On November 22, 2023 at the plenary session the Second Senate of the Constitutional Court of Ukraine (hereinafter - the Court) delivered a Decision in the case upon the constitutional complaints of Olha Doroshko, Mykyta Yevstifeiev, Ivan Kushaba, and Volodymyr Yakimenko on the conformity of Articles 19.6.1, 19.6.5, 389.3.2 of the Civil Procedure Code of Ukraine (hereinafter - the Code) with the Constitution of Ukraine (constitutionality).
According to Articles 19.6.1, 19.6.5 of the Code, for the purposes of the Code, minor cases are:
“1) cases in which the value of the claim does not exceed one hundred of the subsistence minimum for able-bodied persons;
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5) cases on the protection of consumer rights, in which the value of the claim does not exceed two hundred and fifty amounts of the subsistence minimum for able-bodied persons”.
According to Article 389.3.2 of the Code, the following are not subject to cassation appeal:
„2) court decisions in minor cases and in cases with a claim value not exceeding two hundred and fifty amounts of the subsistence minimum for able-bodied persons, except in cases where:
а) the cassation appeal concerns the matter of law that is of fundamental importance for the formation of a unified law enforcement practice;
b) a person who files a cassation appeal, in accordance with this Code, is deprived of the opportunity to refute the circumstances established by the contested court decision, when considering another case;
c) the case is of significant public interest or is of exceptional importance for the party to the case who files a cassation appeal;
d) the court of first instance mistakenly classified the case as minor one”.
Subjects of the right to a constitutional complaint raised before the Court the question of the constitutionality of the institution of a minor case, regulated by the disputed provisions of the Code.
Examining the legality of the purpose of introducing the category of minor cases in the Code, the Court proceeds from the fact that the recognition of a case as minor one and, as a consequence, its consideration, according to the general rule in the procedure of simplified legal proceedings, is a prerequisite for the observance of reasonable terms for the consideration of the case by the court - one of the basic principles of judicial proceedings, defined by the Constitution of Ukraine (Article 129.2.7).
The court takes into account the fact that the shortened period of consideration of minor cases by the court and other procedural features of the resolution of minor disputes have the effect of reducing court costs for a person who exercises his constitutional right to judicial protection, which in general facilitates access to justice and the very possibility of exercising the right guaranteed provisions of Article 55 of the Constitution of Ukraine.
Moreover, the Court notes that the provisions of Article 19.6 of the Code, which define the types of minor cases, are consistent with the provisions of the European Small Claims Procedure No. 861/2007 of July 11, 2007, as amended, approved by the European Parliament and the Council of the European Union.
Taking into account the totality of the above considerations, the Court concludes that Articles 19.6.1, 19.6.5 of the Code do not contradict Articles 55.1, 129.2 of the Constitution of Ukraine.
Articles 19.6.1, 19.6.5 of the Code were examined by the Court for their proportionality and lack of discriminatory content in view of the amount of the claim value determined in them. The court believes that the state, exercising its discretion regarding the establishment in the procedural law of the amount of the value of the claim as a criterion for classifying the case as minor, has the obligation to adhere to constitutional principles and take into account the need for the existence of a legitimate purpose of applying such a legal remedy of classifying civil cases as minor the cost of the claim and the proportionality of this legal remedy. However, the value amounts determined in Article 19.6 of the Code according to the criterion for assigning cases to the categories of minor ones in the amount of UAH 268,400 (paragraph 1) and UAH 671,000 (paragraph 5) are not only significant, but also exceed those established in the amount of the subsistence minimum for able-bodied persons and the minimum wage and do not correspond to the understanding of the case and the dispute in it as minor one.
Taking into account the above, the Constitutional Court of Ukraine concluded that Articles 19.6.1, 19.6.5 of the Code in the specified aspect contradict Articles 8.1, 24.2 of the Constitution of Ukraine.
The Constitutional Court of Ukraine, given the strategic course for the acquisition of full membership of Ukraine in the European Union defined in the Fundamental Law of Ukraine, emphasises the obligation of Ukraine to ensure a high level of consumer rights protection in the way of the establishment and operation of a mechanism for the implementation and protection of consumer rights.
Evaluating Article 19.6.5 of the Code, the Court recognises the presence for the Verkhovna Rada of Ukraine of the powers to adopt laws that change the regulation of procedural relations involving consumers. However, the legislative activity of the Verkhovna Rada of Ukraine to introduce such changes and the content of the relevant laws must meet the constitutional requirements, in particular the requirement of legal certainty in the aspect of predictability, motivation, and consistency of legislative regulation of social legal relations.
In view of the above, the Court considers that Article 19.6.5 of the Code, whereby the cases on the protection of consumer rights, in which the value of the claim does not exceed two hundred and fifty amounts of the subsistence minimum for able-bodied persons, are classified as minor cases, does not meet the requirement of legal certainty and is inconsistent with the constitutional provisions and international commitments of Ukraine to ensure a high level of consumer rights protection.
Resolving the issue of the constitutionality of Article 389.3.2 of the Code, the Court assumed that this provision of the Code establishes one of the “filters” for cassation review of court decisions - recognition of the case as minor one, and has a legitimate purpose - compliance with the principle of the finality of the court decision (res judicata) as one of the aspects of the requirement of legal certainty.
The court proceeds from the fact that the observance of the principle of finality of the court decision (res judicata) is essential to ensure respect for the court, its decisions and the effectiveness of the entire justice system in a state governed by the rule of law.
The Constitutional Court of Ukraine considers that the current regulation in the Code of procedural relations on the cassation review of court decisions in civil cases is consistent with the provision of Article 129.2.8 of the Fundamental Law of Ukraine and corresponds to the role of the Supreme Court not only as a court of cassation in civil cases, but also as the highest court in the judicial system of Ukraine (Article 125.3 of the Constitution of Ukraine). The Supreme Court, as a court of cassation in civil cases for the review of court decisions in the cassation procedure, must exercise its powers to eliminate violations of the norms of substantive and/or procedural law, correct judicial errors and deficiencies in court decisions, and not for the sake of a new trial and the levelling of the role of courts of first and of appellate bodies in administering justice and resolving civil disputes.
The judge-rapporteur in the case is Oleh Pervomaiskyi.
The text of the Decision will be available on the official website of the Court on November 23, 2023.
