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El blog de Maria

Your daily Spanish Law reporter. Have it with a cafe con leche. www.costaluzlawyers.es

Legal tip 1014. Floor clauses. How the fight is going.
Wednesday, August 28, 2013 @ 1:07 PM

PLease enjoy this post written by one of the Law Fim´s legal assistants, Manuel Guerrero:

THE WAR OF THE “FLOOR CLAUSES” by Manuel Guerrero

Since last May 9, when the Spanish Supreme Court condemned three Spanish banks to withdraw from all their mortgage contracts the so-called "floor clauses " because of lack of transparency enabling a huge savings to suffering borrowers, there have been a lot of court proceedings trying that such clauses are removed from all the banks.

Unicaja, an important Andalusian bank, has been the last one that has lost this battle.

Twenty eight of its clients have achieved in the Commercial Court of Malaga a sentence by which this bank will have, not only to remove the floor clauses, but also to give back the money overcharged since the beginning of the mortgage.

This is, (the retroactive nature of the measure), the current controversial issue of those affected and their representatives, as the High Court didn´t recognize in its judgment that character, whilst other courts have already begun to recognize it.

How will this battle end?

Will the “weak” clients or the “strong” banks win?

The future (and the judges) will respond to this question.

To be continued

If you want assistance on a possible floor clause on your mortgage contract, we will be very pleased to provice this to you.

A street in Arcos de la Frontera, Cadiz, South of Spain, at Facebook

 



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