For agricultural producers, fuel is one of the most critical resources during the fieldwork season, directly affecting machinery operations, logistics, and the timely completion of production activities. Therefore, a situation in which diesel fuel has been paid for but not delivered can create serious risks for a farming enterprise.

This is exactly the challenge faced by Preobrazhenivske LLC from the Dnipropetrovsk region. The company signed a contract for the supply of diesel fuel and transferred payment to the supplier but never received the fuel. The supplier later reported that its storage facility had been destroyed by a strike and that the fuel had burned as a result. Although the enterprise has been operating in agriculture for more than 25 years and specializes in the cultivation of grain, legume, and oilseed crops, it had never encountered such a situation before.

To better understand its legal options, Preobrazhenivske LLC contacted the UAC legal advisory hotline, which operates within the framework of the project supporting Ukrainian agricultural producers from war-affected regions in partnership with the international humanitarian organization Mercy Corps.

UAC experts explained that such a situation falls within the scope of commercial disputes and, if the parties fail to reach an agreement, may ultimately be resolved through a commercial court. However, before initiating legal proceedings, the company was advised to prepare and send a formal written claim to the supplier demanding either fulfillment of the contractual obligations or reimbursement of the funds paid, while also notifying the supplier of the potential legal consequences of non-compliance.

The experts recommended gathering copies of the supply contract, proof of payment, and all correspondence with the supplier to support the preparation of the claim. Since the supplier acknowledged the destruction of its fuel depot and proposed a partial refund along with an installment plan for fulfilling the remaining obligations, the company was also advised to carefully review all relevant documents for potential legal risks.

"Thanks to the consultation provided by UAC experts, we gained a clear understanding of which documents needed to be collected, how to properly prepare a claim against the supplier, and which issues required particular attention. This type of support is extremely valuable and helps agricultural businesses protect their interests under challenging circumstances," representatives of the company noted.

The UAC reminds agricultural producers that they can receive free professional support from its experts on workforce reservation procedures, critical enterprise status, accounting and taxation, land relations, and participation in government support programs.

To request a consultation, please complete the online application form: https://forms.gle/v56UzTAsrD9Zrx998

For additional inquiries, please contact the legal advisory hotline: +38 067 522 03 43

About Mercy Corps

Mercy Corps is an international humanitarian organization operating in more than 40 countries worldwide. It provides assistance to people affected by disasters, armed conflicts, poverty, and the impacts of climate change.