Unfair Contract Terms Directive, link

Foreign currency-based leasing agreements are rendered invalid if the provisions regulating currency exchange rate risk do not meet the criteria of intelligible and clear explanation.

The case concerned the plaintiff and the recipient agreeing to a foreign currency-based individual leasing contract for the facilitation of a vehicle purchase. After the recipient failed to make payments on time, the plaintiff (after the sending of a notification) terminated the contract and proceeded to sue the recipient.

Whether the provisions regulating currency exchange rate risk in the contract constituted unfair terms.

The Supreme Court established that in order for provisions regulating currency exchange rate risks in foreign currency-based leasing contracts to not be considered unfair terms, they must meet a twin criterion of intelligibility and clarity. In this specific context, the provisions must make it clear to the consumer (from the perspective of an “average consumer”) that the exchange rate risk is exclusively carried by the consumer, and that there is no limit to this risk. If the consumer can only ascertain these elements from the comparative interpretation of multiple different documents, then the business failed to meet the criteria. As a consequence, the contract was rendered invalid, in harmony with the decision of the lower courts.

Teljes szöveg: Teljes szöveg

Nincs találat

Nincs találat

The Supreme Court upheld the decision of the lower courts.