The Supreme Court made a landmark ruling Thursday in a property foreclosure case, marking the first such decision by the country’s highest judicial body since justice system reforms took effect on July 1, 2023.
The five-judge panel overturned a Court of Appeals decision concerning a multi-million euro coastal property foreclosure, ruling that an appeal does not become void merely because the property has changed ownership during foreclosure proceedings.
The case dates back to 2017 when a bank initiated foreclosure proceedings against a borrower who had mortgaged valuable coastal property for development loans. The borrower filed a counter-claim, but legislative changes in July 2018 removed lenders’ ability to freeze foreclosure processes.
The Supreme Court awarded costs of 4,500 euros to the applicant and referred the case back to the Appeals Court for a substantive hearing.
