The European Court of Justice has ruled that the Spanish legislation regarding repossessions breaks the Community Law because it does not guarantee citizens sufficient protection against abusive clauses in mortgage agreements.
The current legislation does not allow judges to suspend a possession on the grounds of abusive clauses in the mortgage agreement, specifying that these matters must be resolved in front of another judge after the repossesion process is complete.
The ruling states that this retrospective protection «is incomplete and insufficient” in that “it does not permit avoiding the definitive and irreversible loss of the property” and “limits protection to a payment of damages and costs.”
«It is enough that the profesionals start repossession proceedings to deprive consumers of the protection that the European directive aims to provide” says the ruling.
