{"id":14622,"date":"2026-06-29T15:44:52","date_gmt":"2026-06-29T15:44:52","guid":{"rendered":"https:\/\/www.gbu.kyiv.ua\/?p=14622"},"modified":"2026-06-29T15:44:52","modified_gmt":"2026-06-29T15:44:52","slug":"yurydychnyj-kontrol-ryzykiv-pry-vhodi-v-proyekt-na-stadiyi-budivnycztva","status":"publish","type":"post","link":"https:\/\/www.gbu.kyiv.ua\/en\/yurydychnyj-kontrol-ryzykiv-pry-vhodi-v-proyekt-na-stadiyi-budivnycztva\/","title":{"rendered":"Legal Risk Control When Entering a Project at the Construction Stage"},"content":{"rendered":"<h2><span style=\"font-weight: 400;\">Legal Risk Control When Entering a Project at the Construction Stage<\/span><\/h2>\r\n<p><span style=\"font-weight: 400;\">Entering a construction project at the construction stage is an opportunity to purchase real estate at a lower price, but at the same time, it is a zone of increased legal danger. It is precisely at this stage that problems most often arise: absence of permitting documentation, misuse of funds, lawsuits regarding the land plot, as well as the risk of construction stoppage due to developer financial difficulties. Legal risk control<\/span><a href=\"https:\/\/www.gbu.kyiv.ua\/en\/perevirka-zhytlovoyi-neruhomosti-pered-kupivleyu\/\"><span style=\"font-weight: 400;\"> when entering a project<\/span><\/a><span style=\"font-weight: 400;\"> at the construction stage is a set of measures that allows an investor to avoid traps, identify hidden threats, and make an informed investment decision. As practice shows, mistakes at this stage can lead to payment blocking, claims from regulatory authorities, and long-term litigation.<\/span><\/p>\r\n\r\n<div id=\"\" class=\"wp-block-roseta-button pwmblock button\"><a id=\"\" class=\"orange-btn advice-btn linkbtn btn _modal-btn banner-form-btn\" href=\"#\" data-modal=\"banner-form-btn\">Get a consultation<\/a><\/div>\r\n\r\n<h2><span style=\"font-weight: 400;\">Main Risks When Entering a Project at the Construction Stage<\/span><\/h2>\r\n<p><span style=\"font-weight: 400;\">Entering a project at the construction stage is accompanied by a number of specific risks that are absent when purchasing a finished object:<\/span><\/p>\r\n<ol>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Absence or invalidity of permitting documentation \u2014 the most common problem. Construction may be carried out without proper urban planning conditions and restrictions (MUO), construction work permits, or with a violation of the object&#8217;s consequence class.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Problems with the right to the land plot \u2014 land may be leased with violations, have an inappropriate intended use, or be the subject of a lawsuit.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Absence of a transparent financing system \u2014 when it is unclear at what stage of construction the object is, how much money has already been spent, and what financing sources are being attracted.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Risk of &#8220;unfinished construction&#8221; \u2014 construction may be stopped due to developer financial problems, lawsuits, or changes in urban planning conditions.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Non-compliance with technical standards \u2014 violation of building codes (DBN), which can lead to the impossibility of commissioning the object.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Absence of proper technical and author supervision \u2014 leading to construction defects and the risk of object emergency condition.<\/span><\/li>\r\n<\/ol>\r\n<h2><span style=\"font-weight: 400;\">Stages of Legal Control When Entering a Project<\/span><\/h2>\r\n<p><span style=\"font-weight: 400;\">Legal risk control when entering a project at the construction stage must be systematic and multi-level. Legal support for construction is a set of legal services aimed at ensuring the legality and safety of implementing a construction project at all stages of its execution. It covers work with documentation, obtaining permits, interaction with government bodies, and protecting investor interests in case of disputes. Main stages include:<\/span><\/p>\r\n<h3><span style=\"font-weight: 400;\">1. Verification of the Land Plot and Urban Planning