Enforcement of a court decision may be secured by the imposition of an attachment both on a share and on the corporate rights of a member of a farm enterprise within enforcement proceedings – SC GC

A state or private enforcement officer, for the purpose of securing the enforcement of a court decision, is vested with the power to impose an attachment both on a share and on the corporate rights of a member of a farm enterprise.

This conclusion was made by the Grand Chamber of the Supreme Court.

In the case under review the debtor in the enforcement proceedings challenged the resolution of a private enforcement officer imposing an attachment on his share in the authorised capital of a farm enterprise.

By a ruling of the court of first instance, left unchanged by the appellate court, the complaint was dismissed. 

Considering this case, the Grand Chamber of the Supreme Court noted that, since neither the Law of Ukraine “On Farm Enterprises” nor any other normative acts regulate the procedure for levying execution on the share of one of the members of a farm enterprise, pursuant to part 1 of Article 8 of the Civil Code of Ukraine the analogy of statute is to be applied to the said legal relations.

Having regard to the specific features of the legal status of a farm enterprise, in particular as regards the personal composition of its members (which is conditioned by its family- or kinship-labour character), the legal aspects of the regulation of the activity of a farm enterprise are to a certain extent similar to those of a general partnership. In view of this, the provisions of Article 131 of the Civil Code of Ukraine, which provide for a special procedure for levying execution on a participant’s share in the joint capital of a general partnership, may by analogy be applied to legal relations concerning the levying of execution on a debtor’s share in the joint capital of a farm enterprise.

The Grand Chamber of the Supreme Court also drew attention to the fact that, upon the acquisition of rights to a share in the joint capital of a farm enterprise, corporate rights also arise for the person concerned. A share in the joint capital of a farm enterprise and the corporate rights are inseparably linked to each other.

The imposition of an attachment on the corporate rights deprives the debtor — a member of the farm enterprise — of the possibility of disposing of his property (the share and the corporate rights arising from it).

In light of the foregoing the Grand Chamber of the Supreme Court concluded that the imposition of an attachment on the corporate rights, just as on the share of a member of a farm enterprise, complies with the requirements of the legislation of Ukraine and is a measure by means of which the real enforcement of a decision may be secured.  

Accordingly, the Grand Chamber of the Supreme Court agreed with the conclusion of the courts of first instance and of appeal that there were no grounds for granting the complaint against the resolution of the private enforcement officer attaching the share in the joint capital of the farm enterprise.     

Resolution of the Grand Chamber of the Supreme Court of 21 January 2026 in case No. 904/1615/22 – https://reyestr.court.gov.ua/Review/134456469.

This and other legal positions of the Supreme Court can be found in the Database of Legal Positions of the Supreme Court - https://lpd.court.gov.ua.