Independent appraisal (evaluation) of property is also required in order to mortgage the state or municipal property and in the event of alienation of state and/or municipal property if procedure of such alienation does not provide competition procedures.

Clause 11 of the Law of Ukraine "On appraisal of property, property rights and professional appraisal activities in Ukraine" provides that the appraisal contract is to be made in the written form. The essential terms and conditions of the appraisal contract include:

- designation of property, which is to be appraised (evaluated);

- purpose of appraisal (evaluation);

- type of property value, which is to be evaluated;

- date of appraisal (evaluation);

- duration of appraisal (evaluation) works;

- amount and terms of payment for the appraisal (evaluation) services;

- rights and obligations of parties of the appraisal (evaluation) contract;

- provisions about confidentiality of results of appraisal (evaluation) and information used for such evaluation;

- responsibility of parties for poor fulfillment or non-fulfillment of their contractual obligations;

- procedures to settle the possible contractual disputes.

Clause 30 of the Law of Ukraine "On appraisal of property, property rights and professional appraisal activities in Ukraine" provides the following rights of apprising entities (persons):

- to have access to the property, which is to be apprised as well as to documents and other information required in order to make the appraisal (evaluation);

- to receive explanations and additional data, which are required in order to apprise (evaluate) the property, property rights and to compose appropriate appraisal (evaluation) report;

- to waive of making the appraisal (evaluation) if there are any type of circumstances baring the appraisal (evaluation) appeared, including any forms of pressure;

- to ensure their responsibility, which is connected with appraisal activity, before the third parties;

- to attract other specialists for appraisal (evaluation) of property if required;

- to appeal decrees of state and/or municipal authorities to the court.

Clause 31 of the Law of Ukraine "On appraisal of property, property rights and professional appraisal activities in Ukraine" provides the following obligations of apprising entities (persons):

- to abide strictly requirements provided by this law and other bylaws at carrying out the appraisal (evaluation) activities;

- to ensure the unprejudiced appraisal (evaluation) of property and if the same is impossible to inform the customer accordingly indicating the circumstances baring to do so;

- to ensure safe custody of documents, which were received in the process of evaluation (appraisal) from the customer or third parties.

- to ensure confidentiality of information, which was received in the process of evaluation (appraisal).

The above information is provided herein in educational and informative purposes only. It is provided that you have to get appropriate legal advice as regarding the legal and other issues of your interest in Ukraine in order to have the exact, extensive and up-to-date legal and other related information.

Do not hesitate to contact us if you have any questions or issues of legal nature, our Law Firm is working for you and our experienced legal specialists are always ready to help providing the client with appropriate legal consultations, legal reports and summaries, reasonable legal advices and all the other required legal support, assistance, coverage and protection.