Documentation<\/span><\/h3>\r\n<p><span style=\"font-weight: 400;\">The first and most important step is verifying the legal status of the land plot and urban planning documentation. The lawyer analyzes:<\/span><\/p>\r\n<ul>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">ownership or lease right to the land plot;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">intended use of the land plot;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">existence and validity of urban planning conditions and restrictions (MUO);<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">compliance of the project with the settlement&#8217;s general plan and detailed territory plan;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">absence of encumbrances: seizures, mortgages, easements, lawsuits.<\/span><\/li>\r\n<\/ul>\r\n<h3><span style=\"font-weight: 400;\">2. Analysis of Permitting Documentation and DBN<\/span><\/h3>\r\n<p><span style=\"font-weight: 400;\">At this stage, the existence and validity of all permitting documents are checked:<\/span><\/p>\r\n<ul>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">permit or notification of the start of construction works (in accordance with the Law of Ukraine &#8220;On Regulation of Urban Planning Activities&#8221;);<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">approved project documentation with expertise (if required);<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">technical specifications for connection to engineering networks;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">compliance of the object with the consequence class (SS1, SS2, SS3);<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">compliance with State Building Codes (DBN), taking into account 2025\u20132026 changes.<\/span><\/li>\r\n<\/ul>\r\n<h3><span style=\"font-weight: 400;\">3. Verification of Developer Financial Condition and Project Structure<\/span><\/h3>\r\n<p><span style=\"font-weight: 400;\">This stage includes an analysis of the developer&#8217;s financial solvency and the project structure:<\/span><\/p>\r\n<ul>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">developer&#8217;s corporate documentation;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">presence of tax debts and enforcement proceedings;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">ownership structure and ultimate beneficiaries;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">distribution of rights and obligations among project participants: construction customer, developer, general contractor, fund manager;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">project monitoring system: construction schedule and payment conduct.<\/span><\/li>\r\n<\/ul>\r\n<h3><span style=\"font-weight: 400;\">4. Analysis of Contractual Framework and Investor Protection Mechanisms<\/span><\/h3>\r\n<p><span style=\"font-weight: 400;\">The lawyer thoroughly analyzes the contract with the investor:<\/span><\/p>\r\n<ul>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">legal form of investment (FFB, ISI, property rights sale and purchase agreement, etc.);<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">terms regarding party liability and penalties;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">contract termination procedures and refund mechanisms;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">timelines for object transfer and quality criteria;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">presence of performance security mechanisms (bank guarantees, pledges, insurance).<\/span><\/li>\r\n<\/ul>\r\n<h3><span style=\"font-weight: 400;\">5. Monitoring Contract Execution and Construction<\/span><\/h3>\r\n<p><span style=\"font-weight: 400;\">Legal control does not end at the contract signing stage. It is important to continue monitoring:<\/span><\/p>\r\n<ul>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">control over developer compliance with construction timelines;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">tracking changes in permitting documentation;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">checking for the absence of new encumbrances or lawsuits;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">control over intended use of funds.