for shares (shares) of business companies.

Therefore, it is substantiated that the conclusions given in the Resolution of the Grand Chamber of the Supreme Court in case No. 917/1212/21 of April 23, 2024 that property relations in business companies created by private individuals differ from property relations in business companies created with the participation of the state, in which the property continues to remain in the ownership of the state and belongs to such business companies by right of economic ownership, are contrary to the legislation, do not comply with the constitutional principle of the rule of law and go beyond the powers of the court to interpret legal norms and their application.

Key words: the principle of the rule of law, powers of the court, business companies, joint-stock companies, property relations, privatization, corporatization of state enterprises.

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