Law simplifying conditions for doing business under martial law comes into force

02.09.2024, Law No. 3869-IX, adopted on 17 July 2024, came into force, simplifying the conditions for doing business during martial law or a state of emergency in Ukraine.

According to this law, entrepreneurs may start certain types of business activities during martial law by submitting a declaration of business activities anywhere in the country to licensing authorities, permitting authorities or Administrative Services Centers.

No longer is it necessary to obtain permits that were previously required, as such a declaration is equivalent in status to a permit, license or other results of the provision of public (electronic public) services.

The types of activities that required licensing under the law prior to the entry into force of this law included, in particular

  • banking, financial services and cash handling activities;
  • professional activities in capital markets and organized commodity markets;
  • media activities;
  • activities in the field of electricity and activities in the field of nuclear energy;
  • educational activities;
  • production and trade of ethyl alcohol, alcohol distillates, bioethanol, alcoholic beverages, tobacco products, liquids used in electronic cigarettes and fuel, and storage of fuel;
  • provision of services in the field of cryptographic protection of information (except for electronic trust services and electronic identification) and technical protection of information;
  • construction of facilities that are classified as having medium (CC2) and significant (CC3) consequences according to the class of consequences (liability);
  • production of medicines, wholesale and retail trade in medicines, import of medicines (except for active pharmaceutical ingredients);
    production and repair of non-military firearms and ammunition, cold steel weapons, certain types of pneumatic weapons;
    production of explosive materials for industrial use;
  • as well as other types of activities, the licensing of which was provided for by law.

The declarations will be valid for the duration of martial law and until the end of the calendar year when martial law is terminated or cancelled, but not less than three months from the date of its termination.

Already issued licenses will be automatically extended for the period of martial law with an additional period of three-month after its end.

Scheduled inspections of compliance with licensing requirements are also suspended for the duration of martial law.

In addition, the Cabinet of Ministers of Ukraine will determine the procedure for submitting declarations, as well as the list of information to be included and the types of activities that cannot be carried out on the basis of the submitted declarations.

We will be glad to provide more detailed advice or support the relevant processes.

Please, contact:

Dmytro Syrota,
Managing Partner at SDM
d.syrota@sdm.partners

Andriy Poleshko,
Head of Commercial Practice at SDM
a.poleshko@sdm.partners