1. The subject of the dispute is the termination of the contract of purchase and sale of a small privatization object and the return of property to state ownership due to the buyer’s failure to fulfill the terms of the contract regarding the repayment of wage arrears and debts to the budget.
2. The court, granting the claim, proceeded from the fact that the buyer (LLC “KBM”) materially violated the terms of the contract, failing to fulfill the obligation to repay the debts of SE “RARZ” for wages and to the budget within the specified period, which is an exclusive condition for terminating the contract in accordance with the Law “On Privatization of State and Communal Property” and the terms of the contract itself. The court also took into account that the failure to fulfill obligations deprived the Regional Office of the opportunity to receive what was expected when concluding the contract, since only 13.2% of the total debt was paid. The court noted that the existence of exclusive conditions for terminating the contract does not lead to automatic termination, but requires the establishment of the materiality of such a violation in court, while the court confirmed the previous position of the Supreme Court regarding the need to prove the materiality of the violation of the terms of the contract.
3. The court dismissed the cassation appeal, and the decisions of the courts of previous instances remained unchanged, confirming the legitimacy of the termination of the purchase and sale agreement and the return of property to state ownership.
