In 2008, the client and the developer concluded a contract on the purchase of premises in the office building under construction. The client paid a part of the cost. Due to the crises in 2008 and 2014, the construction was delayed, and the developer repeatedly postponed the delivery of the office building in operation. In 2017, the developer unilaterally refused to transfer the premises as specified in the contract and offered the client alternative premises in the same office building.
After the developer’s unilateral refusal to fulfill their obligations, the client sought legal assistance from Volodymyr Parkulab.
The main challenge in recovering the funds was that in 2008 they had been paid in Ukrainian hryvnia, ₴700,000 in total, and the hryvnia-US dollar exchange rate increased by more than 5 times since then.
To justify the need to recalculate the funds paid in 2008 according to the current hryvnia-US dollar exchange rate, the experts of Parkulab and Partners law firm developed a legal stance, approved by the first instance and appellate courts.
In order to undermine the legal stance in the case and prevent funds recovery, the developer filed two lawsuits, but they were dismissed.
Actual recovery of funds was also ensured by timely arrest of the developer’s bank accounts to secure the claim. The funds, about 4 million UAH in total, given the rise of the US dollar, as well as the legal expenses totaling ₴50,000 were recovered in favour of the client.