
TzOV “Villa Magnolia” must return to the budget of the Lviv community almost UAH 3 million in unpaid contributions towards the development of the city infrastructure. This decision was upheld by the Western Commercial Court of Appeal, the legal department of the Lviv City Council reported.
The case concerns the recovery from the company of UAH 2,890,000 in contributions towards the development of Lviv’s engineering, transport and social infrastructure. The relevant decision was previously taken by the Commercial Court of Lviv Region.
On 20 May, the Western Commercial Court of Appeal upheld this decision. At the same time, it is noted that the ruling may still be challenged in cassation.
Until 2021, the law obliged developers to pay a contribution towards the development of the infrastructure of the city where construction was taking place. The amount of the contribution depended on the type of facility, and the funds had to be transferred before the building was put into operation.
According to the legal department, some developers at the time failed to fulfil this obligation, as a result of which the city budget did not receive substantial sums. This is why the Lviv City Council is going to court to return funds to the community budget to finance roads, networks, schools and nursery schools.