The Constitutional Court of Ukraine (hereinafter – the CCU) published its decision dated Feb. 5, 2013 № 1-rp/2013 concerning the official interpretation of the provisions of the Law of Ukraine "On Business Entities" (hereinafter - the Law), namely:

- Part 4 of Art. 58 "shareholders have the number of votes in proportion to their shares in the share capital";

- Part 1 of Art. 64 "a shareholder of a limited liability company, which systematically does not perform or improperly performs his duties, or hinders achievement of the aims of the company by his actions, can be excluded from the company upon a decision voted for by shareholders holding in scope more than 50 percent of the total shareholders` votes".

According to the decision of the CCU, during the first year from the date of state registration of a LLC, the size of shares of each shareholder is set exclusively by the charter. Shareholders have a number of votes in proportion to their shares in the share capital, regardless of whether full or partial contribution (payment) was made.

CCU also noted that the Law imperatively resolves the issue of non-payment (partial payment) of contributions by shareholders during the specified annual period. In such cases, the general meeting of LLC makes one of the following decisions:

- to exclude those shareholders, who have not (have not completely) made contributions, and to determine the order of redistribution of the share capital;

- to reduce the share capital and to determine the order of redistribution of the share capital;

- to liquidate LLC.

Regarding the interpretation of Part 1 of Art. 64 of the Law, CCU stated that the uncertainty of the interpretation object makes it impossible to perform the official interpretation, which is the reason for refusal in opening the constitutional proceedings on such constitutional treatment.