One of the important changes is the elimination of mandatory use of corporate seals by private business entities.
The official letter of the National Bank of Ukraine No.25-110/74213 dated 11.12.2014 states that providing that legal entity defines independently the procedure for organization of its business activity when deciding on use of seal within bank servicing the bank should be guided by the company’s statutory document (Articles of Association, constituent agreement/ act, regulations) which is the core document regulating the activity of the company.
If the statutory documents of the company provides the availability of seal the company is obliged to use it in all deals including the agreement relationships with the bank and when managing bank account as well as signing settlement documents.
Respectively, if legal entity decides to stop using the seal it has the right to refuse use it making relevant changes in company’s statutory documents and shall notify the bank providing relevant supporting documents.
Therefore, if the legal entity makes the decision to stop using the seal in its business activity it shall hold the meeting of the company’s highest governing body (General Shareholder Meeting for LLC) adopting new edition of the Articles of Association. Afterwards such changes shall be registered by the State Registration Services of Ukraine at company’s location.
Moreover, according to the letter of the National Bank of Ukraine dated 11.12.2014 No. 25-110/74213 the relevant notification on changes and documents (new signature card and copies of the documents on changes) shall be provided to the company’s servicing bank.
Contact: Tetiana Bagmet Corporate Services Consultant Tetiana.Bagmet@accace.com