In a turning point for Ukrainian bankruptcy law reform, on 18 October 2018 the Ukrainian parliament adopted the Code of Bankruptcy Proceedings, which will replace the existing Law on Restoring Solvency of Debtors or Recognition of Debtors’ Bankruptcy that has been in force since 1992.

In a recent decision by the influential Third Circuit Court of Appeals, In re KB Toys Inc., 2013 U.S. App. LEXIS 23083 at *17 (3d Cir. Nov. 15, 2013), the Court decided that “the cloud on the claim” stemming from a preferential payment made to the original claimant continues with the claim, which then could be disallowed.