7 important principles protecting entrepreneurs’ rights incorporated into law

An important change in the business environment: from now on, 7 key principles aimed at protecting entrepreneurs’ rights and interests in relations between businesses and government bodies have been enshrined in law.

Amendments and additions to the Law “On Guarantees of the Freedom of Entrepreneurial Activity” have introduced new Articles 31–38.

1. Legality — government bodies must also comply with the law

Government bodies and officials must strictly comply with the Constitution, laws and other regulatory legal acts in their activities.

2. Freedom of entrepreneurship is guaranteed

Everyone has the right to engage freely in entrepreneurial activity within the country and abroad, and to use their property at their own discretion.

3. All entrepreneurs are equal

Regardless of their form of ownership or organizational and legal form, business entities are considered equal before the law and the courts.

An important point for business is that the state may not treat entrepreneurs differently based on whether their property is private or belongs to another form of ownership.

4. Entrepreneurs’ legitimate expectations are protected

Government bodies must respect entrepreneurs’ legitimate expectations and confidence. Changes to existing procedures must not be arbitrary.

5. Corruption and conflicts of interest are prohibited

Processes regulating entrepreneurial activity must be free from conflicts of interest and any form of corruption.

6. Protection of private property is strengthened

An entrepreneur’s property may be seized only on the basis of a court decision and in accordance with the procedure established by law.

7. Legislation must be stable and clear

Entrepreneurs should not face unjustifiably frequent changes to the rules. The legislative environment must be consistent, clear and predictable.

Conclusion

The main goal of the new provisions is to guarantee freedom of entrepreneurship, protect private property and create a stable legal environment for business.

Most importantly, these principles are expected to further strengthen entrepreneurs’ legal protection in their relations with government bodies.