IRPH Litigation Spain

IRPH Litigation Spain: The outcome of the European Court of Justice’s Decision

On September 10, the Advocate General (Mr Maciej Szpunar) issued his Opinion on a preliminary ruling to be rendered by the Court of Justice of the European Union (CJEU).

The Opinion relates to the validity of a contractual clause regarding the sale of consumer mortgages linked to the IRPH index. (commonly known as “CAJAS”)

The legality of this interest rate has been contested by thousands of affected Consumers in Spain, who have questioned its validity, – under the European Directive on Unfair Terms in Consumer Contracts (Directive 93/13).

The Spanish Supreme Court ruled in 2017 in favor of the Banks (not surprising at all), but fortunately this unfair ruling was appealed to the CJEU.

In a nutshell, the CJEU will have to decide now whether the banks acted correctly by applying the IRPH index, even when it was self evident that this index was much less favorable for the client, than the Euribor index rate, (used in 90% of the mortgages).

Opinion of Mr Szpunar

In the first place, Mr Szpunar mainly points out that a mortgage clause or index is not transparent just because it is made official. This means that Spanish banks were under no obligation at all, to use the IRPH in consumer mortgage contracts. On the contrary, they chosed to do so, even in those cases where it was not the most beneficial index for their clients.

Second, he points out that the obligation of the bank is not that of advice, but that of information, so that the consumer fully understands the content of the specific clause.

In other words, he insists on the need for pre-contractual information, in order to allow the consumer to make an informed decision.

To this end, the banks should have clearly informed the consumer about the the method of calculation of the applicable interest rate (IRPH) by:

a) specifying not only the complete definition of the reference index used, but also

b) providing different evolutionary scenarios of the IRPH, based on its past evolution, compared to the Euribor.

Third, he finally recommends the Courts to open the possibility to declare these kids of mortgages null and void.

Massive losses for Spanish banks

The press has regarded the opinion as unfavorable to the banks. In fact, an adverse ruling for banks could leave the door open for additional costs for Banks, and if upheld by the CJEU, (hopefully), it could provoke massive losses for a number of Spanish banks. Goldmand Sachs has preliminary estimated the financial blow in 44.000 million of Euros.

Possible consequences of a hypothetical ruling against the banks: Litigation Tail Risk

The CJEU will render its judgment in early 2020 and although opinions of AGs are not binding, they tend to have considerable weight.

The outcome for Spanish banks will be similar to what is already happening regarding lawsuits based on the abusive so-called “floor clauses”. In this case the CJEU also ruled the clause to be declared null and void and it allowed hundred of thousands of consumers to recover the interest unduly charged, forcing banks to refund so far, around 2 billion euros.

In any case, the final impact would depend on several circumstances, such as, the time limitation period to claim compensation, as well as other factors. Nevertheless, I hope Justice will prevail, and the CJEU decision will rule in favor of the consumers.

At the end of the day, despite the financial impact for the banks,- according to the latest Financial Stability Report issued by the Spanish Central Bank,- the solvency of Spanish banks is sound, so it is likely that whatever the outcome might be, the vast majority of Spanish banks will weather the storm, like they have always done in the past.

Contact us

We hope this information is useful. Subsequently, should you be affected by this particular problem or you might be interested in receiving more specific information, please do not hesitate to contact us and we will be glad to clarify immediately.

Mr Oscar Ricor.  “NON-PRACTISING ENGLISH SOLICITOR IN ENGLAND AND WALES”, under the “Solicitors Regulation Authority” (SRA) SRA number 519196 and practicing Spanish Solicitor BZN LEX INTERNATIONAL LAWYERS

http://www.bestsolicitorsinspain.com

CRIMINAL RECORD CANCELLATION SPAIN

CRIMINAL RECORD CANCELLATION IN SPAIN: DOES MY CRIMINAL RECORD STAY WITH ME FOREVER?

If you’ve been convicted of a criminal offence, you will usually then have a criminal record. This can cause a variety of problems. For example, a criminal record can adversely affect employment prospects, international travel plans, etc

However, in Spain, all individuals convicted who have extinguished their criminal responsibility have the right to obtain from the Ministry of Justice the cancellation of their criminal records within the time limits established by law.

CRIMINAL RECORD CANCELLATION WHEN THE PENALTY IS FINE

In this article, we will explain the cancellation deadlines just when the penalty is a fine, like for example the simulation of a crime (the person who falsely denounces, for example, that his car has been stolen), is punished with a fine of 6 to 12 months.  

CLASSIFICATION OF OFFENSESARTICLE 33 SPANISH PENAL CODE 

In the first place, it is important to note the classification of offenses according to the Spanish Penal Code.

Pursuant to their nature and duration, the punishments shall be classified as serious, less serious and minor: 

1.  Serious penalties include among others, Imprisonment exceeding five years

2.      Less serious penalties include among others, Imprisonment from three months to five years; fine of more than 3 months

3.      Minor penalties include among others, a fine from ten days to two months

DEADLINES DEPENDING THE OFFENSE: ARTICLE 136 OF THE PENAL CODE

Those convicted who have extinguished their criminal responsibility have the right to obtain from the Ministry of Justice, the cancellation of their criminal records. It is merely an administrative procedure, not a Court one.

In order to cancel them, it is necessary not to have committed another offense during:

1.      Ten years for severe or serious sentences.

2.      Five years for the remaining less serious penalties, equal or superior to three years.

3.      Three years for the remaining less serious penalties, of less than three years.

4.      Two years for penalties not exceeding twelve months and those imposed for reckless crimes.

5.      Six months for light or minor penalties.

CANCELLATION OF CRIMINAL RECORDS WHEN THE PENALTY IS A FINE

The deadline referred to in the previous section will be counted from the day in which the penalty has been extinguished. In the case of a fine, when it has been fully paid.
1.-If the fine imposed in a sentence is 3 MONTHS or less, the cancellation period will be SIX MONTHS counted from the full PAYMENT OF THE FINE.

2.- If the fine imposed in a sentence is greater than 3 MONTHS up to 12 MONTHS, the cancellation period will be TWO YEARS counted from its payment

3.- If the fine imposed in a sentence is greater than 12 MONTHS but less than 3 YEARS, the cancellation period will be THREE YEARS counted from its payment.

EXAMPLES WHEN THE PENALTY IS A FINE

I)
A person is convicted of a slight crime of theft at the penalty of a fine of 2 months at a rate of 9 euros/day (540 euros). The convicted person pays the fine of on 01.01.2019; 

The cancellation will occur on July 2, 2019 (SIX months from the day following the payment of the fine).

II) A person is convicted of a crime simulation of a 9-month fine at a rate of 5 euros/day. (270 days x € 9 = 1,350 euros)  

The convicted person finished paying the fine on 01/15/2019.

Criminal records will be cancelled on 01/16/2021 (TWO YEARS from the day following the payment).
III) A person is convicted of a driving offense under the influence of alcoholic beverages to a penalty of a fine (8 months), plus deprivation of driving license for 1 year. 

The payment of the fine is made on 01.06.2019 and the withdrawal of the driving license ends on 01.10.2019. 

Criminal records will be cancelled on 02.10.2021 (TWO YEARS from the day after the last sentence has been extinguished).

WHAT HAPPENS IF THE FINE IS NOT PAID?

The convicted person will face subsidiary personal responsibility of one day of deprivation of liberty for every two unpaid daily quotes.

CONTACT US FOR ANY HELP

We hope this information is useful. The information contained on this site is for general guidance only. No person should act or refrain from acting on the basis of such information. Appropriate professional advice should be sought based upon your particular circumstances. 

Subsequently, should you be affected in particular by this problem or you might be interested in receiving more specific information about this particular subject (or any other legal advice), please do not hesitate to contact us and we w ill be glad to help you immediately. 

Mr Oscar Ricor
“NON-PRACTISING ENGLISH SOLICITOR IN ENGLAND AND WALES”, under the “Solicitors Regulation Authority” (SRA) SRA number 519196 and practising Spanish SolicitorBZN LEX INTERNATIONAL LAWYERS www.bestsolicitorsinspain.com

Steps to follow to claim insurance damage

Steps to follow to claim insurance damage flooding in Spain.

An extreme ‘Gota Fria’ –meaning ‘Cold Drop’– delivers Spain’s most Severe Storm in over a Century and it has battered practically ALL of Alicante province this week. A succession of frigid polar fronts drove temps some 16C below-average across vast swathes of the country, brought torrential rain and floods to many, and even spawned a tornado in Alicante.

7 days to submit the claim

The insurance companies will be receiving a significant number of claims within the next few days, as those affected have a period of seven days to report the claim.
 
First, in case you might be affected by the disaster, you will need to contact your insurance company, and they will forward your claim to the “Insurance Compensation Consortium”. (the Spanish government disaster fund).

Likewise, you can also contact the Consortium directly by submitting the corresponding request, either by calling 900 222 665 or 952 367 042 or online. If compensation cannot be requested by any of the aforementioned methods, a letter may also be sent to the corresponding Regional Consortium Delegation, depending on the place where the damage occurred. In this case, you will have to fill out a damage communication’s report form together with the required documentation.

Asessment of damages

Second. the Consortium will send an expert in insurance, in order to assess the damages caused, in this case, by the heavy rainfall and flooding. The affected party will have to present the invoices of the goods damaged by the storm. Alternatively, the insurers also advise photographing all the damaged goods, as to be able to attach the images as evidence to the claim.

Compensation

Third, once the claim has been filed, it will be necessary to wait for the damages to be quantified and for the payment of the corresponding compensation. Taking into account the high number of claims expected from Monday the 16th September, the companies estimate that payments might take about three months.

Contact us for any help

We hope this information is useful. Subsequently, should you be affected by this problem or you might be interested in receiving more specific information, please do not hesitate to contact us and we will be glad to clarify immediately.


Mr Oscar Ricor
“NON-PRACTISING ENGLISH SOLICITOR IN ENGLAND AND WALES”, under the “Solicitors Regulation Authority” (SRA) SRA number 519196 and practicing Spanish Solicitor

BZN LEX INTERNATIONAL LAWYERS http://www.bestsolicitorsinspain.com

Wrongful acts of tenants

Beware of wrongful acts of your tenants, especially if you are a homeowner in a community. In fact, you could be jointly legally liable for any harm, damages or annoying behavior caused by your tenant to the rest of the neighbors.

Legislation applicable: Art 7.2 Horizontal Property Law

2. The owner and the occupant of a unit shall not carry out in such unit or in the rest of the building any activities not permitted in the community statutes, or which may cause damage to the property or contravene the general regulations concerning inconvenient, unhealthy, noxious, hazardous or unlawful activities. The president of the community, on his/her own initiative or at the request of a unit owner or occupant shall urge the person or persons carrying out the activities banned under this subsection to desist under admonition of court action. Should the offender persist in his/her conduct, the president, subject to the authority of the meeting of the owners’ general assembly, duly convened for this purpose, may undertake an injunction procedure, which, insofar as not expressly provided for in this section, shall be settled by ordinary proceedings. Once the action is brought, including the accreditation of the authoritative notice to the offender and the certification of the resolution adopted by the general assembly, the judge may order as a precautionary measure the immediate cessation of the prohibited activity, under admonition of incurring an offence of disobedience. Furthermore, the judge may adopt any precautionary measures necessary to enforce the injunction. The action shall be brought against the owner and, if fitting, against the occupant of the unit. Should the court adjudge in favour of the plaintiff, it may decree, besides downright cessation of the prohibited activity and award of damages as may correspond, the deprivation of the defendant’s right to use the unit for no more than three years, depending on the seriousness of the offence and detriment caused to the community. If the offender were not the owner, the judgement may definitely terminate the offender’s interest in the unit and decree his/her immediate eviction”

Recommended advice to the Landlord

The landlord must inform the tenant urgently, even the landlord must be prepared to terminate the lease. if necessary.

Recommended advice to the Community

First, if the tenant causes inconvenience, the community of owners must:


1. Require the tenant to cease the annoying activity extrajudicially through burofax or similar. The requirement must be made by the President of the Community on his own initiative or upon request of any of the owners or neighbors. The Horizontal Property Act does not require prior meeting or agreement to this effect.

2. The owner must also be informed of the annoying activity that his tenant is doing.

However, if despite this warning, the inconvenience might continue, and the landlord might maintain a passive attitude, the community of owners will have the right to authorize the President to initiate legal action against both the tenant and landlord, with prior agreement by the Community in a formal AGM.

Will court action be necessary?

If all the friendly attempts might fail, the lawsuit would be strongly advisable. This lawsuit would request for the cessation of wrongful activity and even demand compensation for any damages caused. As indicated before, both the landlord and tenant would be jointly liable, as clearly indicated by the Supreme Court Ruling in Nº 832/239, of December 18, 2009.

Regulated Solicitors and Property Administrators

We hope this information is useful. Subsequently, should you be affected by this problem or you might be interested in receiving more specific information, please do not hesitate to contact us either by replying to this message or preferably by visiting also our website www.bestsolicitorsinspain.com 

We are proficient in community problems, thanks to our combined experience as Litigators lawyers and property administrators.

How to contact us?

You can contact our firm several ways:

1. Call us or send us a whatsapp now to (0034) 687 88 88 73.

2. You can also use our e-mail form at the top of the sidebar of your screen, or alternatively, you can send us e-mail to info@bestsolicitorsinspain.com

Our commitment, we’ll respond to your e-mail inquiry in less than 24 hours.

We are on social media.  Follow us on:

A) facebook: BZN Lex International Lawyers@oscarricormorales7

b)   twitter: https://twitter.com/BznLex

c)   and linkedin.com/in/ricorabogados

Finally, thank you very much for your attention, and in case you might have any question or doubt at all, please do not hesitate to contact us and we will be glad to clarify immediately.

We look forward to helping you and the benefit of our “know-how”.

Kindest regards

Mr Oscar Ricor
“NON-PRACTISING ENGLISH SOLICITOR IN ENGLAND AND WALES”, under the “Solicitors Regulation Authority” (SRA) SRA number 519196 and practicing Spanish Solicitor. REGULATED PROPERTY ADMINISTRATOR

Please help “HOGAR NAZARET”

# VERY URGENT HELP!! Please donate NOW to “HOGAR NAZARET”, and save the children from sexual exploitation and organ trafficking!

Our Mission Statement

At BZN LEX INTERNATIONAL LAWYERS, Charitable giving is one of our main aims (other than winning compensations for our clients of course) and as part of our corporate responsibility, we donate and we encourage our own clients and collaborators also, to donate to trusted charities. However, we do have a set of strict policies on charities who we support. For instance, we only recommend charities we trust implicitly. We prefer charities with specific projects we can follow up on, and to focus on smaller sized charities, who do not turn charitable giving into a business venture. In other words, charities where we know for a fact, that the money is not going to be wasted on paying intermediaries or excessive salaries to their Directors or employees.

In short, we prefer supporting the good work of worthy causes, particularly smaller and less well-known good causes, that arguably are in greater need of financial support than many of the more established and well-known national charities.

Hogar Nazaret. Peru

Please see below an example of a Charity we are particularly proud of supporting, called Hogar Nazaret ( “Home Nazaret in English”), a house located in the Peruvian jungle, which by the way, it does not receive any financial aid from the Government or the Church. As a result, they are going through a very difficult situation right now. For further information about this exemplary organization, and the excellent work that is currently carried out for the little children, please visit the specific section of our website: https://bestsolicitorsinspain.com/charitable-giving/ Alternatively you can visit Hogar Nazaret’s own website hogarnazaret.es (it is only in Spanish for the moment).

