Central & Eastern Europe
Nov 2015 - Incorrectly calculated APR in Czech consumer credit agreements
Several Czech consumer credit providers have been sued by customers for providing incorrect information on the annual percentage rate (APR) applicable to their consumer credit agreements and for their failure to meet certain other information requirements set out in the Czech Consumer Credit Act, which implements Directive 2008/48/EC on credit agreements for consumers, as amended (the Directive). The courts and the Financial Arbiter have taken conflicting positions on the issue.
Mar 2015 - Supreme Court Rules Security for Future or Contingent Debts Ineffective upon Debtor's Bankruptcy
Czech Supreme Court decision ref No 29 Cdo 4340/2011, 26 August 2014
June 2014 - An end to challenges to loan administration fees charged by Czech lenders?
Recent court rulings have weakened claims by consumers against Czech retail lenders regarding the lawfulness of "loan account fees" or "loan administration fees".
Feb 2014 - Liability for harmful advice under the new Czech civil code
The New Civil Code that was applied in the Czech Republic from 1 January 2014 expressly regulates liability in connection with the provision of information and advice by professionals, such as investment advice provided by financial institutions.
June 2013 - Challenge to fees charged by lenders in the Czech Republic
Over the last few months the lawfulness of certain fees charged by Czech retail lenders to their borrowers has been challenged. Tens of thousands of customers have reportedly claimed that fees they paid should be refunded...
Mar 2013 - Virtual signings now allowed in Czech Republic
Virtual signings just got easier in the Czech Republic, with the Czech Supreme Court ruling that parties may agree on a different method of concluding their contract from that prescribed by the Civil Code.
Dec 2012 - Enforcement in the Czech Republic
Amendments to Czech laws on enforcement give banks and other creditors new enforcement options for certain types of assets.
Oct 2013 - Challenge to the validity of FX Loans
Retail customers in Hungary are suing banks under FX loan agreements. The financial crisis and the resulting change in FX rates have made these loans more expensive than customers originally expected. This article examines claims that have been made against banks and a recent Supreme Court ruling.
Nov 2015 - Polish banks face huge losses under proposed FX loan legislation
Controversial proposed legislation in Poland would make banks bear Forex risk under existing foreign exchange-based consumer loans.
July 2015 - Polish bank lose fast-track enforcement
Polish Constitutional Tribunal’s judgment dated 14 April 2015 in case No. P 45/12. Polish banks currently benefit from a statutory privilege which allows them to enforce claims against debtors under accelerated and simplified proceedings.
Nov 2014 - Supreme court's approval of alternative method of enforcing mortgage over polish property reduces bank risk
A Supreme Court ruling has paved the way for secured creditors to reduce risks associated with property foreclosure.
Nov 2014 - Supreme court confirms banks priority over rental income on mortgaged property in insolvency proceedings
The Supreme Court has ruled that post-insolvency rental income on a mortgaged property is covered by the mortgage, and thus the mortgagee has priority over this income.
June 2014 - Class Action Suits Gain Popularity in Consumer Claims
A recent appellate court rejecting a bank's appeal in a class action claim by 1247 consumers has emphasised the increasing popularity of class actions in Poland.
Feb 2014 - Historic intervention of Polish financial regulator to order review of accounts of listed company
The Polish financial supervisory authority Komisja Nadzoru Finansowego (KNF) has for the first time ever, used its statutory power to appoint an auditor to review the accounts of a company quoted on the Warsaw Stock Exchange.
Sept/Oct 2013 - Enforceability of intercreditor agreements in Poland
Finance parties who share an interest with other lenders (investors or other finance parties) in a particular borrower often enter into an intercreditor agreement, or a subordination agreement, to regulate the ranking of their respective conflicting interests in the event of the borrower’s illiquidity.
Mar 2013 - Protecting arbitration: Proposed amendments to Polish bankruptcy law
International arbitrations involving Polish parties and Polish arbitrations have sometimes suffered from provisions in the Polish Bankruptcy Law which invalidate an arbitration agreement on bankruptcy and prohibit the arbitration proceedings from continuing.
Dec 2012 - One-way dispute resolution clauses under Polish law
International financing agreements often provide an optional jurisdiction or arbitration clause in which one party can choose either litigation in state courts or arbitration, or can choose between different jurisdictions, while the other party is bound to arbitrate or litigate in a particular jurisdiction.
June 2013 - Derivatives in Russia - further troubling developments
Case A40-92297/11-46-801 between LLC “Hermitage Development” as the plaintiff and ZAO “Unicredit Bank” as the defendant and Case A40-55358/12-100-391 between LLC “Agroterminal” as the plaintiff and ZAO “Unicredit Bank” as the defendant.
July 2016 - Slovak mortgage loan interest rate rise invalidated
A recent Slovak ruling and consultation means that banks are likely to become more restricted in how they can make unilateral changes to mortgage loans (for example, to raise an interest rate in a floating rate loan).
Mar 2015 - Slovak mortgage loan interest rate rise invalidated
On 1 January 2015 sweeping changes to Slovakia's arbitration legislation finally came into effect.
Nov 2014 - Capital Markets modernisation
The legal landscape of the Slovak capital markets is being modernised by the recent adoption of an amendment2 to Slovak Act No 530/1990 Coll. on Bonds, as amended (the Act on Bonds), which entered into force on 1 September 2014.
Feb 2014 - New legislation reduces effectiveness of pledges over project company shares
In an attempt to improve the collection of taxes in Slovakia, the legislator has imposed additional restrictions on the sale of shares in private limited liability companies.
June 2013 - Court declines jurisdiction to order interim measures during arbitral proceedings
The Bratislava Regional Appeal Court has held that, after the commencement of arbitral proceedings, general courts in Slovakia no longer have concurrent jurisdiction to order interim measures.