The Rivne Court of Appeal reviewed the case regarding the use of a land plot without a contract and ruled in favor of the city council. The amount of the fine imposed on the restaurant owner exceeded 118 thousand hryvnias.
The dispute arose because the property, a restaurant owned by the defendant, is located on municipal land. No lease agreement was concluded, and no rent was received for 15 years.
The local court partially satisfied the claim, collecting only 4.7 thousand hryvnias. However, the city council filed an appeal, substantiating the claims with the normative monetary valuation of the plot and the approved rent rates.
The panel of judges of the appellate instance concluded that the city council's calculation is supported by appropriate evidence, and the absence of a lease agreement does not exempt the actual user from paying the fees. Thus, the appeal was granted in full.
The court found that the restaurant owner had unjustifiably withheld funds that should have been paid to the community, and ordered her to recover the unearned income.
This decision once again emphasizes that using land without proper documentation can result in significant financial losses for entrepreneurs.
