Last Updated February 20, 2019

Law and Practice

Authors



Pakharenko & Partners (Kyiv) is one of the largest and most experienced intellectual property law firms in Ukraine, with offices in Kyiv (Ukraine) and London (UK). It also has many international partners all over the world. The firm provides the full scope of IP services required by pharmaceutical industry clients, including patent and trade-mark protection and enforcement, and has well-established expertise in domestic and international technology transactions, licensing, distribution agreements, confidentiality agreements, software licences and advertising. Clients include multinational, national and local corporations, major academic and research institutions, small entrepreneurial companies and engineering organisations, and individual inventors.

Based on the results of consideration of consumer requests, the State Service of Ukraine for Food Safety and Consumer Protection or its territorial bodies have the right to:

  • demand elimination of the revealed violations of the legislative requirements from advertisers, manufacturers and distributors of advertising;
  • demand cessation of actions preventing from realisation of the state control;
  • provide (send) the binding requirements for the elimination of violations to advertisers, manufacturers and distributors of advertising;
  • issue decisions on declaring the advertising as unfair, hidden, declaring the comparison in advertising as unlawful with simultaneous suspension of its distribution; and
  • issue decisions on suspension of distribution of the respective advertising.

Furthermore, according to the Law on Consumer Rights Protection, damages caused to consumers by unfair advertising are subject to reimbursement by the guilty party in full.

In accordance with the provisions of the Law of Ukraine on Protection against Unfair Competition, commission by economic entities of actions determined by this Law as unfair competition, entails imposition of a fine by the AMCU of an amount of up to 5% of the income (proceeds) from the sale of the products (goods, works, services) of the economic entity for the last reporting year preceding the year in which the fine is imposed.

The Fundamentals of the Ukrainian Legislation on Health Care also provide for the responsibility of medical and pharmaceutical workers for violating the procedure of medicinal products advertising during their professional activities (please see 8 Inducement/Anti-bribery). For example, according to Article 44-2 of the Code of Ukraine on Administrative Offences, violation of the restrictions imposed on medical and pharmaceutical workers in the course of their professional activities entails a fine of UAH5,100–20,400 (approximately EUR160–640).

Officials of public or municipal medical institutions may be held liable for violation of the procedure for advertising of medicinal products containing signs of criminal offences, including corruption (please see 8 Inducement/Anti-bribery). For the time being, such cases are examined by general courts in criminal proceedings. In particular, such cases refer to criminal offences stipulated by Articles 364, 364-1, 368, 368-3, 369, namely: abuse of power or office; abuse of authority by an official of a legal entity of private law, irrespective of legal business structure; acceptance of a proposal, promise or obtaining an unlawful benefit by an official; bribery of an official of a legal entity of private law irrespective of business legal structure; and proposal, promise or providing an unlawful benefit to an official. The above-mentioned actions are punishable by a fine of UAH144,000–1,441,500 (approximately EUR4,500–45,000), as well as removal of the right to occupy certain positions or engage in certain activities for a certain period of time, arrest, custodial restraint or imprisonment.

Also, the High Anti-Corruption Court of Ukraine is to be established by March 2019. Cases concerning corruption in Ukraine will be brought directly to this court. The jurisdiction of the court covers crimes that caused damage in the amount exceeding USD31,000.

Pakharenko & Partners

72 Velyka Vasylkivska Str.
Entrance 1, 7th Floor.
Business Centre “Olimpiysky”
Kiev 03150 Ukraine

+380 44 593 96 93

+380 44 451 40 48

pakharenko@pakharenko.com.ua pakharenko.ua/
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Authors



Pakharenko & Partners (Kyiv) is one of the largest and most experienced intellectual property law firms in Ukraine, with offices in Kyiv (Ukraine) and London (UK). It also has many international partners all over the world. The firm provides the full scope of IP services required by pharmaceutical industry clients, including patent and trade-mark protection and enforcement, and has well-established expertise in domestic and international technology transactions, licensing, distribution agreements, confidentiality agreements, software licences and advertising. Clients include multinational, national and local corporations, major academic and research institutions, small entrepreneurial companies and engineering organisations, and individual inventors.

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