Economic and legal liability for violations for using other owner’s assets while doing business

Abstract

The article covers and analyzes the grounds of economic and legal liability for violations for using other owner’s assets and proposes their classification. Grounds for economic and legal liability for violations of the using other owner’s assets are grouped into: 1) violation of obligations related to the using other owner’s assets (violation of the duty of targeted use of property, damage (deterioration, damage) of property, its destruction or loss, violation of the obligation to return the property from use, and 2) violations that are not related to the use of it, but take place in this relationship (violation of obligations to pay for the using other owner’s assets or other payments, and obligations established by law for the use of property on a particular legal title).
It is substantiated that violations committed during the using other owner’s assets do not belong to the violations of the rules of economic activity, therefore it is concluded that if such using is not based on the contract, then for violations committed during its using, liability may arise usually in the form of damages; however, if such using is carried out on the basis of the contract, then in addition to damages, liability may arise in other forms, subject to its using is provided by law or contract.
It is argued that the determination of the grounds and forms of economic and legal liability for violations for using other owner’s assets is significantly influenced by the legal title of such using.
The author drew attention to the compliance of the consequences of violations in the using other owner’s assets in the course of doing business in the form of damages, penalties and operational and economic sanctions, established by the art. 611 of the Civil Code of Ukraine to the legal consequences for breach of obligations, such as: termination of the obligation due to unilateral waiver of the obligation, if established by contract or law, or termination of the contract; change in the terms of the obligation; payment of penalties; damages.
It is emphasized that the forms of contractual economic and legal liability, if not prohibited by law, may imply penalties and operational and economic sanctions aimed at restoring the violated right (property status) of the parties to the contract.