Draft bill #10337 of December 13, 2023 

Sponsor: the Cabinet of Ministers of Ukraine 

Status: awaits to be signed by the President 

Who is affected: individuals, legal entities, government bodies, local government bodies, the National Agency for Corruption Prevention (NACP), and the Cabinet of Ministers of Ukraine 

Summary: 

  • the law provides definitions of lobbying, lobbyists (service providers), objects of lobbying (government bodies and local government bodies), and methods of control over lobbying 
  • the law does not apply to: 
    • diplomatic institutions 
    • media 
    • political parties and their local organizations 
    • local government associations 
    • scientific and technical research 
    • work related to attracting, utilizing, or monitoring international technical aid and implementing respective projects and programs 
    • popular initiative during national or local referendums. 
  • activities of public associations and other non-profit organizations, except when such activities are related to commercial interests 
  • the bill defines what does not constitute lobbying: 
    • advocacy and related activities 
    • activities related to exercising the right to peaceful assembly 
    • requests for public anti-corruption expertise of legal acts 
    • social dialogue 
    • public discussions of legal acts. 
  • the Cabinet will have to: 
    • approve a code of conduct for lobbyists within three months 
    • create and launch the Transparency Register within four months. 
  • the Transparency Register will operate according to the following principles: 
    • the Register is a database that will contain information about the subjects and objects of lobbying, identify clients and other beneficiaries 
    • lobbyists will have to submit information to the Transparency Register every six months 
    • data from the Registry will be open to the public except for the part about passport series and number, residential addresses, phone numbers, and birth dates 
    • the procedure for maintaining and accessing the Registry is approved and enforced by the NACP 
    • the lobbying must be lawful, transparent, accountable, responsible, professional, and ethical 
    • the Cabinet has to approve a mandatory code of conduct for lobbyists after public consultations with them, and this code will be legally binding 
  • lobbying methods are defined as follows: 
    • any direct or indirect communication between the lobbyists and the objects of lobbying for the planning, development, and/or adoption of a legal act 
    • preparation or dissemination of proposals, program or position documents, or analytical materials about anything related to the subject of lobbying 
    • participation in public or closed events during the development of legal acts 
    • an invitation by the lobbyist of the object of lobbying (a representative of a government body or local self-government body) to participate in meetings, conferences, or other events 
    • organization of public events and information campaigns. 
  • the law stipulates that the subject of lobbying cannot be: 
    • a court decision 
    • a decision or conclusion of the Constitutional Court of Ukraine 
    • a legal act declaring general or partial mobilization, introducing martial law or emergency state 
    • a legal act declaring a state of war or peace 
    • a legal act regarding the use of the Armed Forces and other military units 
    • an individual legal act (for example, granting an award, decisions on dismissal or appointment, etc.) 
  • a person acquires the status of a lobbyist immediately after being registered in the Transparency Registry 
  • the following persons cannot be lobbyists: 
    • employees of government bodies or local governments and former employees of these bodies within two years after dismissal 
    • persons who have an unspent or unexpunged criminal offense or have been found guilty of corruption offenses 
    • persons with limited capabilities or incapable 
    • citizens of the aggressor state, legal entities registered or having an ultimate beneficiary in the aggressor state 
    • state and local government bodies, state and municipal enterprises, institutions, and organizations 
    • individuals and legal entities under sanctions 
    • subjects responsible for lawmaking facilitation (for example, the Main Legal Department of the Verkhovna Rada of Ukraine). 
  • clients, beneficiaries, and sources of funding for lobbying cannot be: 
    • citizens of the aggressor state 
    • legal entities registered in the aggressor state and legal entities whose ultimate beneficiaries are citizens or legal entities of the Russian Federation 
    • individuals and legal entities of the aggressor state under sanctions 
  • lobbyists have the right to: 
    • represent their own interests and/or the interests of the client 
    • use lobbying methods 
    • receive from the client information and documents necessary for lobbying 
    • ask clients (lobbying objects) questions about the subject of their work 
    • submit their own analytical proposals for legal acts 
    • be included on the list of draft bills’ cosponsors. 
  • lobbyists are obliged to: 
    • comply with Ukrainian law and ethics of lobbying 
    • prevent conflict of interest during lobbying 
    • not interfere with the work of lobbying objects and comply with the respective restrictions 
    • inform authorities about their lobbying activities and clients 
    • timely submit truthful and complete information to the Transparency Registry 
    • carry out non-cash transactions related to lobbying 
    • refuse to accept public budget funds or local budget funds as payment for lobbying. 
  • it is prohibited to make the amount of remuneration for the lobbying dependent on its results 
  • twice a year, lobbyists will submit to the Transparency Registry a report in electronic format on the subject of lobbying 
  • the NACP will monitor compliance with the requirements of the law 
  • the law will come into effect the day after its publication and will be enforced from the day the Transparency Registry starts operating, but no later than four months from the day the law comes into effect. 

What is right:  

  • lobbying is finally regulated by law 
  • the law implements the Cabinet resolution #220 On the Approval of the State Anti-Corruption Program for the Years 2023-2025 of March 4, 2023 
  • the law implements the recommendations presented in the report of the European Commission regarding the adoption of the law on lobbying. 

Background information: On November 8, 2023, the European Commission issued recommendations for Ukraine regarding the EU accession. In the part about the anti-oligarchic action plan, there was a recommendation to pass a law on lobbying in accordance with European standards. On December 25, 2023, the Verkhovna Rada adopted in the first reading a draft bill establishing penalties for unfair lobbying. 

Additional information: Ok, So What? podcast, ep.138: What is in store for illegal lobbyists?