<\/span><\/li>\r\n<\/ul>\r\n\r\n<div id=\"\" class=\"wp-block-roseta-simple pwmblock simple section-padding-top-none section-padding-bottom-none autow\">\r\n<div class=\"simple__contblock\">\r\n<div class=\"simple__wrapper\">\r\n<h3 class=\"simple__title\">Want to know the cost of services<br \/>for your situation?<\/h3>\r\n<div class=\"simple__text text\">\r\n<p>Call a consultant<\/p>\r\n<\/div>\r\n<a id=\"\" class=\"orange-btn advice-btn linkbtn btn undefined\" href=\"tel:+380506977854\">+38 (050) 697-78-54<\/a><\/div>\r\n<\/div>\r\n<\/div>\r\n\r\n<h2><span style=\"font-weight: 400;\">Typical Investor Mistakes When Entering a Project at the Construction Stage<\/span><\/h2>\r\n<ul>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">ignoring the verification of permitting documentation \u2014 even if construction has already started, lack of proper permits can lead to work suspension;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">not checking the developer&#8217;s financial condition \u2014 bankruptcy or developer financial problems are one of the main reasons for investment loss;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">signing a template contract without adaptation \u2014 standard developer forms protect developer interests, not the buyer&#8217;s;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">lack of control over the intended use of funds \u2014 when the investor has no information on how their money is being spent;<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">underestimating the importance of registering special property rights \u2014 this right is a key investor protection mechanism at the construction stage.<\/span><\/li>\r\n<\/ul>\r\n<h2><span style=\"font-weight: 400;\">How to Avoid Traps When Entering a Project at the Construction Stage<\/span><\/h2>\r\n<ol>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Start with Due Diligence \u2014 comprehensive verification of the developer, object, and permitting documentation is a mandatory condition for safe investing.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Check the land plot and urban planning documentation \u2014 this is the basis of the legality of any construction project.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Demand registration of special property rights \u2014 this is your main legal protection at the construction stage.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Control the intended use of funds \u2014 provide for financial control mechanisms in the contract.<\/span><\/li>\r\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Engage a professional construction lawyer \u2014 solving legal issues in construction on your own often leads to fatal mistakes.<\/span><\/li>\r\n<\/ol>\r\n<p><a href=\"https:\/\/www.gbu.kyiv.ua\/en\/yurydychnyj-suprovid-budivnycztva\/\"><span style=\"font-weight: 400;\">Legal support for construction<\/span><\/a><span style=\"font-weight: 400;\"> ensures control at every stage of project implementation, from checking the land plot to commissioning the object.<\/span><\/p>\r\n<h2><span style=\"font-weight: 400;\">Frequently Asked Questions<\/span><\/h2>\r\n<p><span style=\"font-weight: 400;\">What documents are mandatory to check when entering a project at the construction stage?<\/span><\/p>\r\n<p><span style=\"font-weight: 400;\">Mandatory documents include: title documents for the land plot; urban planning conditions and restrictions (MUO); permit or notification of the start of construction works; approved project documentation; technical specifications for connection to engineering networks; investment contract; developer corporate documentation; information on the absence of lawsuits and encumbrances.<\/span><\/p>\r\n<p><span style=\"font-weight: 400;\">How to check if construction will stop due to developer financial problems?<\/span><\/p>\r\n<p><span style=\"font-weight: 400;\">There is no complete guarantee, but the risk can be minimized through: verifying the developer&#8217;s financial condition (presence of tax debts, enforcement proceedings, ownership structure); analyzing the history of completed projects; controlling intended fund use; engaging performance security mechanisms (bank guarantees, pledges). It is also important to check whether the contract provides for the investor&#8217;s right to early termination and refund in case of construction stoppage.