It’s widely known that in Ukraine, anyone can participate in commercial privatization auctions
(not to be confused with residential privatization). Such properties fall into two categories:
small-scale and large-scale privatization.
A Short Background
Our client decided to take part in an auction: registered, became the winner, and paid the full amount.
Naturally, the next step should have been for the privatization authority to sign the
purchase agreement.
However, instead of signing, the Kharkiv City Council issued an
order canceling the electronic auction.
Was that legal? Of course not.
We went to court to challenge it, but the first-instance court sided with our opponent
and denied the claim.
Sometimes justice takes time — that’s what the appeal process is for.
On October 21, 2025, the Eastern Commercial Court of Appeal
ruled in our favor and canceled the Kharkiv City Council’s order.
Practical Tips for Those Planning to Privatize Property
- Always check whether the property is subject to restrictions or criminal proceedings.
- Pay attention to the type of auction —
English (price goes up) or Dutch (price goes down). - The limitation period for filing a claim is only one month.
Link to the court decision: