If you receive a writ from a bank in Cyprus for the non-payment of a mortgage / housing loan / bridging loan etc or a termination notice served upon you in the UK by a Bailiff or by post. The worst thing you can do is bury your head in the sand in the hope that the problem will simply disappear and go away.
UK clients are now being served with writs from Cypriot Banks in relation to the non-payment of Swiss Franc Mortgage loans taken out for the purchase of property in Cyprus.
The writs usually gives the recipient a period of 30 days in which to file an appearance in court in Cyprus to defend the claims made within those writs and a further period of fourteen days in which to file a formal defence; this latter time frame can be extended in most instances to allow for the preparation of that defence.
It is therefore critical that you seek legal advice from a qualified Solicitor / Barrister / Legal Consultant in order to respond within the stated deadline in time.
Failure to file the required defence in Cyprus will result in the court progressing the claim in your absence and securing judgement against you; there would then be no opportunity to challenge the judgement or its subsequent enforcement.
The enforcement can take place on properties in England (charges placed against the property) as the judgement of the Cyprus Courts can be transferred from the Cypriot court and registered and executed in England.
Some people are also receiving Termination Notices from the banks in relation to the non- payment of the loans. When this happens (Writs are likely to follow) and it is again critical that you formally respond to these notices and make counter claims where appropriate.
If you have been served a Writ, we strongly advise that you contact us ASAP; you cannot simply ignore the service.
Please do not hesitate to contact us if you need help.