Foregone benefit during martial law

Civil law
13.07.2022
Law Services - Foregone benefit during martial law

Foregone benefit is the income that a person could have actually received under normal circumstances if his right had not been violated. Unearned income (forgotten benefit) is the calculated value of the loss of the expected increase in property, which is based on documents that unconditionally confirm the real possibility of receiving monetary sums (or other valuables) by the injured business entity, if the offense had not been committed against him. If the creditor did not take sufficient measures to prevent the loss or to reduce it, the damage is not recovered from the debtor.
The obligation to compensate for damages is regulated by Chapter 3, 51 of the Civil Code of Ukraine and Chapter 25 of the Civil Code of Ukraine.
According to Part 2 of Article 22 of the Civil Code of Ukraine, damages include losses that a person has suffered in connection with the destruction or damage of a thing, as well as expenses that a person has made or must make to restore his violated right (real damages (damnum emergens) ) and the income that a person could have actually received under normal circumstances if his right had not been violated (lost benefit (lucrum cessans)).
Compensation for damages is one of the forms or measures of civil liability, which is considered general or universal precisely by virtue of the rules of Article 22 of the Civil Code of Ukraine, since part 1 of this article defines that a person who has suffered damages as a result of a violation of his civil law has the right to their compensation. That is, the violation of civil law, which entailed the assignment of property damage to a person, is in itself the main reason for their compensation.The resolution of the Cabinet of Ministers of Ukraine approved the “Procedure for determining damage and losses caused to Ukraine as a result of the armed aggression of the Russian Federation”, according to which not only direct losses of enterprises, but also lost profits will be subject to compensation.
To estimate the amount of damage, it is advisable to use international assessment standards.
For individuals, and from 05/26/2022 for legal entities, the procedure approved by Resolution of the CMU No. 380 “On the collection, processing and accounting of information on damaged and destroyed immovable property as a result of hostilities, acts of terrorism, sabotage caused by the military aggression of the Russian Federation” applies.
This Procedure simplifies the procedure for submitting an application for compensation for damages caused by damage and destruction of real estate as much as possible. It is only the notification of the victim in accordance with the established procedure that is equivalent to the submission of an application and entry into the register of applicants.
If, at the legislative level, the presumption of guilt of the Russian Federation for the destruction of the property of Ukrainian legal entities and individuals as a result of the armed aggression of the Russian Federation will be introduced, such factors as mobilization for the purposes of the Armed Forces, damage during de-occupation, actions of third parties (looting, theft), natural factors (dam breach , etc.) will not have an impact on the establishment of a cause-and-effect relationship and the resolution of the issue of compensation for damages at the expense of the Russian Federation.