Analytics

For a long time, many foreign companies operating in Ukraine through representative offices have faced significant financial risks – in particular due to claims related to non-compliance with the employment quota for persons with disabilities.

The Social Protection Fund for Persons with Disabilities has been actively bringing claims before the courts, seeking to recover penalties and fines from representative offices.

Notably, 2026 may see a new wave of claims from the Fund related to non-compliance with the 2025 quota. However, recent court practice is shaping a strong line of defence for businesses.

The Supreme Court’s key position is that a representative office is not a proper defendant in such disputes. The Court confirmed that proceedings in claims filed by the Social Protection Fund for Persons with Disabilities against such representative offices are subject to closure.

We have been applying this approach in disputes since 2023 – long before it was formally established at the Supreme Court level.

Therefore, the emerging case law confirms that our strategy is not only legally well-grounded but also practically effective.

If your company has already received a calculation of administrative or commercial penalties related to non-compliance with the 2025 employment quota, it is crucial to assess the risks promptly and define the right strategy for protection.

The full version of the article is available in Ukrainian by the link.

Kind regards,

© WTS Consulting LLC, 2026

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