The Western Commercial Court of Appeal satisfied the appeal of the prosecutors of the Lviv Regional Prosecutor’s Office and annulled the decision approving the settlement agreement.
It was established that between the Stryi City Council and the company there was a land lease agreement for the construction of a solar power plant.
We are talking about a plot with a total area of 60 hectares, which belongs to energy lands. It is located outside one of the villages of the Stryi territorial community.
However, for a long time, the tenant avoided fulfilling the obligation under the contract. He systematically did not pay the rent for the use of the land plot.
Taking into account the violation of legislation, the prosecutor’s office defended the interests of the state and appealed to the court with a lawsuit. Prosecutors demanded to terminate the land lease agreement and collect UAH 1.1 million in rent arrears.
However, the city council entered into a settlement agreement with the defendant. In the latter, the same conditions as provided for in the lease agreement and no other obligations regarding the subject of the dispute were duplicated.
In addition, when concluding this agreement, it was not taken into account that in case of repeated non-payment of rent, the city council will not be able to present it for enforcement.
Prosecutors in the appeal procedure proved that the agreement was concluded contrary to the requirements of the law and its terms are unenforceable.
The court upheld the legality of the prosecutors’ demands. Currently, the lawsuit has been sent to the court of first instance for further consideration of the merits.
Department of Information Policy of the Lviv Regional Prosecutor’s Office