<\/span><\/p>\r\n\r\n<div id=\"\" class=\"wp-block-roseta-form pwmblock gutenform section-padding-top-none section-padding-bottom-none autow\">\r\n<div class=\"gutenform__contblock\">\r\n<div class=\"gutenform__wrapper form-info-group\">\r\n<h3 class=\"gutenform__title titleinfo\">Need an initial consultation?<\/h3>\r\n<div class=\"gutenform__text text\">We will help solve the issue <strong>within as little as 1 day<\/strong><\/div>\r\n<div class=\"gutenform__shortcode\">\r\n<div class=\"gutenform__shortcode\">\n<div class=\"wpcf7 no-js\" id=\"wpcf7-f8315-o1\" lang=\"uk\" dir=\"ltr\">\n<div class=\"screen-reader-response\"><p role=\"status\" aria-live=\"polite\" aria-atomic=\"true\"><\/p> <ul><\/ul><\/div>\n<form action=\"\/en\/wp-json\/wp\/v2\/posts\/14622#wpcf7-f8315-o1\" method=\"post\" class=\"wpcf7-form init\" aria-label=\"Contact form\" novalidate=\"novalidate\" data-status=\"init\">\n<div style=\"display: none;\">\n<input type=\"hidden\" name=\"_wpcf7\" value=\"8315\" \/>\n<input type=\"hidden\" name=\"_wpcf7_version\" value=\"5.7.7\" \/>\n<input type=\"hidden\" name=\"_wpcf7_locale\" value=\"uk\" \/>\n<input type=\"hidden\" name=\"_wpcf7_unit_tag\" value=\"wpcf7-f8315-o1\" \/>\n<input type=\"hidden\" name=\"_wpcf7_container_post\" value=\"0\" \/>\n<input type=\"hidden\" name=\"_wpcf7_posted_data_hash\" value=\"\" \/>\n<input type=\"hidden\" name=\"_wpcf7_recaptcha_response\" value=\"\" \/>\n<\/div>\n<div class=\"gutenform-cf7\">\n\t<h5>Leave your question and we will call you<br \/>\nor call us yourself at the number<br \/>\n<a href=\"tel:+380506977854\">+38 (050) 697-78-54<\/a>\n\t<\/h5>\n\t<div class=\"form-grid-bg\">\n\t\t<div class=\"form-grid\">\n\t\t\t<div class=\"form-column\">\n\t\t\t\t<p><label><span class=\"wpcf7-form-control-wrap\" data-name=\"your-name\"><input size=\"40\" class=\"wpcf7-form-control wpcf7-text wpcf7-validates-as-required\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Your name\" value=\"\" type=\"text\" name=\"your-name\" \/><\/span><\/label><br \/>\n<label><span class=\"wpcf7-form-control-wrap\" data-name=\"tel\"><input size=\"40\" class=\"wpcf7-form-control wpcf7-text wpcf7-tel wpcf7-validates-as-required wpcf7-validates-as-tel\" aria-required=\"true\" aria-invalid=\"false\" placeholder=\"Phone number\" value=\"\" type=\"tel\" name=\"tel\" \/><\/span><\/label>\n\t\t\t\t<\/p>\n\t\t\t<\/div>\n\t\t\t<div class=\"form-column\">\n\t\t\t\t<p><label><span class=\"wpcf7-form-control-wrap\" data-name=\"your-message\"><textarea cols=\"40\" rows=\"10\" class=\"wpcf7-form-control wpcf7-textarea\" aria-invalid=\"false\" placeholder=\"Your question\" name=\"your-message\"><\/textarea><\/span><\/label>\n\t\t\t\t<\/p>\n\t\t\t<\/div>\n\t\t<\/div>\n\t<input class=\"wpcf7-form-control wpcf7-hidden form-info\" value=\"\" type=\"hidden\" name=\"form-info\" \/>\n\t\t<p><input class=\"wpcf7-form-control has-spinner wpcf7-submit orange-btn\" type=\"submit\" value=\"Send\" \/>\n\t\t<\/p>\n\t<\/div>\n<\/div><div class=\"wpcf7-response-output\" aria-hidden=\"true\"><\/div>\n<\/form>\n<\/div>\n<\/div>\r\n<\/div>\r\n<\/div>\r\n<\/div>\r\n<\/div>\r\n\r\n","protected":false},"excerpt":{"rendered":"<p>Legal Risk Control When Entering a Project at the Construction Stage Entering a construction project at the construction stage is an opportunity to purchase real estate at a lower price, but at the same time, it is a zone of increased legal danger. It is precisely at this stage that &hellip;<\/p>\n","protected":false},"author":2,"featured_media":14374,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_locale":"en_US","_original_post":"https:\/\/www.gbu.kyiv.ua\/?p=14414"},"categories":[5],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Legal Risk Control When Entering a Project at the Construction Stage | GlobalBud Ukraine<\/title>\n<meta name=\"description\" content=\"Legal Risk Control When Entering a Project at the Construction Stage \u260e+38(050)697-78-54 Legal support of real estate\u2b50GlobalBud Ukraine\u2b50 \u271415 years of experience\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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