Author: Aliona Yevtushenko, lawyer at F&P
In 2025, international contracting has become even more challenging due to geopolitical instability, reforms in Ukrainian legislation, and increased regulatory requirements. For Ukrainian companies seeking to enter international markets or attract foreign partners, it is critical to consider new legal risks and adapt their practices to the changes. In this article, we will review key recommendations on how to avoid legal problems when entering into international contracts, based on the latest legislative changes and expert commentary.
1. Consider changes in Ukrainian legislation
In January 2025, the Verkhovna Rada of Ukraine adopted a law abolishing the Commercial Code of Ukraine. This step is aimed at harmonizing Ukrainian legislation with European standards and eliminating overlaps between the Commercial and Civil Codes. From now on, economic relations are regulated mainly through the Civil Code of Ukraine and special laws.
This means that when entering into international contracts, you should carefully check which rules apply to a particular type of contract and take into account the new corporate governance requirements, especially for state-owned and municipal enterprises that are subject to mandatory corporatization.
2. Pay attention to international agreements and conventions
Ukraine is a party to the 2019 Hague Convention on the Recognition and Enforcement of Foreign Judgments in Civil or Commercial Matters, which entered into force in September 2023. This opens up opportunities for Ukrainian companies to enforce judgments abroad, but also imposes obligations to comply with international standards in contracts.
When entering into contracts, it is important to provide for choice of jurisdiction clauses, arbitration clauses and dispute resolution mechanisms that comply with the requirements of the Convention.
3. Avoid political risks and non-transparent conditions
In May 2025, Ukraine and the United States ratified a framework agreement on cooperation in the field of mineral resources. While this agreement opens up new opportunities for investment, experts point to legal gaps and the lack of clear implementation mechanisms, which may create risks for investors.
When entering into international contracts, avoid terms and conditions that can be changed as a result of political pressure or instability, and ensure that there are clear force majeure clauses and mechanisms to protect the interests of the parties.
4. Engage professional legal counsel
Given the complexity of international law and the constant changes in legislation, it is important to engage experienced lawyers who specialize in international law and have experience with specific jurisdictions. This will help to avoid mistakes when entering into contracts, correctly formulate the terms of the agreement and anticipate possible risks.
5. Adhere to the principles of transparency and integrity
International partners are increasingly paying attention to the compliance of contracts with ESG principles (environmental, social and corporate governance). Compliance with these principles not only reduces legal risks, but also enhances the company’s reputation internationally.
Conclusion
Concluding international contracts in 2025 requires Ukrainian companies to have a high level of legal literacy, be attentive to changes in legislation and be ready to adapt to new challenges. Following the above recommendations will help minimize legal risks and ensure the successful implementation of international projects.
