The creation of expropriation courts

The proposal for a law for the creation of expropriation courts to adjudicate cases of financial disputes related to loans or securities is brought back to the Parliament by EDEK and DIKO, with the cooperation of DIPA.

A similar proposal was advanced in Parliament in 2022 by EDEK and DIKO, while earlier the wreck of the relevant bill submitted by the previous government to Parliament, with the aim of convincing EDEK to support the 2021 state budget, preceded it.

The law proposal was voted down last November, with the negative votes of DISY, AKEL and ELAM.

The new law proposal submitted yesterday to the Parliament, amends the law on courts, so that the jurisdiction of the provincial court will be subject to a new special jurisdiction to adjudicate disputes arising from, or in relation to credit facilities or securities.

Specifically, it is proposed to adjudicate disputes that arise between the borrower and the creditor regarding the debit balance of the credit facility, which is overdue or overdue and which has been terminated, as well as any other dispute between the borrower and the creditor or that concerns the credit facility, the related guarantees and/or collateral.

It is proposed that cases of the sale of a mortgaged property, which is a security for a credit facility in accordance with the sales framework, are also heard, as well as cases of securities of credit institutions that were acquired from January 2008 until March 2013.

It is also provided for the adjudication of any lawsuit or application, including an appeal against any order, notification or decision of the director of land registry, in relation to the stipulated disputes, regardless of the amount of the disputed dispute and the value of the property.

At the same time, a time limit of 60 days is set for the examination of applications or appeals registered in the provincial court, while the proposed legislation applies to borrowers, including guarantors, collateral providers and mortgage debtors.

The proposal includes transitional provisions, based on which, cases pending before the provincial court, on the date of entry into force of the provisions of the amending law and concerning the prescribed subjects, are referred for the continuation of the judicial process and the issuance of a decision before judges, who are defined under the proposed legislation, provided that the hearing of the case has not commenced.

Otherwise, it is noted, the cases are continued and concluded in the court before which they are pending.

Source: stockwatch.com.cy

Photo: stockwatch.com.cy