Covenants are particular clauses in the debt contracts of firms that restrict business policy, giving creditors the possibility of putting precise actions into force (normally early repayment) when the covenants are violated. The main purpose of covenants given in the literature is to resolve the conflicts of interest between shareholders and bondholders. Lack of coordination between bondholders may, however, reduce the efficiency of these instruments. We propose an application of the Italian law allowing the insertion of a mandatory representation into the new financial hybrid contracts to give an investment firm the right to act with full power on behalf of the bondholders. We show the impact of this proposal using a formalised example for the issuance of a bond with a covenant for a firm.

Covenants are particular clauses in the debt contracts of firms that restrict business policy, giving creditors the possibility of putting precise actions into force (normally early repayment) when the covenants are violated. The main purpose of covenants given in the literature is to resolve the conflicts of interest between shareholders and bondholders. Lack of coordination between bondholders may, however, reduce the efficiency of these instruments. We propose an application of the Italian law allowing the insertion of a mandatory representation into the new financial hybrid contracts to give an investment firm the right to act with full power on behalf of the bondholders. We show the impact of this proposal using a formalised example for the issuance of a bond with a covenant for a firm.

The relevance of the study is conditioned by the fact that the violation of land ownership rights and the moratorium on the purchase and sale of land plots limit the development of the national economy in general and the land market in particular, contributing to the operation of shadow agribusiness. However, starting from 01.07.2021, all restrictions on the sale of agricultural land are lifted, and new opportunities and threats arise. The purpose of the study is to analyse the new legislation regulating the launch of an open land market in Ukraine. To obtain scientific results, the following methods are used: dialectical, comparison, analogies and comparisons, monographic, benchmarking, expert evaluation method, SWOT analysis, forecasting method, analysis and synthesis. In accordance with this, the current state of land in Ukraine and European countries is considered. The existing land market in Ukraine and the world is analysed. A historical retrospective inquiry of events related to the lifting of the land moratorium is carried out. The law that ensures the launch of an open land market is characterised. Significant additions are identified in the law between the first and second readings. The mechanism of regulating the launch of the Ukrainian open land market is clarified. This study considers the international experience of operation of the open-type land market and reflects competitive prices for 1 hectare of land in comparison with Ukraine. According to this, the positive impact of land reform in European countries is determined. The main factors of effectiveness of the open land market model in foreign countries are presented. The main opportunities and threats for an open land market in Ukraine are analysed. The findings of the study reflect both the positive and negative consequences of launching an open market in Ukraine, citing expert opinions of supporters and opponents of such a market transformation