October 2021

Interim Order of the Heraklion Court of First Instance on the Suspension of Executability and Non-appearance in the records of Tiresias SA

On Friday 15/10/2021, a Provisional Order was issued by the Heraklion Court of First Instance which ordered the suspension of the enforceability of a payment order of approximately 650,000 euros and its non-appearance in the records of "Tiresias SA" or in related records of financial behaviour data. Four of the main grounds for opposition (25 in total) related to the impropriety of the termination in the midst of negotiations, the lack of production of contracts of earlier securitisation transactions, the lack of proper validation of documents and the apparent impropriety of the interest rate term (for more on the grounds for opposition see here). The Payment Order was issued against our client's company following the termination of a credit opening agreement operated through a mutual account. The interest in this case is linked to its background: the credit institution terminated the contract and issued a payment order after negotiations with the debtor company. In these negotiations, however, it required, in order to proceed with a proposal, the payment of the amounts due up to that time. This was of course contrary to any notion of good faith negotiation within the Code of Conduct and therefore on this basis interim protection was sought from the Heraklion Court of First Instance.