Asters' Partners joined the discussion on dispute resolution in construction projects at Boosting Subcontractor Readiness Conference

On 3-4 September 2025, Kyiv hosted Boosting Subcontractor Readiness Conference, arranged by the U.S.-Ukraine Business Council jointly with Commercial Law Development Program (CLDP) of the U.S. Department of Commerce, the U.S. Foreign Commercial Service (FCS) and the U.S. Department of State. The event brought together U.S. and Ukrainian business leaders to strengthen cooperation on Ukraine’s reconstruction and to support Ukrainian small- and medium-sized enterprises in aligning with international standards and subcontracting practices.

Asters' Partners Oleg Boichuk and Yuna Potomkina joined the panel discussion devoted to resolution of disputes arising during the reconstruction projects' implementation. The participants highlighted the value of alternative dispute resolution (ADR), including dispute avoidance and adjudication boards (DAAB), as well as mediation, as more efficient and cost-effective alternatives to litigation or arbitration.

Yuna Potomkina, Head of Alternative Dispute Resolution at Asters, stated: "Ukraine today faces the largest rebuilding challenge in Europe since the World War II – roads, bridges, homes, power plants, schools – all need reconstruction, often in partnership with international investors and contractors. While these collaborations present significant opportunities, they also bring challenges, making disputes inevitable. What truly matters is not whether disagreements occur, but how they are resolved. Traditionally, disputes went to court, but litigation is slow, costly, and often adversarial. Alternative Dispute Resolution (ADR) offers a vastly better path – serving as a crucial tool for building trust, attracting investment, and ensuring project progress despite disputes."

She further explained Ukraine's legal framework for ADR, provided practical advice for drafting contractual clauses to enable ADR in reconstruction projects, and shared examples of how ADR has efficiently resolved conflicts.

Oleg Boichuk, Co-Head of Real Estate and Construction at Asters, added: "It’s best to avoid disputes or at least minimise their occurrence, that is why conducting thorough KYC, due diligence, and background checks before project commencement is essential. Careful drafting of dispute resolution clauses in contracts with investors and contractors is equally important."

He also noted that international companies often prefer using non-Ukrainian law for contracts and dispute resolution. Fortunately, Ukraine’s legal environment is becoming more flexible – international arbitration and mediation are now possible in most contracts, even for PPP projects. He highlighted the benefits of ADR instruments in construction agreements as well, paying particular attention to the use of DAAB within FIDIC contracts.

Asters is the largest full-service law firm in Ukraine with offices in Kyiv, Brussels, London, and Washington, D.C. The firm has access to over 125 jurisdictions through a well-developed network of partner law firms.