The Founder

or also contact his Founder Mr Father P Ignacio María on Facebook. (please click on the following link:

https://www.facebook.com/pignaciomaria.donoro.9)

You can also buy his book “Hogar Nazaret, sueño de Dios” on amazon ( please copy and paste the following link): https://www.amazon.es/Hogar-Nazaret-sue%C3%B1o-Ignacio-Do%C3%B1oro/dp/8408161490/ref=sr_1_1?__mk_es_ES=%C3%85M%C3%85%C5%BD%C3%95%C3%91&keywords=Hogar+Nazaret%2C+sue%C3%B1o+de+Dios&qid=1566635034&s=gateway&sr=8-1

Contact us for further information

Remember that any contributions can benefit from tax deductions, if you are Spanish national or fiscal resident in Spain. Likewise, you will benefit from important tax deduction in case you might make a donation in your Spanish Will.

🔹 For a free consultation about how you can help the Charity, call us now ☎ +34 687 88 88 73 or email us 📧 info@bestsolicitorsinspain.com

Our Commitment

Finally, we are glad to inform all our readers that we do offer a minimum of a 3% up to 10% discount of our own fees, to any client who might donate to the Charity Hogar Nazaret:

🔹 Hogar Nazaret. La Caixa ES32 2100 5450 6102 0009 4211

Thank you very much for your attention and remember that this Charity HOGAR NAZARET IS FOR REAL, and with just a little contribution, you can make a difference and save the lives of the most vulnerable and needy. There are currently 81 children… and we all know how much it costs to raise children nowadays.

Oscar Ricor. Spanish Practicing Solicitor and English Solicitor (Non Practicing)

CHARITABLE ORGANIZATIONS

CHARITABLE ORGANIZATIONS: HOGAR NAZARET

At BZN LEX INTERNATIONAL LAWYERS, Charitable giving is one of our main aims (other than winning compensations for our clients of course) and as part of our corporate responsibility, we donate and we encourage our own clients and collaborators also, to donate to trusted charities.

However, we do have a set of strict policies on charities who we support. For instance, we only recommend charities we trust implicitly. We prefer charities with specific projects we can follow up on, and to focus on smaller sized charities, who do not turn charitable giving into a business venture. In other words, charities where we know for a fact, that the money is not going to be wasted on paying intermediaries or excessive salaries to their Directors or employees.

In short, we prefer supporting the good work of worthy causes, particularly smaller and less well-known good causes, that arguably are in greater need of financial support than many of the more established and well-known national charities.

Please see below an example of a Charity we are particularly proud of supporting, called Hogar Nazaret ( “Home Nazaret in English”), a house located in the Peruvian jungle.
For further information about this exemplary organization, please visit the specific section of our website Charitable Giving.

🔹 For a free consultation , call us now ☎ +34 687 88 88 73 or email us 📧 info@bestsolicitorsinspain.com

Thank you for your interest and we look forward to helping you.

Mr. Oscar Ricor, PARTNER
“NON-PRACTISING ENGLISH SOLICITOR IN ENGLAND AND WALES”, under the “Solicitors Regulation Authority” (SRA) number 519196 and practicing Spanish Solicitor Nº 1247 Bar Orihuela (Alicante).

CIVIL LITIGATION IN SPAIN

Civil litigation in Spain is a serious matter and it can be a daunting if you are not familiar with the judicial process and you don’t have a qualified and independent Solicitor by your side. Therefore, considering how much is at stake, please do not take any unnecessary risks and always put your trust in a trustworthy and reliable Law Firm, like « BZN LEX », and never on an unqualified Solicitor.

For further information, please kindly visit our CIVIL LITIGATION section in our website
https://bestsolicitorsinspain.com/civil-litigation/

Thank you very much and we look forward to helping you.

Mr Oscar Ricor
“NON-PRACTISING ENGLISH SOLICITOR IN ENGLAND AND WALES”, under the “Solicitors Regulation Authority” (SRA) SRA number 519196 and practicing Spanish Solicitor.

🔹 For a free consultation call us now ☎ +34 687 88 88 73 or email us 📧 info@bestsolicitorsinspain.com