Application of different legal mechanisms of compensation for property destroyed as a result of Russia's armed aggression before and after the start of full-scale invasion does not violate the principle of equality of citizens - SC CivCC

The limitation of the amount of monetary compensation for housing destroyed as a result of the armed aggression of the Russian Federation before 24 February 2022 to UAH 300,000, established by the Procedure for Providing and Determining the Amount of Financial Assistance or Compensation to Victims of Emergencies Who Remained at Their Previous Place of Residence No. 947 of 18 December 2013, as amended by Resolution of the Cabinet of Ministers of Ukraine No. 767 of 2 September 2020 (Procedure No. 947), is not discriminatory in comparison with the mechanism of compensation for property destroyed after 24 February 2022. Different compensation mechanisms established for different periods are a manifestation of the state's positive actions to provide social protection to victims and do not create unjustified advantages.

These conclusions were reached by the Supreme Court as part of the panel of judges of the First Judicial Chamber of the Civil Cassation Court.

In the case under review, the plaintiff filed a claim for additional compensation for her destroyed apartment in the village of Pisky, Donetsk region, which was destroyed by shelling in 2014 . She pointed out that in 2021 she was recognised as a victim, and subsequently paid compensation in the amount of UAH 300,000 and her ownership of the apartment was terminated. The amount of compensation was determined in accordance with Procedure No. 947.  

The plaintiff believed that the amount of compensation should be determined in accordance with Part 10 of Article 86 of the Civil Protection Code of Ukraine, i.e. at the indirect cost of housing construction, which at that time in Donetsk region was UAH 15,261 per 1 sq. m. Given the size of the apartment (60 sq m), the total cost would have been UAH 915,660. Thus, the plaintiff requested that the defendants jointly and severally pay the difference of UAH 615,660, believing that Procedure No. 947 cannot narrow the rights provided by law.

The courts dismissed the claim, stating that the legal basis for paying the plaintiff compensation for the destroyed housing was a special regulatory act on the provision of financial assistance and compensation to persons affected by military emergencies caused by the armed aggression of the Russian Federation, Procedure No. 947. The plaintiff exercised her right to receive compensation, received it in the maximum amount specified by this Procedure, after which her ownership of the apartment was terminated.

The CivCC of the Supreme Court, agreeing with the conclusions of the courts of previous instances on the lack of legal grounds for satisfying the claim, noted that the state had fulfilled its positive obligations and developed a compensation mechanism for reimbursement of the cost of destroyed (damaged) housing, the plaintiff received the amount of monetary compensation due to her for the destroyed apartment, the decision of the commission and/or the regulatory act itself, which regulates the mechanism for paying monetary compensation for destroyed housing, was not challenged.

The CivCC of the Supreme Court rejected the plaintiff's arguments that the capping of the amount of monetary compensation at UAH 300,000 discriminated against Ukrainian citizens whose housing was destroyed before 24 February 2022 as compared to citizens whose housing was destroyed after the full-scale invasion, citing that different compensation mechanisms for cases of housing destruction before and after 24 February 2022 did not constitute discrimination, as they reflected different periods and conditions of armed aggression.

On 22 May 2023, the Law of Ukraine of 23 February 2023 "On Compensation for Damage and Destruction of Certain Categories of Real Estate as a Result of Hostilities, Terrorist Acts, Sabotage Caused by the Armed Aggression of the Russian Federation against Ukraine and the State Register of Property Damaged and Destroyed as a Result of Hostilities, Terrorist Acts, Sabotage Caused by the Armed Aggression of the Russian Federation against Ukraine’ came into force, which defines the legal and organisational framework for compensation for damage and destruction of certain categories of real estate as a result of hostilities, terrorist acts, sabotage caused by the armed aggression of the Russian Federation against Ukraine, from the date of entry into force of the Decree of the President of Ukraine dated 24 February 2022 "On the Introduction of Martial Law in Ukraine", i.e. from 24 February 2022.

Thus, this Law does not regulate the provision of compensation for real estate that was damaged or destroyed before 24 February 2022, while before the large-scale invasion, compensation was provided to those whose homes were destroyed as a result of the armed aggression of the Russian Federation in accordance with Procedure No. 947.

The development of other mechanisms for compensation for damage to and destruction of real estate after 24 February 2022 does not indicate discrimination against Ukrainian citizens.

In accordance with part 9 of Article 5 of the Law of Ukraine "On Ensuring the Rights and Freedoms of Citizens and the Legal Regime in the Temporarily Occupied Territory of Ukraine", compensation for material and moral damage caused as a result of the temporary occupation to the State of Ukraine, legal entities, public associations, citizens of Ukraine, foreigners and stateless persons is fully borne by the Russian Federation as the occupying power.

Resolution of the Supreme Court of 2 July 2025 in case No. 202/3809/22 (proceedings No. 61-14156св24) - https://reyestr.court.gov.ua/Review/128626856.

This and other legal positions of the Supreme Court can be found in the Database of Legal Positions of the Supreme Court - https://lpd.court.gov.ua.