Prohibition of parallel imports and legalization of monopoly in Ukraine
Ministry of Finance claim

The Law Firm «Legal Consulting Center» provides full legal support for the claim against the Ministry of Finance of Ukraine on partial appeal of the Procedure for registration in the customs register of intellectual property rights protected in accordance with the law.

In our opinion, the order of the Ministry of Finance adopted on 09.06.2020 «On amending the Procedure for registration in the customs register of intellectual property rights protected in accordance with the law» critically contradicts legislative acts of higher legal force. In particular, the Procedure does not comply with the Customs Code of Ukraine, the Economic Code of Ukraine, the Law of Ukraine “On Foreign Economic Activity”, and also contradicts the Regulation (EU) on customs control on the observance of intellectual property rights, for which, in fact, the Ministry of Finance made changes to the Procedure.

The Procedure, in this current form, is aimed at countering the movement of goods that are objects of parallel import, which can be described only as aiding in market monopolization. The amended Procedure actually deprives legal entities and individual entrepreneurs of the right to engage in foreign economic activity, negates the international principle of exhaustion of rights to objects of intellectual property rights, which contributes to free trade and a competitive market.

After the changes are made, the customs can freely recognize the goods of parallel trade as counterfeit. In our opinion, most of all this will hit entrepreneurs who import various kinds of equipment and gadgets – only «select» monopolists will be able to import. This will also affect ordinary consumers – prices will be set by monopolists and, as we perfectly understand, they will not be low. But consumers will no longer be able to choose from whom to buy. Is this called a course towards Europe, bringing legislation in line with European norms and protecting human rights?..

The Law Firm «Legal Consulting Center» intends to preserve parallel imports in Ukraine, freedom of business and prevent the legalization of the monopoly of the Ukrainian market.

The project is managed by Artur Nonko, Managing Partner of the Law Firm «Legal Consulting Center»

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