June 2021

Judgment of the Court of First Instance of Samos on the Validation of an Order for Payment under a Management Contract

The decision of the Samos Court of First Instance No 64/2021, which upheld a payment order issued by the same Court, was recently published. The latter orders the payment of a) the amount of guaranteed profits due annually under a management contract concluded for the management and exclusive exploitation of a seaside tourist business, b) a reasonable penalty for each day of delay in the payment of the above guaranteed fee following the debtor-manager's default in the fulfilment of his contractual obligations and c) the total amount of the debt to the Greek State and the local authorities, which accrued and became due at the time of the above-mentioned agreed exclusive exploitation of the business by the manager.  Therefore, the relevant claims of the latter regarding a genuine negative declaratory contract and, consequently, an implicit waiver of the right to claim a penalty clause, the lack of a certificate and the lack of a clear statement of the claim owed to the Greek State and the existence of counterclaims justifying the submission of relevant objections to set-off by the manager were rejected.