December 2022

Judgment of the Lamia Court of First Instance on the Annulment of the Foreclosure Report on 23 Horizontal Properties

The decision No. 339/2022 of the Lamia Single Judge Court of First Instance was published, which annulled a compulsory seizure report under which an auction of twenty-three horizontal properties with a total value of 822,490.00 euros was scheduled for the satisfaction of a management company's claim of more than 1,000,000.00 euros from an issued bond loan.

The court held that in this case the limitation of the amount for which the garnishee imposed the attachment was indefinite. In particular, despite the fact that its claim exceeded the amount of EUR 1,000,000.00, stemming from several bonds issued and including more funds (principal of each bond, interest on each bond, as well as costs), it imposed the attachment only for the amount of EUR 300,000.00, without any further specification of the funds and bonds to which this amount related.  

However, in this case, there is uncertainty as to the amount of the attachment, as the debtor is not in a position to know exactly what this amount relates to, with the result that he cannot propose any objections, such as, for example, an objection to the limitation period for interest claims of the creditor or an objection to the redemption of one of the bonds. The indeterminacy is further exacerbated in the case of bond loans, where most of the bonds issued under the loan have different maturity and interest periods. 

(for more see here)