European Court rules Spanish mortgage law is abusive

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Series Details 14.03.13
Publication Date 14/03/2013
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The European Court of Justice ruled on the 13 March 2013 that Spain’s mortgage law was incompatible with a European directive on abusive practices in consumer contracts, opening the door to more legal protection for households facing eviction from their family home.

The ruling came in response to a question posed by a Barcelona court in connection with the eviction of Moroccan immigrant Mohammed Aziz from his home in January 2011, after he failed to meet mortgage payments on a €138,000 loan granted to him by savings bank CatalunyaCaixa in July 2007.

The court wanted to know if the eviction breached Aziz’s rights. The European Court ruled that the process of ousting him from his home infringed the European Union’s 1993 Unfair Terms in Consumer Contracts (93/13EEC) directive on consumer protection.

Source Link http://elpais.com/elpais/2013/03/14/inenglish/1363264199_406548.html
Related Links
ESO: Background information: Banks to halt evictions in “extreme” cases http://www.europeansources.info/record/banks-to-halt-evictions-in-extreme-cases/
BBC News, 14.03.13: European court rules against Spanish eviction laws http://www.bbc.co.uk/news/world-europe-21789650
European Court of Justice: Press Release, No.30, 2013: Spanish legislation infringes EU law to the extent that it precludes the court which has jurisdiction to declare unfair a term of a loan agreement relating to immovable property from staying the mortgage enforcement proceedings initiated separately http://curia.europa.eu/jcms/upload/docs/application/pdf/2013-03/cp130030en.pdf
Catalan News Agency, 14.03.13: The Mortgage Platform has been fighting to stop house evictions in Spain http://www.catalannewsagency.com/news/society-science/mortgage-platform-has-been-fighting-stop-house-evictions-spain
La Vanguardia, 19.04.13: ‘People’s Party alone in approving anti-eviction law’ (via PressEurop) http://www.presseurop.eu/en/content/news-brief/3697031-people-s-party-alone-approving-anti-eviction-law
El País, 18.04.13: PP enrages Mortgage Platform after ditching measures from legislation http://elpais.com/elpais/2013/04/18/inenglish/1366306459_646743.html
Tiempo de Hoy, 23.05.13: Eviction rate lower than previously reported? (via PressEurop) http://www.presseurop.eu/en/content/news-brief/3803871-eviction-rate-lower-previously-reported

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