Subsidiary liability of persons controlling a debtor: legislative approach evolution

Introduction: the institution of subsidiary liability ofpersons controlling a debtor is aimed at satisfying the claims of creditors of a debtor in bankruptcy. Currently, practically every bankruptcy case involves the problem of bringing to liability persons who control the debtor and caused its going bankrupt through their control (influence). Since the latest law 'On Insolvency (Bankruptcy) ' entered into effect, the legislator's approaches to understanding the persons who control a debtor and the terms of their subsidiary liability have been repeatedly changed. However, in view of the principle of 'applying the law which was in effect at the moment the offense was committed', executors of law must know the substantive terms of the above persons' liability prescribed by the previous versions of law that are no longer in force. The situation requires a detailed theoretical analysis. It is necessary to analyze the process of establishment of the institution under study, the changes it has undergone; the respective regulatory guidelines provided at various periods of time also need to be analyzed and compared. Purpose: to conduct dynamic analysis of the regulation of the legal status of persons controlling a debtor in bankruptcy cases and analyze the terms of their subsidiary liability. Methods: the dialectical method was employed as the principal one. The methodological framework of the research included general scientific methods (analysis, synthesis, theoretical modeling) and specific scientific methods (historical legal, juridical dogmatic, law interpretation method). Results: the doctrinal definition of the person controlling a debtor is given; there is demonstrated a tendency toward legitimating the expanding list of such persons and the growing number of special elements of their subsidiary liability; new refutable presumptions in the subsidiary liability institution have been revealed; the need to establish the exclusivity of subsidiary liability of persons controlling a debtor has been justified.