The District Court of Nicosia issued a summary judgment last week ordering the former owner of commercial premises in Nicosia to deliver free and vacant possession to their new owners.
The property had been mortgaged in favor of a bank to secure the former owner’s borrowing. Following his default, it was sold through the statutory auction process to pay the outstanding debt and was subsequently resold. Despite repeated requests, the former owner refused to vacate the premises, raising various objections, including challenges to the validity of the auction.
In a judgment of particular significance which provides a helpful analysis of the principles applicable to applications for summary judgment under the new Civil Procedure Rules, the Court accepted the claimants’ position that the former owner had no legal right whatsoever to remain in possession of the property and concluded that the defendant did not demonstrate a real prospect of success in his defence, nor any good reason for the case to proceed to a full trial.
The judgment is especially important in light of the increasingly common practice of former owners of mortgaged properties refusing to deliver possession to new owners, exploiting the lengthy duration of court proceedings and causing significant delays and costs. The message arising from this decision, consistent with the overriding objective of the new Civil Procedure Rules, is that where the defendant’s case is bad in law, the sooner that is determined, the better.
The successful claimants were represented by partner Sotos Kasinos and associate Maria Andreou.
