REDUCTION OF RENT REQUIRED IN A LEASE (BACK) CONTRACT UNDER APPLICATION OF ART. 288 CC

By Dr. Vasiliki Kostavara

The Court applies Article 288 of the Civil Code on lease back contracts, when there is an imbalance in the rent and rental value of the property. The negative and non-transitory change in the country's financial data by resorting to IMF lending and the EU support mechanism, in order to avoid a large scale credit event has led to the reduction in government spending on mental health, to develop psychosocial rehabilitation structures. The leasing company undertakes the business risk of entering the contract, whereas the finding that there is an overrun of the total rents received, even in the case of a judicial reduction of the rent, of the value of the immovable property purchase leads to the rejection of the objection according to article 281 CC (abuse of right).

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Since 2003, the Attorney-at-law Dr. Vasiliki Kostavara has been a legal counselor for a mental health company (with 18 existing structures) and has a long experience and expertise in handling cases of legal entities operating under Law 2716/1999.